Street View: Brokerages slash PTs on SunPower after it pauses certain operations

Sunpower

19/07/2024 14:42

(Updates)
    ** Shares of solar company SunPower  SPWR.O  dips ~35% to
$0.98 in early morning trade to a record low, after falling over
40% on Thursday
    ** Co informs its clients it will pause some operations,
including deactivating lease and power purchase agreements from
its sales platform and halting new product shipments
    ** Including session moves, SPWR down ~79.6% YTD
    
    BROKERAGES EXPECT OTHER SOLAR COS TO BENEFIT
    ** Brokerage Citi ("sell") cuts PT to $0.25 from $2.50
    ** Says co needs significant operational expenditure
reductions to recover from loss of business; sees it positive
for Sunnova  NOVA.N  and SunRun  RUN.O 
    ** Evercore suspends rating and price target, and says there
isn't enough "fundamental basis for determining a rating and
price target"
    ** Piper Sandler suspends coverage following auditor's
resignation and pausing of operations
    ** Roth MKM ("neutral) on Thursday cut PT to $2.20 from
$3.25, said update was "negative for the company and likely
adversely impacts market sentiment"
    ** Also expect NOVA, RUN to benefit, as cos "have an even
greater opportunity to pick up new, high-quality
installers/dealers"
    ** Guggenheim Securities ("sell") cuts PT to $0 from $1

 (Reporting by Seher Dareen in Bengaluru)
 ((Seher.Dareen@thomsonreuters.com;))