Sunnova Energy crashes to all-time low on going concern doubts

Jacobs Solutions

03/03/2025 17:22

Updates

** Shares of solar firm Sunnova Energy International NOVA.N fall more than 58% to an all-time low of 68 cents, after the company raises doubts about its ability to continue as a going concern

** Company says cash flow from its current activities and commitments under existing financing agreements are not sufficient to fund operations for a period of at least one year from the date it issues consolidated financial statements

** J.P.Morgan downgrades the stock to "neutral" from "overweight", withdrawing PT of $11 until visibility improves

** "While NOVA does still have some time to show improved cash generation execution, we believe the path could prove more difficult than previously anticipated" - J.P.Morgan analysts note

** NOVA says it has hired a financial advisor to help manage certain aspects of debt management and refinancing efforts

** As of December 31, 2024, NOVA had total and restricted cash of $548.1 mln

** Including session's moves, shares down 80.35% YTD

 (Reporting by Katha Kalia in Bengaluru)

 ((Katha.Kalia@thomsonreuters.com))