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2/08/2013 @ 12:59PM |494 views
SunPower Off On Soft Guidance; Other Solar Shrs Also Fall
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SunPower shares are trading lower Friday following the company’s Q4 financial results, as Q1 revenue guidance failed to match Street estimates. The outlook has triggered widespread worries about the health of the solar sector, pressuring the shares of many other solar stocks.
For Q4, the company posted non-GAAP revenue of $785 million and adjusted EPS of 18 cents a share, beating the Street at $768.3 million and 15 cents.
“We exited 2012 with strong fourth-quarter results as we benefitted from our diversified downstream channel strategy, solid execution on our cost roadmap and increased customer demand for our high efficiency, industry leading technology,” CEO Tom Werner said in a statement.
But the Q1 outlook was mixed. The company is projecting revenue of $475 million to $550 million; consensus had been $544.3 million. On the other hand, SunPower sees adjusted profits of 5-20 cents a share, while the Street had been projecting a loss of 11 cents. On a GAAP basis, the company expects a loss of 60-85 cents a share. (So the company is projecting softer revenues, but better margins, in other words.)
The company added that it expects non-GAAP 2013 revenue to be flat with 2012's $2.62 billion; that’s not especially encouraging, but neither is it a surprise, given previous Street consensus at $2.59 billion.
SPWR is down 79 cents, or 9.4%, to $7.61.
Among other leading solar shares:
•First Solar is down 86 cents, or 2.8%, to $30.25.
•Suntech is down 5 cents, or 3.3%, to $1.47.
•Yingli Green Energy is down 12 cents, or 3.7%, to $3.12.
•Trina Solar is down 28 cents, or 5.2%, to $5.08.
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Eric Savitz Forbes Staff
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After a long career at Barron's, I joined Forbes as San Francisco bureau chief in December 2010. I've been writing about technology and investing for more than 25 years. With the Tech Trade, I've picked up where I left off when I was writing the Tech Trader Daily blog at Barrons.com. When I'm not working, you can find me riding my road bike around the Bay Area hills, managing my fantasy baseball team, rooting for my beloved Phillies and Eagles and hanging out in the Valley with my family. You can follow me on Facebook, on Twitter (@savitz), and on Google+.
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