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Sunrun Inc. (RUN)

Sunrun stock forecast: buy or sell

Close on Sep 29th, 2020
$72.8 0.01%
3 months performance
2.69%
Published: September 29th, 2020 - 5.45pm EDT

Sunrun stock outlook

  • After reaching all-time highs today, Sunrun closed at $72.80 inching a 1.14%
  • Bank of America and BofA Securities published strong positive ratings for Sunrun today, with an average target of $79.00
  • The price is currently above the upper Bollinger band, which is usually an indicator of a near-term correction
  • Sunrun Inc. engages in the design, development, installation, sale, ownership, and maintenance of residential solar energy systems in the United States.

Please read:
The comments written in this post are personal and should not be followed as recommendations for you to buy or sell shares. The author of this report does not have any knowledge of the specific circumstances of the reader, his or her financial statements or what is in his or her best interest at any given time. All users should speak with their financial advisor before buying or selling any securities Comments are published for educative motives only

Sunrun stock charts

Should I buy Sunrun stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best

Is RUN stock a buy?

In the current situation of Sunrun there is not any eligible buy setup. This doesn't mean we expect a selloff for RUN in coming sessions, or that it may not rise higher. Simply, it doesn't match our recommended trading systems

Should I sell Sunrun stock?

Do you know when is it time to sell Sunrun?. Trading strategies let us to avoid impulsive decisions based on our emotions or the buzz that surrounds the market. When selling, as well as buying, detailed strategies are very simple to use but are only valid for selling stocks in your porfolio, not for selling short Sunrun stock

A guiding principle is that you should never keep an investment that results in greater losses than those expected upon purchase. The timing to sell your stock should always be dictated by the stop-loss (automatic or manual)

Is it time to sell Sunrun stock?

Currently, Sunrun stock doesn't match any of our preferred sell setups, so if you hold Sunrun stock and your operation is in profit probably is not time to sell now

Analysts' recommendations to buy or sell Sunrun stock

Brokerage firms and financial institutions post stock ratings based on their views of the market and the fundamental and technical situation of the analyzed stock. Unfortunately, the accuracy of these predictions is not very high, and certainly not a direct buy or sell signal

In the last 30 days, 3 ratings were published for Sunrun. General sentiment is bullish, with 3 out of 3 publishing positive forecasts

Sunrun ratings

Brokerage firmRating
Sep 2nd, 2020
Oppenheimer Strong buy
Sep 29th, 2020
Bank of America Strong buy
Sep 29th, 2020
BofA Securities Strong buy

Technical analysis

Sunrun stock started an uptrend last March, and grew a gorgeous 828.57%. Rising highs and lows can be seen easily on a chart and how price gave very few entry points on the breakouts. Latest low was in early September, when price bounced at $42.61. Sunrun broke out above $59.00 (its last top) on September 14. That breakout was a good buying opportunity that resulted in a 23.39% profit

RUN at All-time Highs

Today, Sunrun hit all-time highs (ATH) again at $75.25. It's the 4th time in the last 10 sessions, marking an important rally

SMAs overview

A favorite tool of many trading systems are the moving averages, that easily show trend direction. A moving average is calculated as the simple mean of the previous N periods (usually sessions). Usual time periods used for moving averages are 21 days, 50 days, 100 days and 200 days

RUN SMAs chart

Supports and resistances

Technical analysts use supports and resistances as a way to find price points in the stock price action that may act as barriers, containing the price of shares to move in certain direction. Supports are levels where the price may stop as it falls. This means that the price is more likely to "bounce off" this level rather than break through it. However, if the price breaks down this level, it is likely to continue declining until approaching another support level. On the other side, a resistance level is where the price tends to find a curb as it rises. In the same way, this means that the price is more likely to "rebound" at this level, and if it finally crosses this level, it will climb more easily until it hits the next resistance

Price is at highs and there are not upper resistances.

The current support levels are:

  • S1: $59.00 (-18.96% below)
  • S2: $42.61 (-41.47% below)
  • S3: $23.66 (-67.5% below)
  • Bollinger bands

    So-called Bollinger bands are a well-known technique introduced by John Bollinger. The Bollinger Bands are bands that fluctuate around a centralmoving average and vary the distance from the bottom to the top depending on market volatility. They are usually drawn by an offset of two standard deviations, above and below, from a moving average line. Bollinger himself recommends the moving average period to be 20

    When the price moves out of the band (above the upper line or below the lower line) it indicates that the stock is currently maintaining a very strong trend and therefore can correct the trend to the average. At this point, the price is above the upper band, and that should mean a possible near-term correction (at least) until it is under the band

    RUN RSI chart

    Relative strength index

    The relative strength index (RSI) is a technical indicator used in the analysis of financial markets. It is intended to chart the current and previous strength or weakness of a stock or market based on the closing prices of a recent trading period. Like other oscillation indicators, the RSI fluctuates in a range from 0% to 100%. J. Welles Wilder introduced the relative strength indicator in the late 1970s and since then it has been widely used by stock traders

    RSI crossed up the 70 level today, marking a value of 75. Crossing up above the level of 70 is not a bearish signal, as shares can be above the level of 70 for many weeks and may continue to rally

    RUN RSI chart

    Earnings and financials

    Second-quarter shareholders event was hosted by Sunrun in mid-August after presenting the financial report. Sunrun missed market estimates and presented an earnings per share (EPS) of $-0.11, that is a -168.75% less than the initial estimates of $0.16. Reported sales were $181.3 million compared to estimates of $187.4 million.

    This compares to earnings of $-0.01 per share a year ago, so current EPS is a decrease of -1000%. Looking at turnover, figures went down a -11.39% compared to $204.6M same quarter a year ago.

    Sunrun will host the earnings call on mid next November. Market expects a per-share earnings of %s of $0.18, compared to Q2 that was $-0.11. Financial reporting day has a more than usual risk for stock investors as the information provided can gap up or down the price with exceptionally low volume and not honouring your buy/stop-loss orders. Have a look company's website to confirm time and details on the earnings call and the earnings report.

    RUN revenues and profits chart