Overall, Goldman believes SunPower is in a stronger position than its peers to weather potential financing difficulties. SunPower closed its last U.S. manufacturing plant in 2019 and spun off manufacturing operations to a new company, Maxeon, which is headquartered in Singapore.
SunPower has beaten average sales estimates in each of the past five quarters. Average estimates for the March quarter are down sharply from the December quarter (typically the company’s strongest) but 22.6% higher compared to the year-ago quarter. The stock’s 52-week range is $12.03 to $28.42, and shares traded down by about 35.7% for the past 12 months. In late morning trading on Thursday, the stock was up 3.3% at $13.51.
Shoals Technologies Group Inc. (NASDAQ: SHLS) manufactures cable assemblies, monitoring systems, and other electrical balance of system (EBOS) products for solar energy projects. The company was upgraded from Sell to Neutral with a new price target of $22, up from $20. As in the case of SunPower, the risk-reward profile is now more balanced for Shoals because consensus estimates and valuation have taken a beating over the past several months.
Shoals’ sales and profits have surpassed consensus estimates in each of the past three quarters. Revenue estimates for the 2023 fiscal year are 51.2% higher than 2022’s actual revenue, and earnings per share are expected to be 56.1% higher year over year in 2023. The stock’s 52-week range is $9.58 to $32.43, and shares added more than 26% over the past 12 months. The stock traded up about 5% Thursday morning at $22.68.
Lee and his team also offered some detail related to their more bullish view of SolarEdge Technologies Inc. (NASDAQ: SEDG) than their view on rival inverter maker Enphase Energy. SolarEdge is included on Goldman’s Conviction List; Enphase is not. The analysts believe that SolarEdge’s outperformance over the past four months can continue for several more months, and the company’s gross margin recovery story is “still in the middle innings,” with more upside drivers waiting on the bench. Goldman’s price target on SolarEdge is $420. Shares traded at around $299.55 Thursday morning, up 2.61%, in a 52-week range of $190.15 to $375.90.
Here are the price target changes Goldman’s analysts made on Tuesday:
Stem Inc. (NYSE: STEM) lowered from $14 to $12. Shares traded up 1.5% Thursday morning at $5.68, in a 52-week range of $4.67 to $18.02.
The Sunrun Inc. (NASDAQ: RUN) price target lowered from $37 to $27. Shares traded up 2.6% Thursday morning at $19.13, in a 52-week range of $16.69 to $39.13.
Sunnova Energy International Inc.’s (NYSE: NOVA) price target was taken down from $23 to $17. Shares traded higher by 6.6% Thursday at $14.84, in a 52-week range of $12.46 to $31.47.
Enphase Energy Inc. (NASDAQ: ENPH) price target lowered from $329 to $295. Shares traded at $207.71 Thursday, up 1.84%, in a 52-week range of $128.67 to $339.92.
Energy Vault Holdings Inc.’s (NYSE: NRGV) $2.50 price target lowered to $2. The stock traded at about $2.12 Thursday morning, up 0.71%, in a 52-week range of $1.81 to $22.10.
Originally published at 24/7 Wall St.
Sponsored: Find a Qualified Financial Advisor
Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to 3 fiduciary financial advisors in your area in 5 minutes. Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. If you’re ready to be matched with local advisors that can help you achieve your financial goals, get started now.
