Sunrun (NASDAQ:RUN) Posts Quarterly Earnings Results, Beats Expectations By $0.19 EPS

Sunrun (NASDAQ:RUN) announced its earnings results on Wednesday. The energy company reported $0.42 earnings per share for the quarter, topping the consensus estimate of $0.23 by $0.19, FiscalAI reports. Sunrun had a net margin of 17.88% and a return on equity of 14.06%. The business had revenue of $869.99 million during the quarter, compared to the consensus estimate of $746.87 million. During the same quarter in the prior year, the firm earned $1.07 earnings per share. The business’s quarterly revenue was up 52.8% compared to the same quarter last year.

Here are the key takeaways from Sunrun’s conference call:

• Storage demand reached a record, with a 74% storage attachment rate and more than 15,500 battery systems installed in Q2. Sunrun’s network now exceeds 4.6 GWh of installed storage capacity, supporting its strategy as a residential distributed power provider.
• Sunrun is shifting toward its higher-margin direct sales channel, where Q2 volume rose more than 20% sequentially and monthly sales growth exceeded 10% year over year in June and July. Management expects direct installation growth above 10% in the second half, though the sales-force ramp remains in progress.
• The company reduced full-year 2026 cash-generation guidance to $200 million-$375 million from $250 million-$450 million and lowered Aggregate Subscriber Value guidance to $4.6 billion-$4.9 billion. The revisions reflect weaker affiliate volumes, the bankruptcy of Freedom Forever, slower direct-sales ramp-up costs, and higher interest rates.
• Sunrun expects its distributed power plant fleet to generate approximately $40 million of GAAP gross revenue and more than $10 million of operating margin in 2026, with substantial future growth opportunities through utilities, energy markets, retail providers, and hyperscalers.
• Capital-market access remained constructive, including a $267 million securitization priced at a 200-basis-point spread, 20 basis points better than the prior transaction. Management also reported approximately $1.5 billion of non-recourse asset-level debt financing raised year to date and expects additional securitizations in the second half.

Sunrun Price Performance

Sunrun stock traded down $0.54 during mid-day trading on Wednesday, reaching $10.49. The company had a trading volume of 12,666,509 shares, compared to its average volume of 9,720,039. The stock’s 50-day simple moving average is $12.53 and its 200-day simple moving average is $14.21. Sunrun has a 1 year low of $9.01 and a 1 year high of $22.44. The company has a debt-to-equity ratio of 3.44, a current ratio of 1.45 and a quick ratio of 1.09. The company has a market capitalization of $2.50 billion, a P/E ratio of 4.92 and a beta of 2.35.

Trending Headlines about Sunrun

Here are the key news stories impacting Sunrun this week:

• Positive Sentiment: Sunrun reported second-quarter adjusted earnings of $0.42 per share and revenue of approximately $870 million, exceeding consensus estimates of $0.23 and $747 million, respectively. Revenue increased 52.8% from the prior year. Sunrun Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: Storage momentum was strong: the battery attachment rate reached a record 74%, while networked storage capacity reached 4.6 gigawatt-hours. Aggregate subscriber value was approximately $1.2 billion. Sunrun Reports Second Quarter 2026 Financial Results
• Positive Sentiment: Sunrun priced a $267 million securitization of residential solar and storage assets, supporting liquidity and the company’s asset-financing model. Sunrun Prices $267 Million Securitization

Insiders Place Their Bets

In other Sunrun news, CAO Maria Barak sold 3,278 shares of the company’s stock in a transaction on Thursday, July 9th. The stock was sold at an average price of $12.17, for a total value of $39,893.26. Following the sale, the chief accounting officer owned 90,033 shares of the company’s stock, valued at approximately $1,095,701.61. This represents a 3.51% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CRO Paul S. Dickson sold 15,613 shares of Sunrun stock in a transaction on Monday, July 6th. The stock was sold at an average price of $13.18, for a total value of $205,779.34. Following the transaction, the executive directly owned 839,539 shares of the company’s stock, valued at $11,065,124.02. This trade represents a 1.83% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders have sold 223,045 shares of company stock worth $2,934,835. 3.55% of the stock is owned by insiders.

Hedge Funds Weigh In On Sunrun

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Kestra Advisory Services LLC purchased a new stake in shares of Sunrun in the fourth quarter valued at about $30,000. Zions Bancorporation National Association UT purchased a new position in shares of Sunrun during the 4th quarter worth approximately $31,000. UMB Bank n.a. raised its position in shares of Sunrun by 62.9% during the 4th quarter. UMB Bank n.a. now owns 1,732 shares of the energy company’s stock worth $32,000 after purchasing an additional 669 shares during the last quarter. Smartleaf Asset Management LLC raised its position in shares of Sunrun by 181.0% during the 2nd quarter. Smartleaf Asset Management LLC now owns 4,130 shares of the energy company’s stock worth $34,000 after purchasing an additional 2,660 shares during the last quarter. Finally, Advisory Services Network LLC purchased a new stake in Sunrun in the 3rd quarter valued at approximately $38,000. Institutional investors and hedge funds own 91.69% of the company’s stock.

Analyst Upgrades and Downgrades

RUN has been the subject of several analyst reports. Glj Research reaffirmed a “sell” rating and set a $4.63 price objective on shares of Sunrun in a research note on Friday, July 10th. TD Cowen lowered their target price on Sunrun from $23.00 to $21.00 and set a “buy” rating on the stock in a research note on Thursday, May 7th. Deutsche Bank Aktiengesellschaft reissued a “hold” rating and issued a $17.00 target price on shares of Sunrun in a report on Friday, May 8th. Jefferies Financial Group cut their price target on Sunrun from $22.00 to $15.00 and set a “hold” rating for the company in a research note on Tuesday, April 7th. Finally, Barclays decreased their price target on Sunrun from $23.00 to $14.00 and set an “equal weight” rating for the company in a report on Tuesday, April 21st. Twelve research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, Sunrun currently has an average rating of “Hold” and a consensus target price of $18.81.

About Sunrun

Sunrun, Inc (NASDAQ: RUN) is a leading provider of residential solar energy systems in the United States. The company designs, installs and maintains rooftop solar panels and battery storage solutions for homeowners under flexible financing arrangements. Customers can choose from leasing, power purchase agreements or solar ownership models, all of which are supported by Sunrun’s network of installation partners and service technicians. Sunrun also offers integrated home energy management services, including its Brightbox battery storage product, which enables customers to store solar energy for use during peak hours or power outages.

Founded in 2007 by Lynn Jurich, Ed Fenster and Nat Kreamer, Sunrun is headquartered in San Francisco, California.