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The advent of fracking has so lowered the price of natural gas ( UNG , quote ) that many alternative energy firms have been driven into bankruptcy. China's JA Solar Holdings ( JASO , quote ) is down more than 70% for the last year of market action, suffering like so many others in the sector who overbuilt in better times.

JA Solar has fallen so much that it is worth a look. Now trading for around $1 a share, it is very close to its year low. With a beta of 3.15, there is not a stock for investors with a low tolerance for volatility.

But there are assets. First of all and most important, the Chinese Government has made a huge push into solar energy.  As the world's biggest importer of oil and coal, China wants to develop solar energy and other alternative forms of power to lessen its power bill. Beijing is also seeking to protect the environment more. The geographical features of the People's Republic makes it ideal for solar energy too.

Like China and solar energy, there are features of JASO that make it attractive. For value investing, it is priced very low. The price-to-book ratio is 0.21, the price-to-sales ratio is only 0.15, and the price-to-cash-per share ratio is 0.31. For value investing, JA Solar is very appealing.

Is JA Solar a value trap?

It is losing money and there is a short float of 7.14% (a short float of 5% is considered to be troubling). But the share price is up more than 2% for the last week of market action and more than 9% for the last quarter. For the next year, earnings-per-share growth is expected to grow by 60.40%. It was not that long ago that JASO sold in the double digits.

In 2008, the stock was priced at over $26 a share. At a dollar a share with the backing of Beijing, it could be worth taking out a low cost position in JA Solar to invest along with Warren Buffett in the solar energy sector.

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