Last Updated: 15 Sep 2024
Executive Summary
Canadian Solar Inc. (CSIQ) is a leading global provider of solar energy solutions. The company designs, develops, manufactures, and sells solar ingots, wafers, cells, modules, and other solar energy products. CSIQ has a strong financial position with a market capitalization of $925.125 million, EBITDA of $595.434 million, and EPS of $0.48. The company's trailing PE ratio is 29.12, and its forward PE ratio is 3.975. The latest stock price is $13.98, which is below the analyst target price of $20.33.
Company Overview
CSIQ is headquartered in Guelph, Canada, and has operations in over 20 countries. The company's products are used in a variety of applications, including residential, commercial, and industrial solar installations. CSIQ has a strong track record of innovation and has been recognized for its commitment to sustainability.
Fundamental Analysis
CSIQ's financial performance has been strong in recent years. The company's revenue has grown from $4.5 billion in 2019 to $6.5 billion in 2023. Net income has also increased significantly, from $234 million in 2019 to $485 million in 2023. CSIQ's gross profit margin is 19.4%, and its operating margin is 2.9%. The company's return on assets is 1.1%, and its return on equity is 3.4%.
CSIQ's balance sheet is also strong. The company has $1.2 billion in cash and equivalents and $1.5 billion in total debt. CSIQ's debt-to-equity ratio is 0.54, which is below the industry average.
Technical Analysis
CSIQ's stock price has been trending lower in recent months. The stock is currently trading below its 50-day and 200-day moving averages. The relative strength index (RSI) is 34.5, which indicates that the stock is oversold. The moving average convergence divergence (MACD) is also negative, which indicates that the stock is in a downtrend.
Short Term Outlook
The short-term outlook for CSIQ is mixed. The stock is currently trading below its technical support levels, which could lead to further declines. However, the company's fundamentals are strong, and the stock could rebound if the market sentiment improves.
Long Term Outlook
The long-term outlook for CSIQ is positive. The company is a leader in the solar energy industry, and the demand for solar energy is expected to grow in the coming years. CSIQ is well-positioned to benefit from this growth, and the stock could be a good long-term investment.
Analyst Recommendations
Analysts have a mixed view on CSIQ. One analyst has a strong buy rating on the stock, four analysts have a buy rating, four analysts have a hold rating, and two analysts have a sell rating. The average analyst target price is $20.33.
