PRISM Emerging New Energy’s NOVA Stock Sees Bright Spot Amid Solar Downturn
NOVA stock soared Thursday on news that countered previous expectations of Sunnova’s financial requirements. Despite initially announcing a need to raise $500 million for fiscal 2024 back in July, the solar-panel firm now confirms it won’t be necessary. CFO Robert Lane, in a recent investor conference call, attributed this positive turn to a series of measures, including trimming costs, hiking prices, and scaling back investments in new infrastructures. As a testament to their financial health, Sunnova reported a cash reserve of $725.1 million as of September 30.
Sunnova’s shares shot up 15% to $9.22 this Thursday, marking their most significant percentage rise since November 2022, based on data from Dow Jones Market. This uptick is also the largest post-earnings growth for Sunnova since their Q2 results announcement in July 2022.
For Q3, Sunnova declared a loss of 53 cents per share against a revenue of $198.4 million. This is in contrast to the FactSet-analyzed forecast of a 33-cent loss per share from a $205 million revenue.
Looking ahead, Sunnova anticipates its EBITDA for fiscal 2024 to range between $350 million and $450 million, surpassing the FactSet consensus estimate of $333.2 million.
In the recent conference call, CEO John Berger acknowledged the firm’s tenacity amid an uncertain market landscape, emphasizing the impact of rising interest rates and regulatory shifts in California on the residential solar demand.
However, 2023 has indeed tested the solar sector’s mettle. Sunnova’s stocks have diminished by 49% this year.
About Sunnova
Sunnova Energy International Inc. (NYSE: NOVA) is an industry-leading energy services company focused on making clean energy more accessible, reliable, and affordable for homeowners and businesses. Through its adaptive energy platform, Sunnova provides a better energy service at a better price to deliver its mission of powering energy independence. For more information, visit www.sunnova.com.
