Sunrun Current Valuation vs. Cash And Equivalents

3S9 Stock  EUR 10.69  0.46  4.13%   
Considering Sunrun's profitability and operating efficiency indicators, Sunrun Inc may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in January. Profitability indicators assess Sunrun's ability to earn profits and add value for shareholders.
For Sunrun profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Sunrun to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Sunrun Inc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Sunrun's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Sunrun Inc over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between Sunrun's value and its price as these two are different measures arrived at by different means. Investors typically determine if Sunrun is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Sunrun's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Sunrun Inc Cash And Equivalents vs. Current Valuation Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Sunrun's current stock value. Our valuation model uses many indicators to compare Sunrun value to that of its competitors to determine the firm's financial worth.
Sunrun Inc is rated fourth in current valuation category among its peers. It is number one stock in cash and equivalents category among its peers creating about  0.02  of Cash And Equivalents per Current Valuation. The ratio of Current Valuation to Cash And Equivalents for Sunrun Inc is roughly  56.61 . The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Sunrun's earnings, one of the primary drivers of an investment's value.

Sunrun Current Valuation vs. Competition

Sunrun Inc is rated fourth in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Solar industry is presently estimated at about 267.11 Billion. Sunrun holds roughly 13.9 Billion in current valuation claiming about 5% of equities listed under Solar industry.

Sunrun Cash And Equivalents vs. Current Valuation

Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.

Sunrun

Enterprise Value

 = 

Market Cap + Debt

-

Cash

 = 
13.9 B
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Cash or Cash Equivalents are the most liquid of all assets found on the company's balance sheet. It is used in calculating many of the firm's liquidity ratios and is a good indicator of the overall financial health of a company. Companies with a lot of cash are usually attractive takeover targets. Cash Equivalents are balance sheet items that are typically reported using currency printed on notes.

Sunrun

Cash

 = 

Bank Deposits

+

Liquidities

 = 
245.6 M
Cash equivalents represent current assets that are easily convertible to cash such as short term bonds, savings account, money market funds, or certificate of deposits (CDs). One of the important consideration companies make when classifying assets as cash equivalent is that investments they report on their balance sheets under current assets should have almost no risk of change in value over the next few months (usually three months).

Sunrun Cash And Equivalents Comparison

Sunrun is currently under evaluation in cash and equivalents category among its peers.

Sunrun Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Sunrun, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Sunrun will eventually generate negative long term returns. The profitability progress is the general direction of Sunrun's change in net profit over the period of time. It can combine multiple indicators of Sunrun, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Sunrun Inc. engages in the design, development, installation, sale, ownership, and maintenance of residential solar energy systems in the United States. Sunrun Inc. was founded in 2007 and is headquartered in San Francisco, California. Sunrun operates under Solar classification in Germany and is traded on Frankfurt Stock Exchange. It employs 4400 people.

Sunrun Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Sunrun. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Sunrun position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Sunrun's important profitability drivers and their relationship over time.

Use Sunrun in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Sunrun position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Sunrun will appreciate offsetting losses from the drop in the long position's value.

Sunrun Pair Trading

Sunrun Inc Pair Trading Analysis

The ability to find closely correlated positions to Sunrun could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Sunrun when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Sunrun - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Sunrun Inc to buy it.
The correlation of Sunrun is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Sunrun moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Sunrun Inc moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Sunrun can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Sunrun position

In addition to having Sunrun in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Communication Thematic Idea Now

Communication
Communication Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Communication theme has 61 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Communication Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in Sunrun Stock

When determining whether Sunrun Inc offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Sunrun's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Sunrun Inc Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Sunrun Inc Stock:
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You can also try the Portfolio Dashboard module to portfolio dashboard that provides centralized access to all your investments.
To fully project Sunrun's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Sunrun Inc at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Sunrun's income statement, its balance sheet, and the statement of cash flows.
Potential Sunrun investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Sunrun investors may work on each financial statement separately, they are all related. The changes in Sunrun's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Sunrun's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.