Canadian Solar's Earnings Outlook

Canadian Solar (NASDAQ:CSIQ) is gearing up to announce its quarterly earnings on Thursday, 2025-08-21. Here's a quick overview of what investors should know before the release.

Analysts are estimating that Canadian Solar will report an earnings per share (EPS) of $0.98.

Investors in Canadian Solar are eagerly awaiting the company's announcement, hoping for news of surpassing estimates and positive guidance for the next quarter.

It's worth noting for new investors that stock prices can be heavily influenced by future projections rather than just past performance.

Earnings History Snapshot

The company's EPS missed by $0.04 in the last quarter, leading to a 1.5% increase in the share price on the following day.

Here's a look at Canadian Solar's past performance and the resulting price change:

Quarter Q1 2025 Q4 2024 Q3 2024 Q2 2024
EPS Estimate -1.03 -0.24 -0.12 0.13
EPS Actual -1.07 -1.47 -0.31 0.02
Price Change % 1.0% 2.0% 5.0% 10.0%

Stock Performance

Shares of Canadian Solar were trading at $12.54 as of August 19. Over the last 52-week period, shares are up 1.23%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Insights Shared by Analysts on Canadian Solar

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Canadian Solar.

A total of 2 analyst ratings have been received for Canadian Solar, with the consensus rating being Outperform. The average one-year price target stands at $16.0, suggesting a potential 27.59% upside.

Peer Ratings Overview

This comparison focuses on the analyst ratings and average 1-year price targets of Indie Semiconductor, Alpha & Omega and CEVA, three major players in the industry, shedding light on their relative performance expectations and market positioning.

  • Analysts currently favor an Buy trajectory for Indie Semiconductor, with an average 1-year price target of $7.0, suggesting a potential 44.18% downside.
  • Analysts currently favor an Buy trajectory for Alpha & Omega, with an average 1-year price target of $30.0, suggesting a potential 139.23% upside.
  • Analysts currently favor an Buy trajectory for CEVA, with an average 1-year price target of $40.0, suggesting a potential 218.98% upside.

Analysis Summary for Peers

The peer analysis summary outlines pivotal metrics for Indie Semiconductor, Alpha & Omega and CEVA, demonstrating their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Company Consensus Revenue Growth Gross Profit Return on Equity
Canadian Solar Outperform -9.97% $140.49M -1.22%
Indie Semiconductor Buy -1.38% $20.94M -9.81%
Alpha & Omega Buy 7.20% $35.18M -9.02%
CEVA Buy -9.70% $22.13M -1.38%

Key Takeaway:

Canadian Solar is positioned in the middle compared to its peers in terms of consensus rating. It ranks at the bottom for revenue growth among its peers. In gross profit, Canadian Solar is at the top among its peers. However, it ranks at the bottom for return on equity.

Delving into Canadian Solar's Background

Canadian Solar Inc is a Canadian solar technology and renewable energy company. It is a manufacturer of solar photovoltaic modules, a provider of battery energy storage solutions, and a developer of utility-scale solar power and battery energy storage projects.. It operates through two business segments CSI Solar and Recurrent Energy segment. The CSI Solar segment focused on solar modules and battery energy storage manufacturing and products. Its Recurrent segment focused on utility-scale solar power and battery energy storage project development and operation. Key revenue is generated from CSI Solar segment.

Breaking Down Canadian Solar's Financial Performance

Market Capitalization Analysis: Positioned below industry benchmarks, the company's market capitalization faces constraints in size. This could be influenced by factors such as growth expectations or operational capacity.

Revenue Challenges: Canadian Solar's revenue growth over 3 months faced difficulties. As of 31 March, 2025, the company experienced a decline of approximately -9.97%. This indicates a decrease in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Information Technology sector.

Net Margin: Canadian Solar's net margin excels beyond industry benchmarks, reaching -2.84%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of -1.22%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): Canadian Solar's ROA stands out, surpassing industry averages. With an impressive ROA of -0.25%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: Canadian Solar's debt-to-equity ratio stands notably higher than the industry average, reaching 2.34. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

To track all earnings releases for Canadian Solar visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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