Warren Buffett is buying solar and Ascent Solar Technologies is Soaring (ASTI, K, KFT)

Warren Buffett favors basic, solid acquisitions for the holdings of Berkshire Hathaway (NYSE: BRK-A) such as railroads, utilities and consumer giants like The Coca Cola Company (NYSE: KO) and Kraft Foods Inc (NYSE: KFT).  Recently, Buffett has acquired two solar energy entities for Berkshire Hathaway (BRK-A).  With solar energy obviously moving into the mainstream of investors, Ascent Solar Technologies (NASDAQ: ASTI) has much to offer to balance out a portfolio.

Ascent Solar Technologies is a development stage company that was formed to commercialize flexible photovoltaic modules.  The new year has been very good to Ascent Solar Technologies and its shareholders.  Over the last week, it is up more than 26%.   Last year was not, as it suffered like much of the solar energy sector over the course of 2011.

Year to date, Ascent Solar Technologies is up more than 70%.  The stock hit a recent low of $0.36 a few weeks ago. After hitting that low, the stock has rebounded to almost $0.70 a share.  A technical analysis reveals that Ascent Solar Technologies is forming a large breakout if the stock can manage to take out some near-term overhead resistance levels.  At present, the stock is trading above its 20-day moving average and 50-day moving average. Recent candlestick patterns have been long and positive and engulfing, which are all very bullish indicators.

There are financials to support this stock move.  On a quarterly basis, both sales and earnings growth is up strong.  Earnings-per-share growth over the next year is expected to top 70%.  There is little debt.  Both institutions and insiders are buying.  Momentum, financials and technical analysis are all on the side of Ascent Solar Technologies.  Warren Buffett is investing in the industry, too.  Small cap investors should look to Ascent Solar Technologies for what it has to offer for a portfolio to balance out stocks such as Coca Cola (KO) and Kraft (KFT).