JinkoSolar to Supply Over 300 Modules for Chile's Solar Park

JinkoSolar Holding Co., Ltd JKS has inked a deal to provide more than 300 of its bifacial solar modules for a solar photovoltaic (PV) park in Chile. The modules, with generation capacity of 126 megawatt (MW) will be installed for the expansion of the park, which already has more than 600 of JinkoSolar’s modules.

Following the expansion, the PV park will be able to generate 789 gigawatt-hour (GWh) of solar power per year.

Solar Prospects in Chile

Latin America is emerging as the new hub of solar energy generation and Chile is playing a vital role in this regard. Per a report by Harvard University, the country now boasts the highest energy consumption per capita in Latin America, well ahead of larger countries like Argentina, Brazil and Colombia. This reflects the ample growth opportunities forsolar power in the nation.

Notably, per a report published in August 2019, 64 million tons of greenhouse gases can be prevented from being emitted by 2030, thanks to five energy initiatives by Chile that use solar energy in their processes. Moreover, its government has allocated funds worth $1.5 million for the solar power industry for the2016-2025 period.

These initiatives offer a great profitable playground for solar module manufacturers like JinkoSolar to enhance their share in Chile’s solar market. The latest signed supply deal is a testament to that.

Global Solar Boom: JinkoSolar& Others

While Latin America remains a lucrative market for solar players’ expansion, the global solar market as a whole has been rallying over the past decade. Per a report by Fortune Business Insights, global solar power market size is projected to reach 4766.8 MW in 2026 from 2019, exhibiting a CAGR of 30.7%.

To reap the benefits from this expanding global solar market, JinkoSolar and other solar players are making every possible effort, which is expected to boost profits.

In 2019, JinkoSolar reported record high solar module shipment of 14.3 GW. For 2020, it projects total solar module shipments of 18-20 GW, indicating an improvement of 35% year over year.

At the end of first-quarter 2020, Canadian Solar’s CSIQ utility-scale solar power plants in operation totaled 956 MWp, with an estimated resale value of $830 million. The company ended the first quarter with total project pipeline of 12 GWp. This reflects solid prospects for this stock through monetization of global solar project assets.

During 2019, ReneSola SOL connected about 60 MW of projects. Going ahead, it aims incremental project pipeline in core markets to reach 1 GW by the end of 2020.

First Solar FSLR ended 2019 with net bookings of 6.1 gigawatts and current contracted backlog of 12.4 gigawatts. Given the growing demand for solar modules, First Solar expects to increase its nameplate Series 6 manufacturing capacity to 6 GW by 2020 and 8 GW by year-end 2021.

Price Performance & Zacks Rank

In a year’s time, shares of JinkoSolar have lost 4.6% against the industry’s increase of 24.2%.

The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

5 Stocks to Soar Past the Pandemic: In addition to the companies you learned about above, we invite you to learn about 5 cutting-edge stocks that could skyrocket from the exponential increase in demand for “stay at home” technologies. This could be one of the biggest buying opportunities of the decade.

See the 5 high-tech stocks now>>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Renesola Ltd. (SOL) : Free Stock Analysis Report
 
JinkoSolar Holding Company Limited (JKS) : Free Stock Analysis Report
 
Canadian Solar Inc. (CSIQ) : Free Stock Analysis Report
 
First Solar, Inc. (FSLR) : Free Stock Analysis Report
 
To read this article on Zacks.com click here.