Sunpower Group Ltd. (5GD) AI Stock Analysis

• Market Cap: S$467.26M
• Dividend Yield: N/A
• Average Volume (3M): 1.51M
• Price to Earnings (P/E): 18.8
• Beta (1Y): 0.60
• Revenue Growth: -5.31%
• EPS Growth: -47.29%
• Country: SG
• Employees: 3,096
• Sector: Utilities
• Sector Strength: 65
• Industry: Independent Power Producers
• EPS (TTM): N/A
• Shares Outstanding: 798,739,260
• 10 Day Avg. Volume: 421,670
• 30 Day Avg. Volume: 1,509,350
• PEG Ratio: -0.28
• Price to Book (P/B): 0.53
• Price to Sales (P/S): 0.30
• P/FCF Ratio: 2.30
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: S$0.50 ▼(-13.79% Downside)

Sunpower Group Ltd. scores a 66, driven by strong technical indicators and robust cash flow growth. However, the score is tempered by declining revenue and high leverage, which pose risks to financial stability. The valuation is moderate, with no dividend yield to enhance appeal.

Positive Factors

Cash Flow Strength

Strong free cash flow growth indicates robust cash generation, providing financial flexibility and a buffer against uncertainties.

Strategic Partnerships

The partnership enhances Sunpower's position in renewable energy, supporting growth and leadership in the sector through collaborative innovation.

Capital Structure Improvement

Reducing convertible bond liabilities strengthens the balance sheet, improving financial stability and market presence.

Negative Factors

Declining Revenue

Declining revenue poses challenges for growth, potentially impacting the company's ability to invest in new projects and maintain market competitiveness.

High Leverage

Significant leverage can strain financial resources, limiting flexibility and increasing risk during economic downturns.

Low Net Profit Margin

A low net profit margin suggests limited profitability, which may hinder the company's ability to reinvest in growth and innovation.

Sunpower Group Ltd. Business Overview & Revenue Model

Company Description

Sunpower Group Ltd. (5GD) is a prominent player in the renewable energy sector, focusing on solar power solutions and sustainable energy management. The company offers a range of products and services, including solar panel manufacturing, energy storage systems, and integrated solar energy solutions for residential, commercial, and industrial applications. With a commitment to promoting clean energy and reducing carbon footprints, Sunpower Group Ltd. engages in various projects that enhance energy efficiency and sustainability.

How the Company Makes Money

Sunpower Group Ltd. generates revenue primarily through the sale of solar energy products, including photovoltaic panels and energy storage systems. Additionally, the company earns income from installation services, maintenance contracts, and energy management solutions. Key revenue streams include direct sales to consumers and businesses, as well as partnerships with government projects and utility companies for large-scale solar installations. The company may also benefit from incentives and subsidies related to renewable energy initiatives, which enhance its overall profitability.

Sunpower Group Ltd. Financial Statement Overview

Summary

Sunpower Group Ltd. presents a mixed financial performance. While operational efficiency is strong, as evidenced by healthy EBIT and EBITDA margins, the company faces challenges with declining revenue and high leverage. The cash flow position is robust, with significant growth in free cash flow, providing a cushion against financial uncertainties. Overall, the company needs to focus on revenue growth and managing its debt levels to enhance financial stability.

Income Statement

Sunpower Group Ltd. shows a stable gross profit margin of around 26% in TTM, indicating efficient cost management. However, the net profit margin is relatively low at 4%, and revenue has declined by 2.95% in the TTM period, signaling potential challenges in revenue generation. The EBIT and EBITDA margins are healthy, reflecting strong operational efficiency.

Balance Sheet

The company has a high debt-to-equity ratio of 1.91, which suggests significant leverage and potential risk in financial stability. Return on equity is modest at 6.57%, indicating moderate profitability for shareholders. The equity ratio of 27.78% highlights a balanced asset structure but suggests reliance on debt financing.

Cash Flow

Sunpower Group Ltd. demonstrates strong free cash flow growth of 21.36% in the TTM period, indicating improved cash generation capabilities. The operating cash flow to net income ratio of 0.34 suggests efficient cash conversion, while the free cash flow to net income ratio of 0.77 reflects a solid cash flow position relative to earnings.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.37B	3.51B	3.40B	3.45B	2.90B	4.06B
Gross Profit	893.17M	892.78M	831.56M	513.05M	344.77M	981.49M
EBITDA	854.00M	880.37M	864.02M	504.09M	438.10M	495.39M
Net Income	135.55M	119.44M	175.77M	138.80M	816.20M	-55.55M
Balance Sheet
Total Assets	7.75B	8.31B	7.63B	7.67B	6.60B	8.29B
Cash, Cash Equivalents and Short-Term Investments	753.88M	1.26B	699.35M	635.73M	401.41M	844.88M
Total Debt	4.11B	4.74B	4.36B	4.24B	3.65B	3.88B
Total Liabilities	5.01B	5.76B	5.32B	5.62B	4.75B	6.30B
Stockholders Equity	2.15B	2.01B	1.90B	1.73B	1.59B	1.67B
Cash Flow
Free Cash Flow	576.89M	460.93M	71.11M	-231.13M	-739.89M	-54.37M
Operating Cash Flow	747.19M	622.28M	463.22M	305.17M	223.21M	512.65M
Investing Cash Flow	-144.22M	-187.80M	-423.71M	-624.71M	472.20M	-781.07M
Financing Cash Flow	-446.78M	96.27M	38.32M	506.21M	-831.46M	112.60M

Sunpower Group Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.58
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:5GD, the sentiment is Positive. The current price of 0.58 is above the 20-day moving average (MA) of 0.55, above the 50-day MA of 0.50, and above the 200-day MA of 0.34, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 63.42 is Neutral, neither overbought nor oversold. The STOCH value of 80.03 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:5GD.

Sunpower Group Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
U9E	70 Outperform	S$715.22M	4.19	8.29%	8.04%	-4.16%	-12.99%
BHK	67 Neutral	S$458.47M	4.08	―	6.18%	-1.90%	-2.24%
5GD	66 Neutral	S$467.26M	18.81	6.52%	―	-5.31%	-47.29%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
BWM	63 Neutral	S$654.31M	4.77	10.29%	4.89%	6.50%	231.23%
566	62 Neutral	S$84.83M	34.21	1.67%	1.75%	30.64%	―
5IG	50 Neutral	S$486.22M	-59.33	-1.18%	―	5.38%	81.93%

Sunpower Group Ltd. Corporate Events

Sunpower Group Announces Cut-Off Date for Convertible Bond Conversion

Sunpower Group Ltd. has announced a cut-off date for the submission of conversion notices for its S$98,697,492 7.00% convertible bonds due 2030. Bondholders must submit their conversion notices between 24 November 2025 and 31 December 2025, before 1.00 p.m. After this period, no further lodgement of conversion notices will be accepted. Bonds converted into shares will not be entitled to interest payments.

Sunpower Group Appoints New CEO to Drive Growth

Sunpower Group Ltd. has appointed Mr. Lin Jiankai as the new Executive Director and Group CEO, effective from November 24, 2025. Mr. Lin, who has extensive experience in financial services and clean energy operations, is expected to lead the company through its next phase of growth and transformation by enhancing operational efficiency and advancing digital initiatives.

Sunpower Group Enhances Capital Structure with Convertible Bond Conversion

Sunpower Group Ltd. has announced the conversion of certain convertible bonds into new ordinary shares, resulting in the issuance of 3,053,100 conversion shares at a price of S$0.25 each. This conversion reduces the principal amount of convertible bonds to S$98,697,492 and increases the company’s total issued share capital to US$7,987,392.42, comprising 798,739,242 shares. The new shares will carry the same rights as existing shares, except for dividends and distributions with a record date before the registration date of the conversion shares. This move is expected to strengthen Sunpower’s financial position and enhance its market presence.