Lee Cooperman’s Omega Advisors opens a new position in T-Mobile
Cooperman seems to be following the trend of other other hedge funds such as Third Point and Paulson to capitalize on consolidation in the telecom space.
SUNE’s TerraForm Global Goes Public, to Focus on Emerging Markets
After launching TerraForm Power (TERP) in 2014, SunEdison (SUNE) launched an IPO of its much hyped emerging market yieldco, TerraForm Global (GLBL), in July 2015.
Why Greenlight started a new position in Lam Research Corporation
Greenlight disclosed a new position in Lam Research Corporation, which accounts for 1.01% of the fund’s 1Q 2014 portfolio.
Greenlight opens a new position in REIT American Capital Agency
Greenlight disclosed a new position in American Capital Agency Corporation. It accounts for 1.69% of the fund’s 1Q 2014 portfolio.
What to Expect From First Solar’s 2Q16 Earnings
First Solar (FSLR) is expected to announce its 2Q16 earnings results on August 4, 2016, after market hours.
Introducing SolarCity, a Powerhouse in Solar Technology
SolarCity is a vertically-integrated solar company. Despite advancing technology and expanding reach, it has seen negative earnings most years since 2007.
Why Greenlight decided to exit its position in General Motors
Greenlight disposed of its stake in General Motors, which accounted for 9.55% of the fund’s 4Q 2013 portfolio.
SunEdison’s Solar Energy and Semiconductor Businesses
On December 2, 2016, GlobalWafers completed the acquisition of SunEdison Semiconductor for $683.0 million.
Can Vivint Solar Beat Analysts’ 2Q16 Estimates?
Vivint Solar (VSLR) will announce its 2Q16 earnings results on August 8, 2016, after Market hours. In this series, we’ll look at analysts’ expectations for 2Q16 and 2016 guidance.
Yieldco: A Green Investment Option That Pays
While REITs started trading in 1951 and MLPs started off in 1981, the first yieldco was floated in 2005 by Seaspan Corporation, a shipping company.
What Factors Have Driven Downstream Solar Stocks So Far in 2016?
In this series, we will perform a comparative analysis of downstream solar companies’ 1Q16 earnings and SunPower’s downstream operations. We will take a close look at its management’s guidance and analyst expectations for 2016.
A Closer Look at Trina Solar’s 2Q16 Shipments
Trina Solar (TSL) had given shipment guidance of 1,500 MW (megawatts) to 1,600 MW for 2Q16. However, the company reported 1,658.3 MW of solar (TAN) module shipments recognized in its revenue for 2Q16.
Omega Advisors buys stake in IntercontinentalExchange
Omega Advisors opened a new 1.36% position in Intercontinentalexchange (ICE), a leading operator of global markets and clearing houses, in the fourth quarter.
SunEdison or FirstSolar? Diversification or a Strong Focus?
FirstSolar (FSLR) nailed its 2Q15 earnings. The company’s focus on solar power differentiates it from SunEdison (SUNE).
Solar Stocks and ETFs Drop Following EU Decision
The European Union decided to review a minimum import price agreement for Chinese solar panels, pulling the solar stocks down.
Why Canadian Solar’s Shipments Rose during 3Q17
In 4Q17, Canadian Solar expects its solar module shipments to reach ~1.7–1.8 GW.
Assessing Greenlight Capital’s 1st quarter 2014 positions
In this series, we’ll go through some of the main positions that Greenlight Capital, founded by David Einhorn, traded in 1Q 2014.
SunEdison and FirstSolar Publish Their 2Q15 Earnings
FirstSolar (FSLR) and SunEdison (SUNE) published their 2Q15 earnings on August 4 and August 6, respectively. The results starkly contrasted with each other.
Understanding SunEdison’s Business Model
SunEdison’s business model is divided into three revenue segments: Solar Energy, Semiconductor Materials, and TerraForm Power.
TerraForm Global: SunEdison’s Other Yieldco
SunEdison (SUNEQ) formed TerraForm Global in early 2015 to own and operate renewable energy assets in emerging markets.
TerraForm Power: SunEdison’s Investment Yield Vehicle
SunEdison (SUNEQ) launched a yieldco under the name SunEdison Yieldco in January 2014, which was renamed TerraForm Power in May 2014.
SunEdison’s Business Model and How It Works
The Renewable Energy Development segment provides integrated renewable energy (PBW) services that include design, installation, and overseeing operations of clean energy projects.
Vivint Solar Acquisition Plan Triggered SunEdison’s Collapse
SunEdison (SUNEQ) announced the intent to acquire residential rooftop solar (TAN) power provider Vivint Solar (VSLR) on July 19, 2015. However, the market reacted negatively.
What’s the Story behind SunEdison’s Bankruptcy?
Factors that spearheaded SunEdison’s bankruptcy were leveraged acquisitions and the liquidity crisis.
How India Became First Solar’s Second-Biggest Market
India’s rising electricity demand According to the EIA’s (U.S. Energy Information Administration) 2017 International Energy Outlook, India’s electricity generation is expected to increase by 3.2% per year through 2040, to meet increasing electricity demand in rural areas. Solar outlook Even though coal is the primary fuel used for electricity generation in India, the focus on renewable […]
What to Expect from Yingli Solar’s 3Q16 Earnings
Yingli (or Yingli Solar) (YGE) is set to announce its 3Q16 earnings on December 8, 2016. In this series, we’ll look at analysts’ expectations for Yingli Solar’s 3Q16 earnings.
How Did Trina Solar’s Costs Affect Its Gross Margin in 3Q16?
In 3Q16, Trina Solar (TSL) reported a gross profit of $125.6 million compared to $176.3 million in 2Q16. On a YoY basis, the company’s gross profit fell nearly 9.0%.
Focusing on First Solar’s 3Q Earnings for Signs of Growth
First Solar’s adjusted EBITDA for 3Q15 came in at $466 million. For 3Q16, analysts expect First Solar’s adjusted EBITDA to be around $120 million.
Can Renewable Energy Get Over the Clean Power Plan Hurdle?
The Clean Power Plan could set a bigger stage for renewable energy in the energy mix of the United States. Renewable energy could outweigh energy from all fossil fuels combined by 2040.
SunEdison: Why $2.4 Billion in Liquidity May Not Be Enough
SunEdison (SUNE) reported $2.4 billion in cash and cash equivalents (including marketable securities) as of September 30, 2015.
TerraForm Global Boasts a Better Balance Sheet than Peers
Compared to SunEdison and TerraForm power, TerraForm Global seems to be in a better financial position with a large part of total assets parked in cash.
Is SunEdison Caught in a Debt Trap?
Debt So far in this series, we’ve looked at operating metrics, liquidity, and fixed assets for SunEdison (SUNE) and its family, including TerraForm Power (TERP) and TerraForm Global (GLBL). Without discussing debt and related metrics, we can’t test the hypothesis in the series title properly. The most important reason for the recent fall in SunEdison’s […]
SunEdison Keeps Crashing and Burning—Now Even Faster
SunEdison (SUNE) has two publicly traded subsidiaries. It offers us the opportunity to analyze each company separately, aiding our quest for value.
Why Care about SunEdison and TerraForm’s Losing Spree?
SunEdison (SUNE), TerraForm Power (TERP), and TerraForm Global (GLBL) have been in the news in recent weeks due to a massive outflow of funds.
Why SunEdison’s Leverage Keeps Growing—Even after GLBL IPO
SunEdison’s leverage is a major concern among investors and analysts.
Why Has SunEdison Fallen since Its 3Q15 Earnings Announcement?
SunEdison reported its 3Q15 earnings on November 9, 2015. The company reported a loss per share (or LPS) of $0.91 in 3Q15.
Why Did the Solar Sector Underperform the S&P 500 in 3Q15?
With 3Q15 earnings season over and all eyes shifted to 4Q15 and beyond, we’re taking an opportunity to update our readers on the 3Q15 earnings of all major American solar companies.
Key for Investors: Understanding the EPA’s Clean Power Plan
Over the long term, the EPA’s Clean Power Plan provides a great opportunity to renewable energy companies like SunEdison (SUNE).
Arguments for and against the Clean Power Plan
The CPP (Clean Power Plan) is the first major nationwide initiative proposed by the EPA as a step towards a cleaner environment.
Renewable Energy Stole Natural Gas’ Thunder
“Renewable energy sources” refers to energy sources that are naturally replenished. Hydroelectric, wind, and solar are the major renewable energy sources.
SunEdison to Acquire Vivint Solar for $2.2 billion
On July 20, 2015, SunEdison (SUNE) announced that it has entered into an agreement to acquire Vivint Solar (VSLR) for $2.2 billion in cash and stock.
SolarCity’s Potential on the Horizon
SolarCity’s stock price gained 412% since December 2012. We’ll see if it can match its increasing market share with increased earnings.
Clean Energy ETFs: An Overview of the Recent Trends
Clean energy stocks also have shown about -35% growth in the last year. Social awareness and government incentives may be the factors to drive growth.
FirstSolar Presents Bullish Guidance for 2H15
FirstSolar (FSLR) expects to generate $3.5 billion to $3.6 billion in revenues in 2015. This implies that its revenues in 2H15 should come in at around $2.2 billion.
FirstSolar versus SunEdison: For FirstSolar, Cash Is King
FirstSolar (FSLR) and SunEdison (SUNE) vary greatly in their respective asset composition, just like they do with their business models and cost structures.
FirstSolar Focuses on Dollars while SunEdison Focuses on Megawatts
While FirstSolar’s (FSLR) guidance focuses on dollars, SunEdison’s (SUNE) guidance focuses more on capacities.
Why Did SunEdison’s Costs Rise in 2Q15?
Unlike FirstSolar (FSLR), which manufactures much of its solar panel requirements in-house, SunEdison (SUNE) procures its requirements from outside vendors.
SunPower Reports a Net Loss in 1H15
SunPower spent $68.8 million during 1H15 on capital expenditures. And it received $341.2 million from the asset transfer to 8point3 Energy LP during the same period.
FirstSolar and SunEdison: What’s the Biggest Difference?
SunEdison (SUNE) is highly leveraged with total debt of $10.7 billion on its books as of June 30, 2015. This includes the debt on TerraForm Power (TERP) and TerraForm Global’s (GLBL) books.
FirstSolar Records Impressive Cost Performance in 2Q15
FirstSolar’s (FSLR) cost of sales increased 62% to $731.7 million in 2Q15 from $451.6 million in 2Q14. However, an increase in revenues offset the increase.
FirstSolar and SunEdison’s Cost Performance in 1H15
While FirstSolar (FSLR) exhibited impressive cost performance in 2Q15, its 1H15 cost performance was marred by poor 1Q15 performance.
FirstSolar’s Net Income Jumps More than 20-Fold in 2Q15
How did FirstSolar (FSLR) perform on different profitability and cash flow measures in 2Q15? We’ll start the discussion with operating profit.
SunEdison Reports Modest Revenue Growth in 2Q15
While FirstSolar (FSLR) reported a 65% increase in its revenues primarily by selling projects to Southern Company (SO), SunEdison (SUNE) gave up on higher revenue growth by retaining projects.
Why Analyze FirstSolar and SunEdison’s 2Q15 Earnings Together?
FirstSolar (FSLR) and SunEdison (SUNE) have a lot in common. Both these companies earn over half of their total revenues from building solar power plants.
Southern Company Helps FirstSolar’s Revenue Rise 65% in 2Q15
FirstSolar (FSLR) reported $896.2 million in revenues in 2Q15, 65% higher than 2Q14’s $350.3 million.
SunPower Maintains Gross Margin in 2Q15 despite Less Revenue
SunPower (SPWR) reported total cost of revenues of $310.1 million in 2Q15, or 81% of revenues. In spite of reduced revenues, the company maintained its gross margin at 19% in 2Q15.
First Solar Rises 17.56% in the Week Ending August 7
On August 4, 2015, First Solar (FSLR) declared its 2Q15 results. It reported earnings of $896 million and net income of $94.5 million.
SunPower Reports Net Income Drop in 2Q15
Interest costs dropped to $8.5 million in 2Q15 from $16.3 million in 2Q14, as SunPower refinanced its high-cost debt with low-cost debt in late fiscal 2014.
SunPower in 1H15: Why Revenues Were Subdued
SunPower (SPWR) is a key component of the Guggenheim Solar ETF (TAN) and accounts for 5.1% of the fund’s total holdings.
SunPower Stock Loses 10% in 2Q15, but Why?
In 1Q15, SunPower (SPWR) stock rose 21%, primarily due to the announcement of the joint formation of 8point3 Energy Partners (CAFD) in collaboration with FirstSolar (FSLR).
What Does the Future Hold for SunPower?
In 3Q15, SunPower (SPWR) expects to generate $400 million to $450 million in revenues and net losses of $0.50 to $0.60 per share.
SunPower in 1H15: Why Its Gross Margin Dropped
SunPower (SPWR) reported that its total cost of revenues were $660.2 million, or 80% of revenues, in 1H15. In 1H14, these costs were $943.2 million or 79% of revenues.
SunPower: Better Pricing Fails to Offset Lower Volumes in 2Q15
Though SunPower deployed 315 megawatts, or MW, of solar panels during the quarter, only 194 MW were considered in the calculation of revenues for this quarter.
SunPower Reports 2Q15 Earnings: Investor Highlights
SunPower (SPWR) is a major US manufacturer of high-efficiency crystalline silicon PV photovoltaic cells, panels, and roof tiles. The company reported $381 million in revenues in 2Q15.
Yieldcos With Organic Growth Prospects – Part 2
On the basis of agreed ROFO assets alone, TerraForm Power and 8Point3 Energy offer the best growth prospects.
TerraForm Power: Where the Wind Meets the Sun
TerraForm Power offers a good mix of residential solar, utility-scale solar, and wind energy assets.
Why Corporations Like SunEdison Sponsor Yieldcos
Renewable energy projects are costly affairs. Companies like SunEdison (SUNE) and First Solar (FSLR) expect to unlock substantial value through yieldcos.
The Advantages of Investing in Yieldcos
Some major advantages of investing in yieldcos and other securities are liquidity, smaller minimum investment requirements, and stable cash flows.
Equity Sub-Asset Class Basics for Retail Investors
Financial engineers are constantly introducing the market to new sub-asset classes, often confusing retail investors in the process.
First Solar’s stock, FSLR, gained over 25% in the last month
Before summing up our analysis on First Solar (FSLR), let’s have a look at the performance of its stock price since the beginning of 2014.
First Solar shines, trading at a discount to solar power peers
For the past couple of years, First Solar (FSLR) has been trading at a discount to its solar power industry (TAN) peers.
First Solar’s strong balance sheet sets it apart from its peers
As of December 31, 2014, First Solar (FSLR) had total debt of $216.9 million against $223.3 million at the end of fiscal 2013.
First Solar’s net profit rises in 2014 as its cash flows reduce
First Solar’s (FSLR) pretax profit increased 14% to $432.0 million in fiscal 2014 from $378.4 million in fiscal 2013.
First Solar’s 2014 gross margins fall due to increased costs
Despite higher volumes, First Solar’s (FSLR) cost of sales for its Components segment dropped 7% to $1.01 billion in FISCAL 2014 from $1.09 billion in fiscal 2013.
SunPower and First Solar announce plans for a joint yieldco
On February 23, 2015, First Solar (FSLR) and SunPower (SPWR) announced plans to set up a joint yieldco.
Why India could become First Solar’s second-biggest market
According to the US Energy Information Administration, India’s electricity demand should grow at 3.8% per year through 2040.
First Solar’s operations: A quick investor overview
Headquartered in Tempe, Arizona, First Solar (FSLR) operates under two business segments: the Components segment and the Systems segment.
Why Greenlight Capital starts new position in AerCap Holdings
Greenlight disclosed a new position in AerCap Holdings NV (AER). It accounts for 1.42% of the fund’s 2Q14 portfolio. Netherlands-based AerCap is an integrated global aviation company. It has a leading market position in aircraft leasing.
Why did Greenlight increase its position in SunEdison?
Greenlight increased its position in SunEdison from 0.23% in 4Q 2013, to 3.34% of the fund’s 1Q 2014 portfolio.
Why did Greenlight Capital initiate a position in Conn’s?
Greenlight Capital disclosed a new position in Conn’s Inc., which accounts for 1.92% of the fund’s 1Q 2014 portfolio.
Cooperman’s Omega Advisors establishes a new position in SunEdison
Omega Advisors initiated a new 1.50% position in SunEdison Inc (SUNE). SunEdison is a major developer and seller of photovoltaic energy solutions.
Omega Advisors opens a position in Gaming and Leisure Properties
Gaming and Leisure Properties (GLPI) is a new position initiated by Omega Advisors last quarter. Gaming and Leisure Properties is the first gaming-focused REIT, which was spun off from Penn National Gaming (PENN).