SunPower (SPWR) Signs Intent for All-Equity Acquisition of Cobalt Power Systems with $35M Revenue
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1d ago
0mins
Source: NASDAQ.COM
- Acquisition Intent: SunPower has signed a letter of intent to acquire Cobalt Power Systems, a California-based solar design and installation company with approximately $35 million in annual revenue, aiming to enhance its technological capabilities and customer base.
- Technological Edge: Cobalt is renowned for designing and installing 100-panel (45,000 watts) solar systems for Silicon Valley moguls, which is expected to bring advanced technology and tech-savvy customers to SunPower, driving future growth in the solar market.
- Project Expertise: As the first SunPower Elite Dealer in the U.S., Cobalt's projects include a 1.4-megawatt installation for Santa Clara University and commercial installations at the Fortinet building, showcasing its strong presence in high-end residential and educational sectors.
- Standalone Operation: SunPower plans to operate Cobalt as a standalone subsidiary, a move that not only helps maintain its brand value but also leverages Cobalt's market position to further expand its business and enhance overall competitiveness.
Analyst Views on SPWR
Wall Street analysts forecast SPWR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for SPWR is 4.50 USD with a low forecast of 3.00 USD and a high forecast of 6.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
2 Analyst Rating
2 Buy
0 Hold
0 Sell
Moderate Buy
Current: 1.690
Low
3.00
Averages
4.50
High
6.00
Current: 1.690
Low
3.00
Averages
4.50
High
6.00
About SPWR
SunPower Inc. is a solar installation and service company. The Company is a residential solar services provider in North America. Its digital platform and installation services support energy needs for customers who want to make the transition to an energy-efficient lifestyle. The Company's segment includes Residential Solar Installation and New Homes Business. The Residential Solar Installation segment performs solar system, storage and battery installations for residential homeowners. The New Homes Business segment performs solar system installations for new home builders. Its energy solutions include solar panels and solar battery storage.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
