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.
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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
