Canadian Solar (NASDAQ:CSIQ) Hits New 12-Month Low - Time to Sell?

Key Points

• Canadian Solar shares fell 4.9% to a new 52-week low, trading as low as $10.86, well below their 50-day and 200-day moving averages.
• Analyst sentiment is cautious: the stock has an average “Reduce” rating, with three Buys, six Holds and four Sells, and a consensus price target of $17.75.
• The company reported a significant quarterly loss of $1.40 per share versus the expected $0.18 loss, while revenue fell 28.7% year over year to $1.21 billion.

Canadian Solar Inc. (NASDAQ:CSIQ - Get Free Report)'s share price reached a new 52-week low during trading on Thursday . The stock traded as low as $10.86 and last traded at $10.8280, with a volume of 112273 shares changing hands. The stock had previously closed at $11.34.

Analyst Upgrades and Downgrades

Several analysts recently issued reports on the stock. Weiss Ratings cut shares of Canadian Solar from a "sell (d+)" rating to a "sell (d)" rating in a report on Thursday, August 27th. Roth Capital set a $15.00 price objective on shares of Canadian Solar in a report on Friday, August 28th. Glj Research reissued a "sell" rating and set a $5.58 price objective on shares of Canadian Solar in a report on Thursday, August 27th. Wall Street Zen downgraded shares of Canadian Solar from a "sell" rating to a "strong sell" rating in a research report on Saturday, August 29th. Finally, Wells Fargo & Company reduced their price target on shares of Canadian Solar from $18.00 to $17.00 and set an "equal weight" rating on the stock in a research report on Monday, August 31st. Three investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and four have issued a Sell rating to the company. Based on data from MarketBeat.com, Canadian Solar currently has an average rating of "Reduce" and a consensus target price of $17.75.

Canadian Solar Trading Down 4.9%

The firm's fifty day moving average price is $14.02 and its 200-day moving average price is $15.19. The company has a market cap of $732.13 million, a price-to-earnings ratio of -2.81 and a beta of 1.51. The company has a debt-to-equity ratio of 0.95, a current ratio of 1.02 and a quick ratio of 0.78.

Canadian Solar (NASDAQ:CSIQ - Get Free Report) last announced its quarterly earnings results on Thursday, August 27th. The solar energy provider reported ($1.40) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.18) by ($1.22). The business had revenue of $1.21 billion for the quarter, compared to analyst estimates of $1.17 billion. Canadian Solar had a negative return on equity of 5.57% and a negative net margin of 3.73%.The company's revenue was down 28.7% compared to the same quarter last year. During the same quarter last year, the firm posted ($0.53) EPS. On average, equities analysts expect that Canadian Solar Inc. will post -2.93 EPS for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of CSIQ. The Manufacturers Life Insurance Company acquired a new stake in shares of Canadian Solar in the second quarter worth $631,683,000. Deutsche Bank AG purchased a new position in shares of Canadian Solar during the second quarter valued at $722,850,000. BlackRock Inc. acquired a new position in Canadian Solar during the second quarter valued at $59,238,000. Hsbc Holdings PLC raised its position in Canadian Solar by 930.3% during the first quarter. Hsbc Holdings PLC now owns 120,450 shares of the solar energy provider's stock valued at $1,668,000 after buying an additional 108,759 shares during the period. Finally, Bank of America Corp DE purchased a new stake in Canadian Solar in the 2nd quarter worth about $151,417,000. Institutional investors own 52.36% of the company's stock.

About Canadian Solar

Canadian Solar Inc NASDAQ: CSIQ is a solar technology and renewable energy company founded in 2001 by Shawn Qu and headquartered in Guelph, Ontario. The company designs and manufactures solar photovoltaic modules and provides related products, including battery energy storage systems, inverters and other equipment used in commercial, industrial and utility-scale renewable energy installations.

Through its CSI Solar business, Canadian Solar supplies solar modules and delivers integrated energy solutions, including engineering, procurement and construction services.

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