LDK Solar (NYSE:LDK) shares rose $3.95, or 10.53%, to $41.45 today after the solar wafer maker raised its revenue forecast and reiterated that it saw no problems in its inventory reporting. Investors jumped on the news sending shares up as much as 23 percent during today's session.

The news comes after LDK's stock plunged 45 percent off its 52-week high of $76.75 over the past four trading days due to a former executive that said the company had problems with its silicon inventories. The former financial controller had reportedly left the company over a dispute regarding the company's inventory controls, which sent shares in a downward spiral.

LDK now boosted its third quarter revenue outlook to a range of $140 million to $150 million from its earlier estimates of $115 million to $125 million. Preliminary data showed that it had exceeded its original forecasts and shipped about 75 megawatts of solar wafers during the third quarter, beating analyst estimates by a significant margin.

 "As we previously indicated, we believe that there is no merit in the allegations made about our inventory accounting practices, our business operations are normal and we continue making shipments to fulfill our customers' orders," Chief Executive Xiaofeng Peng said in a statement.

In the end, this is great news for shareholders but we will have to wait until LDK files its financials to get a good look at the inventory numbers. Sales numbers like these should mean that the company won't have to writedown any inventory assuming that they had too much when the controller left. And if there are no problems, this stock still has a lot of upside. Combined, these factors make LDK a stock worth watching!

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