Canadian Solar (NASDAQ:CSIQ) Shares Gap Down on Disappointing Earnings

Shares of Canadian Solar Inc. (NASDAQ:CSIQ) gapped down prior to trading on Thursday following a dissappointing earnings announcement. 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 traded.

The solar energy provider reported ($1.66) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($1.10) by ($0.56). Canadian Solar had a net margin of 0.27% and a negative return on equity of 5.28%. The business had revenue of $1.22 billion during the quarter, compared to analyst estimates of $1.37 billion. During the same period in the prior year, the firm earned $0.48 earnings per share. The firm’s revenue for the quarter was down 20.0% compared to the same quarter last year.

Canadian Solar News Roundup

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

• Positive Sentiment: Won a 500 MW battery storage deal with a U.S. utility, which adds contracted/near-term project backlog and diversifies revenue beyond modules. Canadian Solar snags 500 MW battery storage deal with U.S. utility
• Positive Sentiment: Full‑year 2025 shipment highlights: 24.3 GW shipped globally and a record 8.1 GW to the U.S., showing execution and scale that support longer‑term growth prospects. Canadian Solar Reports Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Mizuho upgraded the stock to Neutral, which could limit further downside from some institutional investors. Mizuho Upgrades Canadian Solar (NASDAQ:CSIQ) to Neutral
• Neutral Sentiment: Pre‑earnings analyst preview coverage outlined metrics to watch for Q4, useful context but not a direct catalyst. Gear Up for Canadian Solar (CSIQ) Q4 Earnings
• Negative Sentiment: Main catalyst for the decline — Q4 revenue missed and Q1 revenue guidance came in below estimates, prompting the selloff. Canadian Solar Stock Falls After Q4 Revenue Miss, Weak Q1 Outlook
• Negative Sentiment: Market reaction highlighted by headlines that the stock fell ~13% after disappointing Q4 results and a soft Q1 outlook, amplifying downward pressure. Canadian Solar stock tumbles 13% on disappointing Q4 results, soft Q1 outlook
• Negative Sentiment: Q4 EPS missed materially (loss of $1.66 vs. $1.10 expected) and was worse than last year’s loss, underscoring margin pressure and near‑term profitability concerns. Canadian Solar (CSIQ) Reports Q4 Loss, Lags Revenue Estimates
• Negative Sentiment: Press/earnings snapshots and company materials confirm revenue decline (20% YoY) and detailed Q&A on the conference call may have reinforced investor concerns. Canadian Solar: Q4 Earnings Snapshot

Wall Street Analysts Forecast Growth

CSIQ has been the topic of a number of research reports. Weiss Ratings reiterated a “sell (d+)” rating on shares of Canadian Solar in a research report on Monday, December 29th. Mizuho upgraded shares of Canadian Solar from an “underperform” rating to a “neutral” rating and reduced their price target for the stock from $21.00 to $19.00 in a report on Tuesday. Daiwa Securities Group raised shares of Canadian Solar from a “neutral” rating to an “outperform” rating and set a $30.00 price target for the company in a research note on Tuesday, December 2nd. Finally, UBS Group upped their price objective on shares of Canadian Solar from $15.00 to $37.00 and gave the company a “buy” rating in a report on Wednesday, November 19th. Two equities research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and four have given a Sell rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Reduce” and an average target price of $19.63.

Institutional Trading of Canadian Solar

Several institutional investors and hedge funds have recently made changes to their positions in CSIQ. Raymond James Financial Inc. bought a new position in shares of Canadian Solar during the second quarter valued at about $33,000. Caitong International Asset Management Co. Ltd lifted its position in shares of Canadian Solar by 335.1% during the 3rd 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. purchased a new position in shares of Canadian Solar in the 4th quarter worth approximately $48,000. Quarry LP purchased a new position in shares of Canadian Solar in the 4th quarter worth approximately $54,000. Finally, Zurcher Kantonalbank Zurich Cantonalbank grew its holdings in shares of Canadian Solar by 7.0% in 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 Down 29.0%

The company has a quick ratio of 0.86, a current ratio of 1.07 and a debt-to-equity ratio of 0.93. The company has a market capitalization of $880.05 million, a PE ratio of -36.81 and a beta of 1.31. The stock has a 50-day moving average of $19.67 and a 200 day moving average of $19.61.

About Canadian Solar

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.