Goldman sees 50% upside from here for Sunrun following results

Goldman Sachs says Sunrun shares are poised for a big increase after being on a downward trend all year. The residential solar company on Wednesday reported mixed first-quarter results . Revenue of $458 million missed analyst expectations of $471 million, according to FactSet. However, solar and storage installations for the quarter each exceeded the high end of Sunrun’s respective guidance ranges. “RUN continues to expect a 1Q24 trough with an inflection in 2H24,” Goldman Sachs analyst Brian Lee wrote in a note on Thursday. “We view the shift towards more profitable growth as a prudent change as management reiterated its cash generation guidance of achieving a $200mn-$500mn annualized run rate by 4Q24 despite the lower solar installations.” Goldman reiterated its buy rating on the shares and $18 price target, implying more than 50% upside from Wednesday’s closing price. Sunrun shares are down about 42% for the year. RUN YTD mountain Sunrun shares are down 41% in 2024 — CNBC’s Michael Bloom contributed reporting.