Sunrun Inc . (NASDAQ:RUN) CEO Mary Powell has recently engaged in significant trading of company stock, according to the latest SEC filings. Powell sold a total of 22,549 shares of Sunrun common stock on April 8, 2024, for an average price of $12.0742, netting a total of $272,261. The transactions were executed within a price range of $11.905 to $12.23 per share.
In a separate transaction, Powell acquired 211,900 shares at no cost on April 10, which are represented by restricted stock units (RSUs). The RSUs are set to vest starting April 6, 2025, with 25% vesting on that date and the remainder vesting quarterly, contingent upon Powell's continued service with the company. Post-transaction, Powell's holdings in Sunrun include 591,668 shares, with 436,360 of those being RSUs subject to vesting conditions.
The sale conducted by Powell was reportedly for the purpose of covering tax obligations related to the settlement of vested RSUs. Investors keeping track of insider transactions may take note of these recent trades as part of their broader assessment of the company's stock performance and management's stake in the firm.
Sunrun Inc., headquartered in San Francisco, California, operates within the miscellaneous electrical machinery, equipment, and supplies sector and is known for its role in residential solar electricity generation.
InvestingPro Insights
Sunrun Inc. (NASDAQ:RUN), a key player in the residential solar electricity generation sector, has seen its market capitalization adjust to $2.7 billion as the industry continues to evolve. In light of the CEO's recent stock transactions, investors may find additional context in the company's financial health and market performance useful. Here are some insights based on the latest data and InvestingPro Tips:
With a Price / Book multiple at 0.52 as of the last twelve months ending Q4 2023, the company is trading at a low valuation compared to its book value, which could suggest that the stock is undervalued relative to its assets. However, this perspective is nuanced by the company's significant debt burden and difficulties in generating positive cash flows, as indicated by its negative operating income of roughly $820.64 million over the same period. These factors may contribute to the high price volatility observed in the stock, with a 24.67% decline over the last three months.
InvestingPro Tips highlight that Sunrun has been quickly burning through cash, which is reflected in its negative free cash flow yield, and analysts do not anticipate the company will be profitable this year. These concerns are compounded by the fact that 6 analysts have revised their earnings estimates downwards for the upcoming period.
For investors considering a deeper dive into Sunrun's financials and future prospects, there are additional InvestingPro Tips available. Using the coupon code PRONEWS24, readers can get an extra 10% off a yearly or biyearly Pro and Pro+ subscription, where they can access a total of 13 InvestingPro Tips for Sunrun Inc.
It's also noteworthy that Sunrun does not pay dividends, which may influence the investment strategies of income-focused shareholders. The company's next earnings date is slated for May 1, 2024, which will provide further insight into its performance and outlook.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.