SunPower (SPWR) Stock Rating Upgraded by Zacks Investment Research

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Zacks Investment Research upgraded shares of SunPower (NASDAQ:SPWR) from a strong sell rating to a buy rating in a report issued on Tuesday, Zacks.com reports. The firm currently has $8.25 price target on the semiconductor company’s stock.

According to Zacks, “SunPower is one of the most forward-integrated solar companies, having more than a decade-long experience in designing, manufacturing and supplying large-scale solar systems. Currently, the company aims to leverage its experience in commercial solar-plus-storage and adapt that to the residential market. Further, to tap the growing demand for solar products, SunPower has already undertaken several initiatives to strengthen its existing operations and scale up production volumes. However, SunPower is witnessing a significant reduction in demand in its Power Plant market on account of policy changes in China during 2018. The fall in demand increased the pressure on standard efficiency and commodity panel pricing, which is adversely impacting factory utilization rates and the suppliers’ margin. Its shares underperformed the industry in the past twelve months.”

Several other research firms have also recently issued reports on SPWR. BidaskClub upgraded shares of SunPower from a hold rating to a buy rating in a research note on Wednesday, April 10th. ValuEngine upgraded shares of SunPower from a hold rating to a buy rating in a research note on Wednesday, April 10th. JPMorgan Chase & Co. assumed coverage on shares of SunPower in a research note on Thursday, April 11th. They issued a neutral rating and a $7.50 target price on the stock. Bank of America cut shares of SunPower from a neutral rating to an underperform rating and set a $6.00 target price on the stock. in a research note on Friday, February 15th. Finally, Credit Suisse Group cut shares of SunPower from an outperform rating to a neutral rating and lowered their target price for the stock from $10.00 to $7.00 in a research note on Friday, February 15th. Two investment analysts have rated the stock with a sell rating, four have issued a hold rating and three have given a buy rating to the stock. The stock presently has an average rating of Hold and an average price target of $7.11.

Shares of SPWR stock opened at $7.58 on Tuesday. The company has a quick ratio of 1.09, a current ratio of 1.52 and a debt-to-equity ratio of 39.39. SunPower has a 12 month low of $4.55 and a 12 month high of $10.00.

SunPower (NASDAQ:SPWR) last posted its earnings results on Wednesday, February 13th. The semiconductor company reported ($0.25) earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of ($0.38) by $0.13. SunPower had a negative net margin of 46.99% and a negative return on equity of 83.67%. The business had revenue of $525.40 million for the quarter, compared to analysts’ expectations of $566.06 million. During the same period in the prior year, the company posted $0.25 EPS. The business’s revenue for the quarter was down 36.2% compared to the same quarter last year. On average, research analysts forecast that SunPower will post -0.89 earnings per share for the current year.

Large investors have recently modified their holdings of the company. ETF Managers Group LLC increased its holdings in shares of SunPower by 15.8% in the 4th quarter. ETF Managers Group LLC now owns 16,339 shares of the semiconductor company’s stock worth $81,000 after buying an additional 2,226 shares during the last quarter. Legal & General Group Plc increased its holdings in shares of SunPower by 11.7% in the 4th quarter. Legal & General Group Plc now owns 21,138 shares of the semiconductor company’s stock worth $105,000 after buying an additional 2,214 shares during the last quarter. Metropolitan Life Insurance Co. NY increased its holdings in shares of SunPower by 483.6% in the 4th quarter. Metropolitan Life Insurance Co. NY now owns 24,165 shares of the semiconductor company’s stock worth $120,000 after buying an additional 20,024 shares during the last quarter. SG Americas Securities LLC increased its holdings in shares of SunPower by 75.1% in the 4th quarter. SG Americas Securities LLC now owns 25,935 shares of the semiconductor company’s stock worth $129,000 after buying an additional 11,124 shares during the last quarter. Finally, Alps Advisors Inc. increased its holdings in shares of SunPower by 21.7% in the 4th quarter. Alps Advisors Inc. now owns 31,732 shares of the semiconductor company’s stock worth $158,000 after buying an additional 5,652 shares during the last quarter. 27.59% of the stock is currently owned by hedge funds and other institutional investors.

About SunPower

SunPower Corporation researches, develops, manufactures, and delivers solar solutions worldwide. It operates through three segments: Residential, Commercial, and Power Plant. The company provides solar power components, including panels and system components, primarily to dealers, system integrators, and distributors.

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