Analyst: Forget Oil Prices -- Go Solar

Corn ethanol is all the rage, but one analyst says solar energy has been wildly undervalued. Signal Hill's Michael Carboy joined "Squawk on the Street" to explain why sun power will be this decade's next big thing.

Carboy told CNBC's Erin Burnett that oil prices "do not drive the solar story." He maintains that if crude stays stable or even if it drops, the solar industry is likely to grow at a 40% compound average rate between now and 2010.

When CNBC's Mark Haines said "no one" has been able to produce a cost-effective solar photovoltaic cell, the analyst countered that factoring in federal and California state subsidies gives grid parity at peak pricing in the Golden State.