Citigroup (NYSE:C) Upgrades Suntech Power (NYSE:STP) After Q3 Miss

Suntech Power (NYSE:STP) got hammered on Wednesday after their big miss for the third quarter, where they were punished with a 10 percent decline in share price. Citigroup (NYSE:C) has largely shrugged that off and upgraded the company from "Sell" to "Hold."

After all is said and done though, the upgrade and increase in the price target will just bring Suntech back to where they were before the miss.

Citigroup analyst Timothy Arcuri said, “While STP remains structurally disadvantaged given inherent process complexity, the Street is now overly bearish on the ultimate EPS impact from long-evident cell/module oversupply in 2011.”

Arcuri added he doesn't think earnings for the company will come in under 60 cents a share in 2011. He increased his EPS estimate on the company from 61 cents to $1.03.

Suntech was trading at $7.42, losing $0.11, or 1.46 percent as of 1:15 PM EST. Citigroup increased their price target on them from $7 to $8.50.