| Over a week ago | ||||
JPMorgan analyst Mark… JPMorgan analyst Mark Strouse raised the firm's price target on Hannon Armstrong to $41 from $39 and keeps an Overweight rating on the shares. Exiting the Q1 reporting season, the analyst is encouraged that the decarbonization, decentralization, and digitization of energy continues despite COVID-19. Strouse introduced fiscal 2022 estimates and established year-end 2021 price targets for Alternative Energy companies. | ||||
| Over a month ago | ||||
The Company expects that… The Company expects that annual core earnings per share (pre-CECL provision) in 2020 will exceed the previously communicated guidance midpoint of $1.43 (excluding any potential impact from the adoption of the credit loss standard starting on January 1, 2020), reflecting 2018 to 2020 annual Core EPS growth above the midpoint of the 2% to 6% from the 2017 baseline. This guidance reflects the Company's estimates of (i) yield on its existing Portfolio; (ii) yield on incremental Portfolio investments, inclusive of the Company's existing pipeline; (iii) the volume and profitability of securitization transactions; (iv) amount, timing, and costs of debt and equity capital to fund new investments; (v) changes in costs and expenses reflective of the Company's forecasted operations, (vi) the ongoing impact of the current outbreak of COVID-19 and (vii) the general interest rate and market environment. All guidance is based on current expectations of the future impact of COVID-19 and the economic conditions, the regulatory environment, the dynamics of the markets in which we operate and the judgment of the Company's management team. The Company has not provided GAAP guidance as discussed in the Forward-Looking Statements section of this press release. | ||||
Reports Q1 revenue… Reports Q1 revenue $40.83M, consensus $20.38M. "In perhaps the most uncertain social and economic environment in my lifetime, we continued to execute on our mission of investing in climate change solutions with a strong first quarter, including a 30 percent year-on-year growth in Core EPS. The continued performance of our team, our portfolio of high-quality, long-dated assets, along with our strong balance sheet, ample liquidity, and diverse funding sources allow us to maintain our 2020 Core EPS guidance," said Jeffrey W. Eckel, Hannon Armstrong Chairman and Chief Executive Officer. | ||||
Conference call with… Conference call with management will be held on March 31 hosted by B. Riley FBR. | ||||
Conference call with… Conference call with management will be held on March 31 hosted by B. Riley FBR. | ||||
Baird analyst Ben Kallo… Baird analyst Ben Kallo likes Hannon Armstrong as a potentially recession resistant name. He thinks the company has sufficient liquidity and access to diverse capital sources to navigate the uncertain economic environment. Kallo reiterated his Outperform rating and $30 price target on Hannon Armstrong shares. | |
BofA analyst Julien… BofA analyst Julien Dumoulin-Smith upgraded Hannon Armstrong to Buy from Neutral with a $25 price target, arguing that the latest bond market turmoil has disproportionately impacted the shares. The Moody's Baa Index recently spiked to a 5.2% yield and Dumoulin-Smith pointed out that Hannon Armstrong's yield historically tracks against the Moody's Baa Index. | |
Hannon Armstrong… Hannon Armstrong Sustainable Infrastructure Capital released the following letter from its CEO, Jeffrey Eckel. "I wanted to update you on the actions that Hannon Armstrong is taking and the impact on our business. Most importantly, our employees are healthy, and we are open for business, as shown by this week's Iowa project investment announcement... In this time of market uncertainty, liquidity and the portfolio asset quality are paramount. As long-term focused investors, we are always cognizant of the potential for market disruptions and over the last year, we have increased our cash balances and short-term liquidity while reducing our leverage. We have also always focused on portfolio diversification and maintaining multiple sources of capital including through syndication. As many of you may know, we used the syndication channel successfully in the 2008 crisis. We believe we are in strong financial shape for this disruption and will make our next dividend payment on April 10, 2020. Unfortunately, not everyone was as well prepared, which has negatively impacted on our share price. As reported by Bloomberg News, on Wednesday afternoon there was a liquidation of a small UBS trust that used a high level of leverage to invest in a number of mortgage REITs, including our shares. This rapid liquidation caused our share price and that of a number of others to decline to near-term lows. We do not believe this liquidation reflects the long-term fundamentals of our business and believe much of the selling experienced was driven by algorithms and/or broader market conditions and not HASI fundamentals. We believe we are positioned to weather the storm and several of our executives and directors, including me, purchased additional shares this week. I look forward to updating you further on our first quarter call and hope everyone remains safe." | |
Hannon Armstrong… Hannon Armstrong announced a $115M preferred equity investment in a utility public-private partnership between the University of Iowa, ENGIE, Meridiam, and Hannon Armstrong, to operate, maintain and upgrade the University's energy and water utilities. | |
Alternative Energy stocks… Alternative Energy stocks continue to outperform owing to improved growth outlooks, new value propositions, new products and lower interest rates, JPMorgan analyst Paul Coster tells investors in a research note titled "An Unanticipated Safe Haven: Solar Stocks Outperforming YTD." The analyst believes the space provides exposure to secular tailwinds with little supply-chain or demand impact from COVID-19 so far. His top picks are First Solar (FSLR), SolarEdge (SEDG), Sunnova Energy (NOVA) and Sunrun (RUN). Coster also has Overweight ratings on Bloom Energy (BE), Enphase Energy (ENPH) and Hannon Armstrong (HASI). |