MEMC Electronic Materials (Nasdaq:MEMC) Revenues Expected to Improve in Solar, Semi

MEMC Electronic Materials (Nasdaq:MEMC) is expected to have a strong quarter, according to Kaufman, led by revenue increases in semi and solar.

Kaufman says, "We look for meaningful improvements to semi and solar revenues driven by modest increases to ASPs and volumes. We expect significant improvement from MEMC's subsidary, SunEdison, as the remaining payment for the Rovigo project was completed in December 2010. Our estimates for this piece of the business implies fourth quarter and 2010 installations of 110 MWs and 139 MWs at a module cost of $5.50, but only 25% revenue recognition. For 4Q10, we forecast non-GAAP revenues of $1.1 billion which is 26% above consensus expectations of $901 million. For 2010, we anticipate non-GAAP revenues of $2.6 billion versus consensus expectations of $2.2 billion...Our 2011 non-GAAP EPS estimate of $1.14 is 15% above the consensus estimate of $0.99."

Kaufman Bros. reiterates a "Buy" rating on MEMC Electronic Materials (MEMC), which was trading at $11.32, falling $0.21, or 1.82 percent, as of 2:27 PM EST. Kaufman has a price target on MEMC of $13.50.