We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
8point3 Energy Announces 3% Dividend Hike for Fiscal Q4
Read MoreHide Full Article
8point3 Energy Partners LP‘s recently announced that its board of directors has declared a hike in the quarterly distribution of Class A shares for the fiscal fourth quarter of 2017. This brings the annualized payout to $1.121 per share, up from $1.088 paid previously. The new annual yield on distribution is 7.5%.
The new quarterly distribution amounts to 28.02 cents per share, reflecting an increase of 3% from third-quarter level of 27.21 cents. The new distribution will be paid on Jan 12 to shareholders of record as of Jan 2, 2018.
Distribution Target & Financials
8point3 Energy, a limited partnership, which was formed by two major solar companies — First Solar Inc. (FSLR - Free Report) and SunPower Corp. (SPWR - Free Report) — currently expects to deliver an annual distribution growth rate of 12% by 2017-end. This indicates a robust scope for growth going ahead.
Notably, the partnership generated a solid $33.2 million of cash available for distribution during the fiscal third quarter. Additionally, the partnership’s cash and cash equivalents as of Aug 31 was pegged at $10.4 million.
Impressively, during the fiscal third quarter earnings call, the company raised its guidance for fiscal 2017. The partnership currently expects to generate revenues in the range of $66.5-$69.5 million, net income of $32.0-$34.5 million, adjusted earnings before interest, taxes, depreciation and amortization of $117-$120 million. It also projectscash of $106–$109 million available for distribution for the current fiscal year. Such increased outlook indicates solid growth prospects for the partnership, which in turn will enable the company to reward back shareholders with notable dividend payouts.
Other Highlights
8point3 Energy’s portfolio consisted of 946 megawatt (MW) of the U.S. solar generating assets as of Aug 2017 end. Notably, the partnership still continues to deliver solid performance and is expected to generate annual cash available for distribution in the range of $106-$109 million in fiscal 2017.
Scope in Solar Industry
A major growth area in the renewable space is solar energy. A report from the U.S. Energy Information Administration (EIA) indicates continued growth in utility-scale solar power capacity by almost 41% from 22 GW at the end of 2016. The projected increase is expected to bring the amount of solar capacity to 27 GW and 31 GW at the end of the 2017 and 2018, respectively.
Further, as per the Solar Market Insight Report for Q3, the total installed U.S. solar PV capacity is expected to nearly triple over the next five years. Going ahead, by 2022, over 16 gigawatt (GW) of solar PV capacity is expected to be installed annually.
However, in spite of this growth expectation, it is anticipated that solar energy will constitute about 1% of total U.S. utility-scale generation in the next year. This reflects immense scope for growth for solar companies like 8point3 Energy Partners for further growth in the coming days.
Price Movement
Shares of 8point3 Energy have underperformed the industry in the last three months. The company’s shares gained 2.9%, compared with industry’s growth of 17.7%.
This may have been led by the intense competition that the partnership faces in the domestic as well as international frontier, from other solar players.
JA Solar delivered an average positive earnings surprise of 574.07% in thetrailing four quarters. Its 2017 estimates have improved by 6.6% to 65 cents per share in the last 60 days.
Zacks’ Best Private Investment Ideas
While we are happy to share many articles like this on the website, our best recommendations and most in-depth research are not available to the public.
Starting today, for the next month, you can follow all Zacks' private buys and sells in real time. Our experts cover all kinds of trades… from value to momentum . . . from stocks under $10 to ETF and option moves . . . from stocks that corporate insiders are buying up to companies that are about to report positive earnings surprises. You can even look inside exclusive portfolios that are normally closed to new investors.
Image: Bigstock
8point3 Energy Announces 3% Dividend Hike for Fiscal Q4
8point3 Energy Partners LP‘s recently announced that its board of directors has declared a hike in the quarterly distribution of Class A shares for the fiscal fourth quarter of 2017. This brings the annualized payout to $1.121 per share, up from $1.088 paid previously. The new annual yield on distribution is 7.5%.
The new quarterly distribution amounts to 28.02 cents per share, reflecting an increase of 3% from third-quarter level of 27.21 cents. The new distribution will be paid on Jan 12 to shareholders of record as of Jan 2, 2018.
Distribution Target & Financials
8point3 Energy, a limited partnership, which was formed by two major solar companies — First Solar Inc. (FSLR - Free Report) and SunPower Corp. (SPWR - Free Report) — currently expects to deliver an annual distribution growth rate of 12% by 2017-end. This indicates a robust scope for growth going ahead.
Notably, the partnership generated a solid $33.2 million of cash available for distribution during the fiscal third quarter. Additionally, the partnership’s cash and cash equivalents as of Aug 31 was pegged at $10.4 million.
Impressively, during the fiscal third quarter earnings call, the company raised its guidance for fiscal 2017. The partnership currently expects to generate revenues in the range of $66.5-$69.5 million, net income of $32.0-$34.5 million, adjusted earnings before interest, taxes, depreciation and amortization of $117-$120 million. It also projectscash of $106–$109 million available for distribution for the current fiscal year. Such increased outlook indicates solid growth prospects for the partnership, which in turn will enable the company to reward back shareholders with notable dividend payouts.
Other Highlights
8point3 Energy’s portfolio consisted of 946 megawatt (MW) of the U.S. solar generating assets as of Aug 2017 end. Notably, the partnership still continues to deliver solid performance and is expected to generate annual cash available for distribution in the range of $106-$109 million in fiscal 2017.
Scope in Solar Industry
A major growth area in the renewable space is solar energy. A report from the U.S. Energy Information Administration (EIA) indicates continued growth in utility-scale solar power capacity by almost 41% from 22 GW at the end of 2016. The projected increase is expected to bring the amount of solar capacity to 27 GW and 31 GW at the end of the 2017 and 2018, respectively.
Further, as per the Solar Market Insight Report for Q3, the total installed U.S. solar PV capacity is expected to nearly triple over the next five years. Going ahead, by 2022, over 16 gigawatt (GW) of solar PV capacity is expected to be installed annually.
However, in spite of this growth expectation, it is anticipated that solar energy will constitute about 1% of total U.S. utility-scale generation in the next year. This reflects immense scope for growth for solar companies like 8point3 Energy Partners for further growth in the coming days.
Price Movement
Shares of 8point3 Energy have underperformed the industry in the last three months. The company’s shares gained 2.9%, compared with industry’s growth of 17.7%.
This may have been led by the intense competition that the partnership faces in the domestic as well as international frontier, from other solar players.
Zacks Rank
8point3 Energy Partners currently carries a Zacks Rank #3 (Hold). A better-ranked stock in the same space is JA Solar Holdings, Co., Ltd. that carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
JA Solar delivered an average positive earnings surprise of 574.07% in thetrailing four quarters. Its 2017 estimates have improved by 6.6% to 65 cents per share in the last 60 days.
Zacks’ Best Private Investment Ideas
While we are happy to share many articles like this on the website, our best recommendations and most in-depth research are not available to the public.
Starting today, for the next month, you can follow all Zacks' private buys and sells in real time. Our experts cover all kinds of trades… from value to momentum . . . from stocks under $10 to ETF and option moves . . . from stocks that corporate insiders are buying up to companies that are about to report positive earnings surprises. You can even look inside exclusive portfolios that are normally closed to new investors.
Click here for Zacks' private trades >>