SolarEdge Stock Is Rising, While Sunrun Shares Slide: What's Going On?

SolarEdge Technologies Inc SEDG and Sunrun Inc RUN reported first-quarter financial results after the bell on Wednesday. The pair of solar stocks are moving in opposite directions Thursday morning.

SEDG Earnings: SolarEdge reported first-quarter revenue of $943.89 million, which beat estimates of $932.7 million, according to Benzinga Pro. The company reported quarterly earnings of $2.90 per share, which beat estimates of $1.94 per share.

"Our diverse geographic and segmental footprint enables us to continue to grow revenues without being overly dependent on any single market or segment. As we see supply chain challenges gradually improving, we remain focused on execution and efficiencies to drive up margins and profitability," said Zvi Lando, CEO of SolarEdge.

SolarEdge expects second-quarter revenue to be in the range of $970 million to $1.01 billion versus estimates of $986.37 million. The company anticipates a gross margin of 32% to 35%.

RUN Earnings: Sunrun said first-quarter revenue increased 19% year-over-year to $589.8 million, which beat average analyst estimates of $518.39 million. The company reported a quarterly net loss of $1.12 per share versus a loss of 42 cents in the prior year's quarter.

"The Sunrun team is focused on crushing it on the fundamentals, driving strong, profitable and sustainable growth. Demand for clean affordable energy from Sunrun continued to accelerate in the first quarter," said Mary Powell, CEO of Sunrun.

Sunrun reaffirmed Solar Energy Capacity Installed growth of 10% to 15% for full-year 2023. Net Subscriber Value is expected to increase sequentially in the second quarter and to be "materially higher" in the second half of the year.

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SEDG, RUN Price Action: SolarEdge shares were up 10.7% at $292, while Sunrun shares were down 1.85% at $19.68 at time of publication, according to Benzinga Pro.

Photo: PublicDomainPictures from Pixabay.