Morgan Stanley Has Lowered Expectations for Sunrun (NASDAQ:RUN) Stock Price

Sunrun (NASDAQ:RUN) had its target price decreased by equities researchers at Morgan Stanley from $15.00 to $10.00 in a report issued on Wednesday, Benzinga reports. The brokerage presently has an “equal weight” rating on the energy company’s stock. Morgan Stanley’s target price would suggest a potential upside of 34.86% from the stock’s previous close.

Several other research firms also recently commented on RUN. Barclays reduced their price target on shares of Sunrun from $14.00 to $12.00 and set an “equal weight” rating on the stock in a research note on Friday, October 9th. Jefferies Financial Group restated a “hold” rating and set a $7.00 price objective on shares of Sunrun in a research note on Friday. Mizuho set a $18.00 price target on shares of Sunrun in a report on Thursday, August 6th. Oppenheimer reissued an “outperform” rating and set a $20.00 target price on shares of Sunrun in a research report on Thursday, August 6th. Finally, Roth Capital reaffirmed a “buy” rating on shares of Sunrun in a research report on Thursday, July 9th. Twelve research analysts have rated the stock with a Buy rating, eight have given a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $15.20.

Sunrun Price Performance

Sunrun stock traded down $0.38 during midday trading on Wednesday, reaching $7.42. 2,753,769 shares of the stock traded hands, compared to its average volume of 9,211,629. The stock’s fifty day moving average is $8.73 and its 200-day moving average is $11.45. Sunrun has a 12 month low of $7.22 and a 12 month high of $22.44. The company has a quick ratio of 1.00, a current ratio of 1.42 and a debt-to-equity ratio of 3.34. The stock has a market cap of $1.79 billion, a P/E ratio of 4.97 and a beta of 2.44.

Sunrun (NASDAQ:RUN) last announced its quarterly earnings results on Wednesday, August 5th. The energy company reported $0.42 earnings per share for the quarter, topping the consensus estimate of $0.23 by $0.19. The company had revenue of $869.99 million for the quarter, compared to analysts’ expectations of $746.87 million. Sunrun had a net margin of 11.59% and a return on equity of 9.59%. Sunrun’s quarterly revenue was up 52.8% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.07 earnings per share. As a group, equities research analysts anticipate that Sunrun will post 1.16 EPS for the current year.

Insider Transactions at Sunrun

In other Sunrun news, insider Jeanna Steele sold 10,042 shares of the firm’s stock in a transaction that occurred on Tuesday, October 6th. The stock was sold at an average price of $7.76, for a total transaction of $77,925.92. Following the completion of the sale, the insider owned 451,673 shares in the company, valued at $3,504,982.48. This trade represents a 2.17% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CRO Paul Dickson sold 15,837 shares of the company’s stock in a transaction that occurred on Tuesday, October 6th. The shares were sold at an average price of $7.76, for a total value of $122,895.12. Following the completion of the transaction, the executive directly owned 823,702 shares in the company, valued at approximately $6,391,927.52. The trade was a 1.89% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 118,719 shares of company stock valued at $1,031,277 in the last three months. 3.55% of the stock is currently owned by company insiders.

Institutional Trading of Sunrun

Institutional investors have recently added to or reduced their stakes in the stock. Amundi boosted its holdings in shares of Sunrun by 56.3% in the 1st quarter. Amundi now owns 3,300,626 shares of the energy company’s stock valued at $44,798,000 after buying an additional 1,188,564 shares in the last quarter. Bank of New York Mellon Corp purchased a new position in Sunrun during the 2nd quarter worth approximately $18,120,000. Connor Clark & Lunn Investment Management Ltd. acquired a new stake in Sunrun during the 2nd quarter worth about $4,210,000. EP Wealth Advisors LLC purchased a new position in Sunrun during the second quarter valued at approximately $1,960,000. Finally, Diversify Advisory Services LLC acquired a new position in shares of Sunrun in the 2nd quarter valued at $8,254,000. 91.69% of the stock is owned by institutional investors and hedge funds.

Sunrun News Summary

Here are the key news stories impacting Sunrun this week:

• Positive Sentiment: Sunrun reported record residential battery discharges of 669 megawatts on October 5 and 745 megawatts on October 6 during a California heat wave. The company said the dispatches helped utilities manage evening peak demand, demonstrating the value of its home-to-grid battery network and potentially strengthening its role in grid-services revenue. Sunrun Leads Record Grid Dispatch Delivering Enough Energy to Power Every Home in San Francisco and San Jose
• Positive Sentiment: California initiatives designed to contain rising electricity bills and expand virtual power plants are expected to benefit Sunrun, Tesla, Enphase Energy and Renew Home. Supportive state policies could increase demand for residential batteries and create additional opportunities for customer-sited energy resources. California Boosts Virtual Power Plants; These Clean Energy Players Benefit
• Neutral Sentiment: Susquehanna maintained a positive rating on Sunrun but lowered its price target from $15 to $13. The revised target still implies substantial upside from the stock’s $7.40 level, although the reduction signals more cautious expectations. Sunrun Price Target Update
• Neutral Sentiment: A Zacks article highlighted its Earnings ESP tool as a way to identify companies that could beat quarterly estimates, but it did not provide a specific new earnings forecast or fundamental update for Sunrun. Why Investors Need to Take Advantage of These 2 Oils and Energy Stocks Now
• Negative Sentiment: Sunrun remains well below its 50-day and 200-day moving averages and close to its 52-week low, indicating persistent technical weakness despite the recent California-related catalysts. Broader solar-sector tariff concerns also left Sunrun largely unchanged while some peers benefited. First Solar Climbs as Tariff Outlook Shifts

Sunrun Company Profile

Sunrun Inc is a residential solar energy company that designs, installs, owns and maintains solar energy systems for homeowners. The company typically provides electricity through long-term agreements, including solar leases and power purchase agreements, allowing customers to use electricity generated by rooftop solar systems without purchasing the equipment outright.

Sunrun also offers energy storage solutions, including its BrightBox battery system, which can store electricity for use during outages, periods of high demand or when solar generation is unavailable.