Sunrun logged a 1.0% change during today's afternoon session, and is now trading at a price of $18.05 per share.
As of April 2023, the company's 50-day average price was $18.28. Sunrun Inc. engages in the design, development, installation, sale, ownership, and maintenance of residential solar energy systems in the United States. Based in San Francisco, CA, the mid-cap Technology company has 12,408 full time employees. Sunrun has not offered a dividend during the last year.
Growing Revenues With Increasing Reinvestment in the Business:
| 2019-12-31 | 2020-12-31 | 2021-12-31 | 2022-12-31 | |
|---|---|---|---|---|
| Revenue (MM) | $859 | $922 | $1,610 | $2,321 |
| Gross Margins | 24.8% | 19.4% | 15.2% | 12.9% |
| Operating Margins | -25.1% | -50.4% | -41.4% | -28.5% |
| Net Margins | 3.07% | -18.8% | -4.93% | 7.47% |
| Net Income (MM) | $26 | -$173 | -$79 | $173 |
| Net Interest Expense (MM) | -174 | -231 | -328 | -446 |
| Net Interest Expense (MM) | -$174 | -$231 | -$328 | -$446 |
| Depreciation & Amort. (MM) | -$187 | -$243 | -$388 | -$451 |
| Earnings Per Share | $0.21 | -$1.24 | -$0.39 | $0.1 |
| EPS Growth | n/a | -690.48% | 68.55% | 125.64% |
| Diluted Shares (MM) | 124 | 140 | 205 | 216 |
| Free Cash Flow (MM) | -$1,045 | -$1,288 | -$2,503 | -$2,860 |
| Capital Expenditures (MM) | -$841 | -$970 | -$1,686 | -$2,011 |
| Net Current Assets (MM) | -$3,435 | -$5,956 | -$7,363 | -$8,992 |
| Current Ratio | 1.38 | 1.26 | 1.53 | 1.82 |
| Long Term Debt (MM) | $2,220 | $4,601 | $6,313 | $8,241 |
| Net Debt / EBITDA | 5.29 | 17.97 | 9.14 | 7.17 |
Sunrun suffers from slimmer gross margins than its peers, consistently negative margins with a stable trend, and declining EPS growth. The firm's financial statements also exhibit negative cash flows and a highly leveraged balance sheet. On the other hand, the company has growing revenues and increasing reinvestment in the business working in its favor. Furthermore, Sunrun has a decent current ratio.
An Exceptionally Low P/B ratio but Trades Above Its Graham Number:
Sunrun has a trailing twelve month P/E ratio of 182.8, compared to an average of 27.16 for the Technology sector. Based on its EPS guidance of $-0.57, the company has a forward P/E ratio of -32.1. The -15.8% compound average growth rate of Sunrun's historical and projected earnings per share yields a PEG ratio of -11.54. This indicates that its shares are overvalued.In contrast, the market is likely undervaluing Sunrun in terms of its equity because its P/B ratio is 0.6 while the sector average is 6.23. The company's shares are currently trading 119.5% above their Graham number.
Sunrun Has an Average Rating of Buy:
The 24 analysts following Sunrun have set target prices ranging from $12.74 to $60.0 per share, for an average of $34.64 with a buy rating. As of April 2023, the company is trading -47.2% away from its average target price, indicating that there is an analyst consensus of strong upside potential.
Sunrun has an unusually large proportion of its shares sold short because 19.1% of the company's shares are sold short. Institutions own 95.9% of the company's shares, and the insider ownership rate stands at 2.72%, suggesting a decent amount of insider shareholders. The largest shareholder is Blackrock Inc., whose 14% stake in the company is worth $557,813,405.
