We expect significant declines for Energy Conversion Devices (ENER) in both revenues and earnings in fiscal 2010. Revenue should improve in 2011, assuming an improvement in overall economic conditions.
The company has announced a significant reduction in headcount. However, it is likely that the company will not be net free-cash-flow-positive in the forseeable future.
We have changed our recommendation to Underperform and dropped our price target to $10.00.Zacks Investment Research
