Citi Maintains Hold Rating On SunPower

According to Citi, SunPower SPWRA Hold rating is maintained. Citi said that although SPWRA is accelerating its cost reductions, it is really struggling to maintain pace with peers as CQ4:11 cost/W of $1.48 is well above where competitors are already pricing. “While we remain negative on the fundamentals, we continue to rate the stock Hold (2S) with a $16.50 target based a SOP valuation methodology primarily due to the backing of Total.” SunPower closed yesterday at $16.24.