MEMC Electronic Materials Inc (WFR)

MEMC Electronic Materials (WFR) is a company based in St. Peters Missouri involved in the manufacturing and development of silicon wafers, which are important in both the semiconductor industry as well as the solar power industry. Over the period from 2005 to 2006 the revenue growth of the company increased 39% to approximately 1.5 Billion dollars in revenue. The semiconductor industry represents a total market value of approximately $10 billion dollars with a growth rate of 10%. In addition, the company has also started manufacturing silicon wafers for the solar power industry. The expected total market of solar wafers is approximatly $4 billion dollars with a growth rate estimated at approximately 30% per year. Given the expected growth in the solar wafer industry, it looks like (WFR) may be poised for high growth over the next several years. With a price to earning ratio of 36.52, I think this company appears to be a bargain relative to First Solar. Analysis of First Solar is upcoming.