SunPower Corp Shares Dropped More Than 20% Today, Here’s Why

SunPower Corp Shares Dropped

On Wednesday, SunPower Corp. shares dropped the most in almost a year. Why? It all started after expectations of lower sales in the current quarter hurt the company’s narrower-than-expected quarterly loss.

The San Jose, California-based company dropped more than 20% today, which makes this the largest decrease since August of last year. Additionally, the 20% drop puts the company on track for the lowest close in three weeks. SunPower (NASDAQ:$SPWR) shares are down 41% from their 52-week week high of $15.30, reached this time last year.

Mentioned briefly, today’s drop occurred after SunPower reported on Tuesday an adjusted loss of 35 cents a share on sales of $342 million. On average, analysts surveyed by FactSet had forecast the company to report an adjusted loss of 46 cents a share on sales of $313 million.

However, the solar-power company forecast adjusted revenue of $320 million to $370 million for the July through September quarter, while analysts polled by FactSet forecast sales of roughly $500 million. Further, SunPower lowered the top end of its 2017 guidance as a result of permitting delays and land-right issues surrounding two projects in Mexico.

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About the author: Caroline Harris is a third-year student at Capilano University in North Vancouver, Canada. Having already completed an Associates Degree in Psychology, Caroline is now finishing her Bachelor's degree in Communications. In preparation for working in the advertisement sector, Caroline is writing financial content and analysis. On a daily basis, Caroline works on articles regarding the following topics: finance, cryptocurrency, technology, and politics.