Canadian Solar (NASDAQ:CSIQ) Shares Gap Down After Earnings Miss

Canadian Solar Inc. (NASDAQ:CSIQ)’s share price gapped down before the market opened on Thursday following a weaker than expected earnings announcement. The stock had previously closed at $13.87, but opened at $13.41. Canadian Solar shares last traded at $13.6010, with a volume of 651,464 shares.

The solar energy provider reported ($1.40) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.18) by ($1.22). The company had revenue of $1.21 billion for the quarter, compared to the consensus estimate of $1.17 billion. Canadian Solar had a negative net margin of 1.87% and a negative return on equity of 4.20%. The firm’s revenue for the quarter was down 28.7% on a year-over-year basis. During the same quarter last year, the company earned ($0.53) EPS.

Analyst Upgrades and Downgrades

Several research firms recently commented on CSIQ. Citigroup raised Canadian Solar from a “sell” rating to a “neutral” rating and increased their price objective for the company from $11.00 to $18.00 in a research note on Wednesday, July 22nd. Glj Research restated a “sell” rating and set a $5.58 price target on shares of Canadian Solar in a research report on Thursday. Freedom Capital downgraded shares of Canadian Solar from a “strong-buy” rating to a “hold” rating in a report on Tuesday, May 19th. Mizuho raised their target price on shares of Canadian Solar from $15.00 to $18.00 and gave the stock a “neutral” rating in a research note on Monday, June 15th. Finally, Wall Street Zen upgraded Canadian Solar from a “strong sell” rating to a “sell” rating in a report on Saturday, May 23rd. Three investment analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and four have issued a Sell rating to the company. According to data from MarketBeat, Canadian Solar presently has a consensus rating of “Reduce” and a consensus price target of $18.11.

Institutional Investors Weigh In On Canadian Solar

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Northwestern Mutual Wealth Management Co. acquired a new position in Canadian Solar in the 2nd quarter valued at about $25,000. Raymond James Financial Inc. acquired a new stake in Canadian Solar during the 2nd quarter valued at $33,000. Caitong International Asset Management Co. Ltd grew its holdings in shares of Canadian Solar by 335.1% during the third quarter. Caitong International Asset Management Co. Ltd now owns 3,198 shares of the solar energy provider’s stock worth $42,000 after buying an additional 2,463 shares in the last quarter. Optiver Holding B.V. purchased a new stake in shares of Canadian Solar in the first quarter valued at $44,000. Finally, Quarry LP purchased a new position in Canadian Solar during the fourth quarter worth approximately $54,000. 52.36% of the stock is currently owned by institutional investors and hedge funds.

Canadian Solar Stock Down 1.9%

The firm has a market cap of $923.58 million, a PE ratio of -5.41 and a beta of 1.52. The company has a debt-to-equity ratio of 0.99, a quick ratio of 0.81 and a current ratio of 1.06. The stock has a fifty day moving average price of $15.06 and a 200-day moving average price of $16.15.

Canadian Solar Company Profile

Canadian Solar Inc (NASDAQ: CSIQ) is a global renewable energy company that specializes in the design, development and manufacturing of solar photovoltaic (PV) modules and system solutions. Founded in 2001 and headquartered in Guelph, Ontario, the company has grown to become one of the world’s largest solar module suppliers. Canadian Solar offers a comprehensive portfolio of products, including mono- and multi-crystalline solar cells and modules, as well as advanced energy storage and system integration solutions tailored for residential, commercial and utility-scale applications.

In addition to manufacturing solar components, Canadian Solar provides end-to-end services encompassing project development, engineering, procurement and construction (EPC), as well as operations and maintenance.