SunPower (SPWR, $22.25) got initiated with outperform rating at Evercore ISI.
Shares of solar panel maker SunPower got initiated with an outperform rating by analysts at Evercore ISI.
Analysts at Evercore indicated that the stock has been overlooked by investors in recent years , and therefore the stock trades at a discount relative to peers.
Analyst Sean Morgan wrote in a note to clients (as reported in CNBC), “…we believe investors are presently overlooking both industry and company specific long-term catalysts that will eventually help close the valuation gap.” Morgan cited six key tailwinds for SunPower including speed of adoption; a long-term trend of decreasing equipment costs; falling costs of solar ownership; an increase in electric vehicles; concerns over the reliability of the energy grid; and improving market sentiment concerning solar loan financing.
Additionally, the company’s strong balance sheet and healthy cash liquidity could lead to SunPower targeting high-margin growth opportunities around solar, storage, EV charging and home energy software, the note said (as reported in CNBC).
SPWR sees its Stochastic Oscillator recovers from oversold territory
On May 16, 2022, the Stochastic Indicator for SPWR moved out of oversold territory and this could be a bullish sign for the stock. Traders may want to buy the stock or buy call options. Tickeron's A.I.dvisor looked at 66 instances where the indicator left the oversold zone. In 56 of the 66 cases the stock moved higher in the following days. This puts the odds of a move higher at over 85%.
Throughout the month of 04/13/22 - 05/16/22, the price experienced a -29% Downtrend. During the week of 05/09/22 - 05/16/22, the stock fell -0.78%.
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where SPWR's RSI Indicator exited the oversold zone, 19 of 24 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 79%.
Following a +10.82% 3-day Advance, the price is estimated to grow further. Considering data from situations where SPWR advanced for three days, in 252 of 307 cases, the price rose further within the following month. The odds of a continued upward trend are 82%.
SPWR may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Momentum Indicator moved below the 0 level on April 14, 2022. You may want to consider selling the stock, shorting the stock, or exploring put options on SPWR as a result. In 78 of 98 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 80%.
The Moving Average Convergence Divergence Histogram (MACD) for SPWR turned negative on April 08, 2022. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 45 similar instances when the indicator turned negative. In 39 of the 45 cases the stock turned lower in the days that followed. This puts the odds of success at 87%.
SPWR moved below its 50-day Moving Average on April 21, 2022 date and that indicates a change from an upward trend to a downward trend.
The 10-day Moving Average for SPWR crossed bearishly below the 50-day moving average on April 27, 2022. This indicates that the trend has shifted lower and could be considered a sell signal. In 9 of 10 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 90%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where SPWR declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 78%.
The Aroon Indicator for SPWR entered a downward trend on May 16, 2022. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Tickeron has a positive outlook on this ticker and predicts a further increase by more than 4.00% within the next month with a likelihood of 74%. During the last month, the daily ratio of advancing to declining volumes was 1 to 1.62.
The Tickeron PE Growth Rating for this company is 1 (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is 21 (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Seasonality Score of 29 (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Profit vs. Risk Rating rating for this company is 69 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. SPWR’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 87, placing this stock better than average.
The Tickeron Price Growth Rating for this company is 86 (best 1 - 100 worst), indicating slightly worse than average price growth. SPWR’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of 96 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (7.375) is normal, around the industry mean (16.293). SPWR has a moderately high P/E Ratio (303.030) as compared to the industry average of (75.720). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (3.077). SPWR has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.024). P/S Ratio (1.835) is also within normal values, averaging (21.956).
The industry produces a diverse range of electricity-powered equipment, appliances and components, catering to both households and industries. The products include power, distribution and specialty transformers; electric motors, generators and motor-generator sets; switchgear and switchboard apparatus; light bulbs, tubes, fittings and electric signs etc. Consumer income, construction spending, and industrial production are major drivers of demand for this industry’s products. Large companies tend to have economies of scale in production, marketing, and distribution, while smaller companies can potentially carve out their own market through niche or specialty offerings. The US electrical products manufacturing industry includes about 5,700 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $125 billion. (according to a study published in First Research). Emerson Electric Co., Hubbell Incorporated and Eaton Corporation plc are major electrical products makers in the U.S.
The average market capitalization across the Electrical Products Industry is 3B. The market cap for tickers in the group ranges from 68.7K to 153.4B. NISSF holds the highest valuation in this group at 153.4B. The lowest valued company is SNRY at 68.7K.
The average weekly price growth across all stocks in the Electrical Products Industry was -1.71%. For the same Industry, the average monthly price growth was -10.43%, and the average quarterly price growth was -31.9%. ENKS experienced the highest price growth at 57.14%, while ILIKF experienced the biggest fall at -36.09%.
- 5/6/22 5:04 AM: SunPower (SPWR, $18.08) was a top weekly gainer, with a +5.24% jump
- 4/12/22 7:12 AM: SunPower (SPWR, $21.68) was a top loser this week, declining -9.82%
- 3/16/22 5:12 AM: SunPower (SPWR, $19.15) was a top loser this week, declining -7.31%
The average weekly volume growth across all stocks in the Electrical Products Industry was 3.95%. For the same stocks of the Industry, the average monthly volume growth was 53.85% and the average quarterly volume growth was -43.57%
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
Stocks in the group have a Negative Outlook today, backed by the MACD Indicator. Tickeron has a negative outlook on this group and predicts a further decline by more than 4.00% within the next month with a likelihood of 53%. During the last month, the daily ratio of advancing to declining volumes was 1 to 1.14.
35 stocks in the group of tickers exhibit a similar negative trend based on the MA50 indicator with an average likelihood of 76%.
The most notable companies in this group are Generac Holdings (NYSE:GNRC), SolarEdge Technologies (NASDAQ:SEDG), Lumentum Holdings (NASDAQ:LITE), SunPower Corp (NASDAQ:SPWR), Bloom Energy Corp (NYSE:BE), GrafTech International Ltd (NYSE:EAF), Canadian Solar (NASDAQ:CSIQ).
The average market capitalization across the group is 6.5B. The market cap for tickers in the group ranges from 0 to 75B. SBGSF holds the highest valuation in this group at 75B. The lowest valued company is ASTO at 0.
The average weekly price growth across all stocks in the group was -1.41%. For the same group, the average monthly price growth was -15.54%, and the average quarterly price growth was -35.45%. CNEY experienced the highest price growth at 33.33%, while ILIKF experienced the biggest fall at -32%.
- 5/14/22 4:22 AM: CEN Biotech (CENBF, $0.12) was a top weekly gainer, with a +9.5% jump
- 5/14/22 4:22 AM: Redflow (REFXF, $0.03) was a top weekly gainer, with a +11.31% jump
- 5/12/22 5:38 AM: Ametek (AME, $120.44) was a top loser this week, declining -5.26%. Expect a Downtrend reversal
The average weekly volume growth across all stocks in the group was 519.26%. For the same stocks of the group, the average monthly volume growth was 176.93% and the average quarterly volume growth was 36.54%
- 5/12/22 5:32 AM: The volume for Lumentum Holdings stock increased for four consecutive days, resulting in a record-breaking daily growth of 78% of the 65-Day Volume Moving Average
- 5/11/22 7:39 AM: The volume for Zinc8 Energy Solutions stock increased for two consecutive days, resulting in a record-breaking daily growth of 178% of the 65-Day Volume Moving Average
- 4/29/22 5:43 AM: The volume for Integer Holdings stock increased for one day, resulting in a record-breaking daily growth of 317% of the 65-Day Volume Moving Average
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows