Why Sunrun Stock Jumped 9% Today
The stock of Sunrun (NASDAQ: RUN) closed the day 9.3% higher on Thursday. This morning, J.P. Morgan made the case that the residential solar installer should be considered as a play on "the de-carbonization, decentralization, and digitization of energy," TheFly.com reports, and it may even be able to parlay its leading position in the market into related solar opportunities, boosting its growth potential.
J.P. Morgan isn't alone in this view. According to Yahoo! Finance data, analysts who follow Sunrun on average expect the stock to grow earnings at a brisk 25% clip (or better) over the next five years. Relative to Sunrun's 29 forward price-to-earnings ratio, J.P. Morgan seems to think this is plenty fast to justify hanging an overweight rating on the stock, and assigning Sunrun shares a $19 price target.
Source Fool.com