Canadian Solar Inc. (NASDAQ:CSIQ) announced that its wholly-owned subsidiary, CSI New Energy Holding Co., Ltd. has completed the sale of 2 solar power plants in Jiangsu Province, China to Shenzhen Energy Nanjing Holding Co., Ltd., a subsidiary of Shenzhen Energy Group Co., Ltd., for approximately RMB223.48 million (US$32.2 million). The transaction was closed on December 30, 2016 and the Company expects to recognize the difference between the sales proceeds and the book value of the projects under ‘Other income (expenses)’ in the income statement for the fourth quarter of 2016.
Dr. Shawn Qu, Chairman and Chief Executive Officer of Canadian Solar, commented, “We are delighted to have closed the sale of two more solar power plants in China. This is another important milestone, as we continue to monetize our quality solar project assets in China and other countries. We look forward to deepening our strategic partnership with Shenzhen Energy for more opportunities in the future.” (Original Source)
Shares of Canadian Solar are currently rising 2.22% to $12.45, or up $0.27 in pre-market trading Tuesday. CSIQ has a 1-year high of $28.80 and a 1-year low of $10.25. The stock’s 50-day moving average is $11.99 and its 200-day moving average is $13.55.
On the ratings front, Canadian Solar has been the subject of a number of recent research reports. In a report issued on November 22, Roth Capital analyst Philip Shen downgraded CSIQ to Hold, with a price target of $11, which represents a potential downside of 10% from where the stock is currently trading. Separately, on the same day, FBR’s Carter Driscoll downgraded the stock to Hold and has a price target of $12.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Philip Shen and Carter Driscoll have a yearly average loss of -18.8% and -22.7% respectively. Shen has a success rate of 22% and is ranked #4250 out of 4345 analysts, while Driscoll has a success rate of 18% and is ranked #4245.
Overall, 3 research analysts have assigned a Hold rating and one research analyst has given a a Buy rating to the stock. When considering if perhaps the stock is under or overvalued, the average price target is $31.00 which is 154.5% above where the stock closed last Friday.
Canadian Solar, Inc. designs, develops, and manufactures solar wafers, cells and solar power products. Its products include a range of standard solar modules built to general specifications for use in a range of residential, commercial and industrial solar power generation systems. Canadian Solar also designs and produces solar modules and products based on its customer’s requirements.