PRISM Analysis: Solar Stocks Soar on Cooler October CPI
Inflation showed signs of slowing today as a cooler October Consumer Price Index (CPI) report left U.S. consumer prices unchanged. The flat report supported analyst opinions of the low likelihood of the Federal Reserve recommending interest rate increases in December.
It was a strong trading day for solar stocks which are typically vulnerable to rising interest rates and have been under pressure for some time. The PRISM Emerging New Energy Index tracks micro and small cap stocks producing power through wind turbines and harnessing solar energy and contributing to the renewable energy market through other environmentally-friendly methods such as uranium, hydropower and geothermal energy.
We took a look at a handful of solar companies that have outperformed today.
Sunrun Inc. is a leading designer and developer of residential solar energy systems in the United States. It also sells solar energy systems and products, including battery storage and solar energy systems. Sunrun ended the day up 19.50% at $11.03 with more than 21 million shares trading hands during the day.
Vision Energy Corporation, an energy company, develops midstream infrastructure for import, storage, and distribution of low-carbon energy products and hydrogen carriers to customers and supply-chains. It also develops a bulk liquid import and storage facility for the related products. The company’s share price rose by 50% during the day’s trading.
Enphase Energy sells home solar energy solutions in the United States and internationally. The company offers semiconductor-based microinverters and proprietary networking and software technologies, cloud-based monitoring service, storage solutions and electric vehicle charging solutions. Enphase performed strongly today, closing up 16.18% at $91.22 with volume at 8.1 million shares.
SunPower Corporation is a solar technology and energy services provider. Its solutions include the Equinox and SunVault systems which are pre-engineered modular solutions for residential applications that combine solar module technology with integrated plug-and-play power stations, cable management systems, and mounting hardware that enable dealers and installers to complete system installations, as well as for end customers to manage their energy production. SunPower finished the day up 15.61% at $4.40 with 6.3 million shares bought and sold.
SolarEdge Technologies designs, develops, and sells direct current optimized inverter systems for solar photovoltaic installations worldwide. The company provides residential, commercial, and large scale PV, energy storage and backup, electric vehicle charging, and home energy management solutions, as well as grid services; and e-Mobility, automation machines, and lithium-ion cells and batteries, as well as virtual power plants. SolarEdge jumped by 10.77% during the day to reach $79.35 with four million shares traded.