Sunedison Inc, SolarCity Corp Hit Hard Landing on
Post# of 23083
Posted On: 12/22/2015 7:01:46 PM
Sunedison Inc, SolarCity Corp Hit Hard Landing on Appaloosa Inquiry
December 22, 2015 By Stephen Rhodes Leave a Comment Filed Under: Energy, News
Sunedison Inc (NYSE:SUNE) and SolarCity Corp (NASDAQ:SCTY) stock were hit hard in trading early on Tuesday morning. The firm’s performance appeared to reflect a broader drop across solar stocks after a massive rise in value over the last month.
The major reason for the crash in the value of the solar stocks on Tuesday appears to be a request from Appaloosa Capital Management to inspect the books of TerraForm Power. Appaloosa says that there may be conflicts of interest related to Sunedison’s pending purchase of Vivint Solar among other matters.
Sunedison, SolarCity stock hit doldrums
It’s not clear if David Tepper, who heads up Appaloosa Capital, is solely responsible for the massive drop in the value of Sunedison on Tuesday, but the inquiry he suggests is likely responsible for some of the losses. For Sunedison stock any negative could be multiplied as a result of the massive gain the firm has seen in the last few weeks.
To see a list of high yielding CDs go here.
In the last month SolarCity Corp (NASDAQ:SCTY) stock had gained more than 80 percent, while Sunedison Inc (NYSE:SUNE) stock gained more than 90 percent. On Tuesday’s market SolarCity stock was down by more than 4 percent at time of writing. Sundeison stock had lost more than 18 percent of its value at the same time.
the massive jump in shares this month is down to the new budget deal in the US. The deal secures new tax credits for solar outlay, making it much more appealing to purchase solar panels.
Looking forward for SolarCity, Sunedison
It’s not clear at this point how persistent wither the boom or crash in the value of these solar stocks will be. Some on Wall Street reckon that firms like SolarCity Corp (NASDAQ:SCTY) and Sunedison Inc (NYSE:SUNE) are worth a whole lot more than they are priced at right now.
On Monday Morgan Stanley analysts raised their price target on SolarCity stock to $104 based on the changed budget deal in Washington. On Tuesday Raymond James said the firm’s shares were worth $79, up from $60 in its last report. Pavel Molchanov, who authored the piece, said that the new tax credit made the firm’s roll out much quicker.
Despite that SolarCity and Sunedison have their share of detractors. The latter, which counts Elon Musk among its board members, is the target of a short by Jim Chanos of Kynikos Associates. Bronte Capital says that Sunedison has a whole lot of accounting problems. In an October report on its prospects, the firm said that there is a “pretty obvious conflict of interest in the “yield co” drop-downs.”
Those yield cos are at the center of Mr. Tepper’s inquiry for information about the Vivint deal. On Monday Standard & Poor’s said that two firms related to that deal were downgraded. It seems that a lot of voices on Wall Street expect solar to be a big deal in the years ahead, but the accounting of current leaders in the space leaves a whole lot to be desired.
December 22, 2015 By Stephen Rhodes Leave a Comment Filed Under: Energy, News
Sunedison Inc (NYSE:SUNE) and SolarCity Corp (NASDAQ:SCTY) stock were hit hard in trading early on Tuesday morning. The firm’s performance appeared to reflect a broader drop across solar stocks after a massive rise in value over the last month.
The major reason for the crash in the value of the solar stocks on Tuesday appears to be a request from Appaloosa Capital Management to inspect the books of TerraForm Power. Appaloosa says that there may be conflicts of interest related to Sunedison’s pending purchase of Vivint Solar among other matters.
Sunedison, SolarCity stock hit doldrums
It’s not clear if David Tepper, who heads up Appaloosa Capital, is solely responsible for the massive drop in the value of Sunedison on Tuesday, but the inquiry he suggests is likely responsible for some of the losses. For Sunedison stock any negative could be multiplied as a result of the massive gain the firm has seen in the last few weeks.
To see a list of high yielding CDs go here.
In the last month SolarCity Corp (NASDAQ:SCTY) stock had gained more than 80 percent, while Sunedison Inc (NYSE:SUNE) stock gained more than 90 percent. On Tuesday’s market SolarCity stock was down by more than 4 percent at time of writing. Sundeison stock had lost more than 18 percent of its value at the same time.
the massive jump in shares this month is down to the new budget deal in the US. The deal secures new tax credits for solar outlay, making it much more appealing to purchase solar panels.
Looking forward for SolarCity, Sunedison
It’s not clear at this point how persistent wither the boom or crash in the value of these solar stocks will be. Some on Wall Street reckon that firms like SolarCity Corp (NASDAQ:SCTY) and Sunedison Inc (NYSE:SUNE) are worth a whole lot more than they are priced at right now.
On Monday Morgan Stanley analysts raised their price target on SolarCity stock to $104 based on the changed budget deal in Washington. On Tuesday Raymond James said the firm’s shares were worth $79, up from $60 in its last report. Pavel Molchanov, who authored the piece, said that the new tax credit made the firm’s roll out much quicker.
Despite that SolarCity and Sunedison have their share of detractors. The latter, which counts Elon Musk among its board members, is the target of a short by Jim Chanos of Kynikos Associates. Bronte Capital says that Sunedison has a whole lot of accounting problems. In an October report on its prospects, the firm said that there is a “pretty obvious conflict of interest in the “yield co” drop-downs.”
Those yield cos are at the center of Mr. Tepper’s inquiry for information about the Vivint deal. On Monday Standard & Poor’s said that two firms related to that deal were downgraded. It seems that a lot of voices on Wall Street expect solar to be a big deal in the years ahead, but the accounting of current leaders in the space leaves a whole lot to be desired.
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Here is the best word that describes what i do here.
Intuitive;
means having the ability to understand or know something without any direct evidence or reasoning process.
I was born with it, I'm truly blessed!
Alway's searching for winners'
NASDAQ DIP and RIP
Here is the best word that describes what i do here.
Intuitive;
means having the ability to understand or know something without any direct evidence or reasoning process.
I was born with it, I'm truly blessed!
Alway's searching for winners'