Solar stocks are taking a beating on Wednesday after Truist analyst Jordan Levy hit two companies with downgrades.
First up is Sunrun (NASDAQ:RUN), which was downgraded from a “buy” rating to a “hold” rating by the Truist analyst. To put that in perspective, the analysts’ consensus rating for RUN stock is a moderate buy based on 20 opinions.
To go along with that downgrade, Levy also decreased his price target for RUN stock from $30 per share to $12 per share. That still represents a potential 13% upside for the stock. However, it’s well below the analysts’ consensus price prediction of $30.63 per share.
Solar Stocks Downgrade: NOVA
The other solar stock that was downgraded by the Truist analyst is Sunnova (NYSE:NOVA). This also drops the stock from a “buy” rating to a “hold” rating. Yet again, the analysts’ consensus rating for this stock is a moderate buy based on 26 opinions.
With that downgrade comes a lowered price target, dropping NOVA from $35 per share to $11 per share. Even so, this is still a potential 17% upside for the shares. Despite that, it’s now below the analysts’ consensus price prediction of $29.08 per share for NOVA.
Here’s what Levy said about the stocks in a note to clients obtained by CNBC:
“While we believe NOVA & RUN will continue to take share given their strength in TPO [third-party owner] financing, equity price response post 2Q results makes it clear to us that the market is no longer rewarding outsized growth while companies continue to compete in the ‘land grab’ U.S. resi space.”
RUN stock is down 8.5%, while NOVA stock is down 8.1% as of Wednesday morning.
There’s plenty more stock market news that investors need to know about today!
Luckily, we’ve got all of that news ready to go with our coverage of Wednesday’s latest stock happenings. That includes what’s going on with shares of Mullen Automotive (NASDAQ:MULN), Lithium Americas Corp (NYSE:LAC), and Tilray (NASDAQ:TLRY stock today. You can catch up on these matters at the links below!
More Stock Market News for Thursday
- MULN Stock: Mullen Addresses Lawrence Hardge in New Filing
- LAAC Stock Alert: What to Know as Lithium Argentina Starts Trading
- Why Is Tilray (TLRY) Stock Down 4% Today?
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
