SunRunInvestors typically consider a bargain stock to be one that sells for less than $10 on the market. However, it’s often useful to extend the budget to take advantage of high potential growth options. SunRun Inc. (NASDAQ: RUN) is an excellent example. It trades for just under $30 today. 2020 could be one of the last times to purchase shares at a reasonable price.

SunRun is a solar energy company that designs, develops, installs, and maintains residential solar systems with a direct-to-consumer business model. It’s one of the largest solar companies in the United States, and it has just gotten larger, thanks to a pending $3.2 billion acquisition of Vivint Solar. When Vivint is fully absorbed into the business, SunRun will save $90 million per year in operating costs and have a customer base of more than 500,000 homes. Increased efficiency and a larger economy of scale will help to drive earnings upwards in the long term.

SunRun was already the largest residential solar installer in America before the acquisition, with Tesla coming close behind. By gaining Vivint’s business, the company will now have a huge lead. As far as solar investments go, this is one of the most promising on the market. Look beyond the price to a future where clean energy will be responsible for more than half of America’s energy production.

Even short term growth looks impressive, with earnings expected to increase by 48% in 2020, hinting at more strong performance to come.

Key Data:

  • 1 Year Price Growth: 13%
  • YTD Price Growth: 71%
  • 3 Month Price Growth: 47%

All information is based on current and historical market data, as well as publicly available financial data. As with any financial decision, your own research is important. Stock market outcomes can never be 100% accurately predicted. Familiarity with historical data, individual industries, and individual stocks is key to developing a robust portfolio. Note that stock prices can fluctuate rapidly during trading sessions.