Hottest Solar Stocks: Canadian Solar (CSIQ)
Following the lead of thin-film rival FSLR, Canadian Solar’s (CSIQ) shift towards being an owner/operator of grid-sized projects is also paying big benefits. CSIQ saw revenues jump 30% during the third quarter vs. the previous one and increase 50% vs. the same period a year ago. That was good for earnings of 56 cents per share of CSIQ stock.
Like the rest of the solar stocks on this list, CSIQ attributed those gains to its high-margin solutions and installation business. And as was the case with FSLR, Canadian Solar continues to rack up more contracts and sales in this business segment.
For the quarter, Canadian Solar increased its total utility-scale project pipeline to approximately 1,015 MW — a record for the solar stock. The latest deal at CSIQ involves the construction and sale of four utility-scale solar power plants — totaling 40 MW — in Ontario to private equity firm DIF Infrastructure Partners. That follows major CSIQ deals with TransCanada (TRP) and a private-equity arm of asset manager BlackRock (BLK).
All in all, Canadian Solar’s shift to focusing on large projects should help move the needle at CSIQ stock, especially compared to panel-only solar stocks like Yingli Green Energy (YGE).