Canadian Solar (NASDAQ:CSIQ) Shares Gap Down Following Weak Earnings

Canadian Solar Inc. (NASDAQ:CSIQ) gapped down before the market opened on Thursday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $18.52, but opened at $13.80. Canadian Solar shares last traded at $13.1950, with a volume of 4,239,022 shares trading hands.

The solar energy provider reported ($1.66) earnings per share for the quarter, missing the consensus estimate of ($1.10) by ($0.56). Canadian Solar had a negative net margin of 1.86% and a negative return on equity of 4.96%. The company had revenue of $1.22 billion for the quarter, compared to the consensus estimate of $1.37 billion. During the same quarter in the previous year, the company posted $0.48 EPS. Canadian Solar’s quarterly revenue was down 20.0% compared to the same quarter last year.

More Canadian Solar News

Here are the key news stories impacting Canadian Solar this week:

• Positive Sentiment: Better long‑term sales data: Canadian Solar reported 24.3 GW of module shipments for 2025 with a record 8.1 GW delivered to the U.S., showing strong customer traction in its largest growth market. PR: Full Year Results
• Positive Sentiment: Sector rally helped shares recover intraday as other solar names surged, lifting CSIQ despite company-specific headwinds. This suggests investor interest in the group is providing some buying support. Sector Rally Article
• Neutral Sentiment: Mizuho changed its stance, upgrading Canadian Solar to “Neutral” — a modest vote of confidence but not an optimistic tilt. Mizuho Upgrade
• Neutral Sentiment: Oppenheimer cut its price target from $38 to $19 but left an “Outperform” rating, reflecting a view that downside has been materially re‑priced even as longer‑term upside remains. Oppenheimer Note
• Negative Sentiment: Major earnings miss and weak guidance: CSIQ reported a Q4 loss of $1.66/sh (vs. consensus ≈ -$1.10) and revenue of $1.22B (vs. ~ $1.37B), citing falling module shipments and margin pressure; the miss and soft Q1 outlook triggered a sharp pre‑market selloff. Earnings Miss
• Negative Sentiment: Investor litigation attention: a law firm is investigating potential claims related to Canadian Solar executives, which can increase headline risk and investor uncertainty. Investigation Notice
• Negative Sentiment: Earnings call and analyst writeups emphasize a prolonged sector downturn and regulatory headwinds that pressured results, reinforcing near‑term downside risk until margins and volumes stabilize. Earnings Call Transcript

Analysts Set New Price Targets

Several equities analysts recently commented on CSIQ shares. Oppenheimer dropped their price objective on Canadian Solar from $38.00 to $19.00 and set an “outperform” rating on the stock in a research note on Friday. Daiwa Securities Group raised Canadian Solar from a “neutral” rating to an “outperform” rating and set a $30.00 target price for the company in a research report on Tuesday, December 2nd. Mizuho upgraded Canadian Solar from an “underperform” rating to a “neutral” rating and lowered their target price for the company from $21.00 to $19.00 in a research note on Tuesday. Finally, Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Canadian Solar in a research report on Monday, December 29th. Three analysts have rated the stock with a Buy rating, five have given a Hold rating and four have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Reduce” and a consensus price target of $19.56.

Institutional Trading of Canadian Solar

A number of institutional investors have recently added to or reduced their stakes in CSIQ. Raymond James Financial Inc. bought a new position in Canadian Solar in the 2nd quarter worth about $33,000. Caitong International Asset Management Co. Ltd lifted its holdings in shares of Canadian Solar by 335.1% in the third quarter. Caitong International Asset Management Co. Ltd now owns 3,198 shares of the solar energy provider’s stock worth $42,000 after buying an additional 2,463 shares in the last quarter. China Universal Asset Management Co. Ltd. bought a new position in shares of Canadian Solar in the fourth quarter valued at approximately $48,000. Quarry LP purchased a new position in Canadian Solar during the fourth quarter valued at approximately $54,000. Finally, Zurcher Kantonalbank Zurich Cantonalbank grew its stake in Canadian Solar by 7.0% during the third quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 4,796 shares of the solar energy provider’s stock valued at $63,000 after acquiring an additional 312 shares in the last quarter. Hedge funds and other institutional investors own 52.36% of the company’s stock.

Canadian Solar Stock Up 5.2%

The company has a current ratio of 1.07, a quick ratio of 0.86 and a debt-to-equity ratio of 0.93. The firm has a market cap of $953.32 million, a P/E ratio of -5.69 and a beta of 1.31. The stock’s fifty day moving average is $19.45 and its two-hundred day moving average is $19.60.

Canadian Solar Company Profile

Canadian Solar Inc (NASDAQ: CSIQ) is a global renewable energy company that specializes in the design, development and manufacturing of solar photovoltaic (PV) modules and system solutions. Founded in 2001 and headquartered in Guelph, Ontario, the company has grown to become one of the world’s largest solar module suppliers. Canadian Solar offers a comprehensive portfolio of products, including mono- and multi-crystalline solar cells and modules, as well as advanced energy storage and system integration solutions tailored for residential, commercial and utility-scale applications.

In addition to manufacturing solar components, Canadian Solar provides end-to-end services encompassing project development, engineering, procurement and construction (EPC), as well as operations and maintenance.