WFR's 4Q Comes Up Short, Wunderlich Maintains Hold And $12 PT

Wunderlich Securities has published a research report on MEMC Electronic Materials WFR after the company reported 4Q earnings results February 1, coming up short of estimates. In the report, Wunderlich writes "MEMC Electronic Materials (WFR) reported 4Q10 results February 1, after the close and came up short of expectations. The company has embarked on a campaign to get investors to accept non-GAAP revenue and EPS estimates as if it were accounting for solar farms at the moment they were completed and as if it were sales of a stock product. Various types of solar farm sales require the company to record all the expense but not all the revenue concurrently, which would distort margins. This non-GAAP view would more closely match revenue and costs." Wunderlich maintains its Hold rating and $12 price target. MEMC Electronic Materials closed Friday at $13.73.