Analyzing Xinyi Solar (OTCMKTS:XNYIF) and Sunrun (NASDAQ:RUN)

Sunrun (NASDAQ:RUN) and Xinyi Solar (OTCMKTS:XNYIF) are both energy companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, earnings, analyst recommendations, dividends, risk, institutional ownership and valuation.

Profitability

This table compares Sunrun and Xinyi Solar’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sunrun	-106.50%	19.34%	3.38%
Xinyi Solar	N/A	N/A	N/A

Earnings & Valuation

This table compares Sunrun and Xinyi Solar”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sunrun	$2.04 billion	2.17	-$2.85 billion	($11.18)	-1.71
Xinyi Solar	N/A	N/A	N/A	N/A	N/A

Xinyi Solar has lower revenue, but higher earnings than Sunrun.

Institutional & Insider Ownership

91.7% of Sunrun shares are held by institutional investors. 3.4% of Sunrun shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Sunrun and Xinyi Solar, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sunrun	1	8	13	0	2.55
Xinyi Solar	1	0	0	0	1.00

Sunrun currently has a consensus price target of $19.99, suggesting a potential upside of 4.71%. Given Sunrun’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Sunrun is more favorable than Xinyi Solar.

Summary

Sunrun beats Xinyi Solar on 8 of the 9 factors compared between the two stocks.

About Sunrun

Sunrun Inc. designs, develops, installs, sells, owns, and maintains residential solar energy systems in the United States. It also sells solar energy systems and products, such as panels and racking; and solar leads generated to customers. In addition, the company offers battery storage along with solar energy systems; and sells services to commercial developers through multi-family and new homes. Its primary customers are residential homeowners. The company markets and sells its products through direct-to-consumer approach across online, retail, mass media, digital media, canvassing, field marketing, and referral channels, as well as its partner network. Sunrun Inc. was founded in 2007 and is headquartered in San Francisco, California.

About Xinyi Solar

Xinyi Solar Holdings Limited, an investment holding company, produces and sells solar glass products in the People's Republic of China, rest of Asia, North America, Europe, and internationally. It operates in two segments, Sales of Solar Glass and Solar Farm Business. The company offers ultra-clear patterned solar glasses, back glasses, and anti-reflective coating solar glasses to photovoltaic module manufacturers. It also develops, operates, and manages solar farms; and provides engineering, procurement, and construction services. In addition, the company engages in the provision of solar power systems; and trading of solar glass products. Xinyi Solar Holdings Limited was founded in 2006 and is headquartered in Wuhu, the People's Republic of China.