Spruce Power Holding (SPRU) AI Stock Analysis

• Market Cap: $34.58M
• Dividend Yield: N/A
• Average Volume (3M): 90.47K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.20
• Revenue Growth: 8.97%
• EPS Growth: -68.08%
• Country: US
• Employees: 165
• Sector: Technology
• Sector Strength: 84
• Industry: Solar
• EPS (TTM): -0.84
• Shares Outstanding: 17,826,560
• 10 Day Avg. Volume: 19,710
• 30 Day Avg. Volume: 90,467
• PEG Ratio: 0.01
• Price to Book (P/B): 0.47
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.06
• Enterprise Value/Market Cap: 11.97
• Enterprise Value/Revenue: 1.26
• Enterprise Value/Gross Profit: 8.39
• Enterprise Value/Ebitda: -5.22
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 46 Neutral
• Price Target: $2.00 ▲(3.09%Upside)

Spruce Power's stock score reflects significant financial challenges, with persistent losses and high leverage being major concerns. While the earnings call highlighted growth and strategic initiatives, the negative valuation metrics and mixed technical signals limit the stock's attractiveness.

Spruce Power Holding Business Overview & Revenue Model

Company Description

XL Fleet Corp. provides fleet electrification solutions for commercial vehicles in North America. Its products include hybrid electric drive systems are comprised of an electric motor that is mounted onto the vehicle's drive shaft, an inverter motor controller, and a lithium-ion battery pack to store energy to be used for propulsion; plug-in hybrid electric drive system, which are fitted to vehicles. In addition, the company offers vehicle electrification and infrastructure solutions, and charging stations. It serves end-use customer base comprising Fortune 500 corporate enterprises, public utilities, and various municipalities. The company was incorporated in 2009 and is headquartered in Boston, Massachusetts.

How the Company Makes Money

Spruce Power Holding generates revenue through the sale and leasing of residential solar energy systems. The company offers various financial products to homeowners, including solar leases, power purchase agreements (PPAs), and solar loans. These financial arrangements allow customers to adopt solar energy with minimal upfront costs, while Spruce Power earns income through long-term agreements for the use of its solar systems. Additionally, the company may benefit from government incentives and renewable energy credits, further enhancing its revenue streams. Partnerships with installation and technology companies also play a significant role in enabling Spruce Power to expand its market reach and optimize its service offerings.

Spruce Power Holding Financial Statement Overview

Summary

Spruce Power Holding faces significant financial challenges. Despite revenue growth, the company operates at a net loss with negative profit margins and high leverage. Persistent cash flow issues and high debt levels further weaken financial stability.

Income Statement

The income statement reveals significant challenges for Spruce Power Holding. Although there is a noticeable increase in revenue over the periods, the company continues to operate at a net loss. The TTM (Trailing-Twelve-Months) shows a negative net profit margin of -94.83%, and the gross profit margin is 56.15%, indicating that the company is not managing to translate revenue growth into profitability. There are also negative EBIT and EBITDA margins, reflecting operational inefficiencies.

Balance Sheet

Spruce Power Holding's balance sheet shows a high debt-to-equity ratio of 4.96 in the TTM period, indicating high leverage which could pose financial risks. The equity ratio is 16.20%, reflecting a moderate level of financial stability. However, the declining trend in stockholders' equity over the periods suggests potential challenges in maintaining financial health.

Cash Flow

The cash flow analysis indicates that Spruce Power Holding is facing cash flow issues, with negative free cash flow and operating cash flow across the periods. The TTM period shows a negative free cash flow of -$29.02 million. The operating cash flow to net income ratio is 0.34, which is relatively weak, highlighting inefficiencies in converting income to cash. However, the company manages to control capital expenditures, which slightly mitigates the situation.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
87.90M	82.11M	79.86M	23.19M	15.60M	20.34M
	Gross Profit
49.35M	58.73M	42.05M	13.24M	-696.00K	2.74M
	EBIT
-48.65M	-50.39M	-36.82M	-59.87M	-58.91M	-15.29M
	EBITDA
-22.42M	-4.81M	1.03M	-35.12M	53.29M	-53.61M
	Net Income Common Stockholders
-83.37M	-70.49M	-65.83M	-46.26M	28.79M	-31.34M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
61.92M	72.80M	141.35M	220.32M	351.68M	329.64M
	Total Assets
877.99M	898.48M	895.02M	826.55M	393.22M	347.01M
	Total Debt
705.59M	711.07M	625.68M	503.01M	4.60M	208.00K
	Net Debt
643.67M	638.27M	484.32M	282.69M	-347.08M	-329.43M
	Total Liabilities
735.80M	752.33M	680.35M	537.58M	31.41M	14.82M
	Stockholders Equity
142.19M	143.71M	212.34M	279.95M	361.81M	332.19M
Cash Flow		Free Cash Flow
-29.02M	-42.16M	-34.16M	-63.49M	-52.13M	-20.03M
	Operating Cash Flow
-28.73M	-41.81M	-33.66M	-63.49M	-48.49M	-19.88M
	Investing Cash Flow
-102.93M	-101.41M	-16.73M	-29.01M	-14.83M	-145.00K
	Financing Cash Flow
78.48M	79.43M	-16.81M	-19.19M	85.36M	346.28M

Spruce Power Holding Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.94
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SPRU, the sentiment is Positive. The current price of 1.94 is below the 20-day moving average (MA) of 1.94, above the 50-day MA of 1.93, and below the 200-day MA of 2.46, indicating a neutral trend. The MACD of -0.02 indicates Positive momentum. The RSI at 51.06 is Neutral, neither overbought nor oversold. The STOCH value of 30.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SPRU.

Spruce Power Holding Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$11.97B	10.29	-7.47%	2.99%	7.32%	-8.06%
FTCI	60 Neutral	$60.45M	―	-123.52%	―	-43.69%	12.75%
TURB	54 Neutral	$25.34M	―	-84.64%	―	-52.61%	-987.53%
TYGO	52 Neutral	$75.04M	―	-200.49%	―	-39.94%	-38.95%
SPRU	46 Neutral	$34.58M	―	-49.28%	―	8.97%	-68.08%
MAXN	41 Neutral	$56.60M	―	307.38%	―	-54.68%	63.56%
NOVAQ	39 Underperform	$402.19K	―	-21.91%	―	16.55%	15.72%

Spruce Power Holding Corporate Events

Spruce Power Appoints Thomas Cimino as Interim CFO

On June 5, 2025, Spruce Power Holding Corporation appointed Thomas Cimino as Interim Chief Financial Officer following the departure of former CFO Sarah Wells. Cimino, who brings over 25 years of financial expertise, will serve in this role at least through August 2025, guiding the company during its transition while Spruce searches for a permanent CFO. His extensive experience in financial reporting and strategic advisory across various sectors is expected to bolster Spruce’s operational efficiencies and growth strategies.

Spruce Power Holding Announces New Share Buyback Program

On May 13, 2025, Spruce Power Holding Corporation announced that its board of directors authorized a new share repurchase program, allowing the company to buy back up to $50 million of its common stock by May 15, 2027. This initiative follows the expiration of its previous program on May 15, 2025, under which the company repurchased 1,870,827 shares at an average price of $4.33 per share. The new program is designed to return value to shareholders and can be executed through various transaction methods, with the company retaining discretion over the timing and amount of repurchases based on market conditions.

Spruce Power CFO Sarah Wells Resigns Effective May 14

On April 29, 2025, Sarah Wells announced her resignation as Chief Financial Officer and Head of Sustainability at Spruce Power Holding Corporation, effective May 14, 2025, citing personal reasons unrelated to the company’s financial or accounting practices. The company has begun searching for a new CFO, utilizing an executive search firm to consider both internal and external candidates.