SUNation Energy (SUNE) AI Stock Analysis

• Market Cap: $3.82M
• Dividend Yield: N/A
• Average Volume (3M): 85.80K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.65
• Revenue Growth: -1.41%
• EPS Growth: 98.90%
• Country: US
• Employees: 189
• Sector: Technology
• Sector Strength: 88
• Industry: Engineering & Construction
• EPS (TTM): -0.12
• Shares Outstanding: 3,406,614
• 10 Day Avg. Volume: 138,774
• 30 Day Avg. Volume: 85,796
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.17
• Price to Sales (P/S): 0.03
• P/FCF Ratio: -0.23
• Enterprise Value/Market Cap: 3.15
• Enterprise Value/Revenue: 0.20
• Enterprise Value/Gross Profit: 0.55
• Enterprise Value/Ebitda: -0.78
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 42 Neutral
• Price Target: $1.00 ▼(-10.71% Downside)

SUNation Energy's overall stock score is primarily impacted by significant financial challenges and bearish technical indicators. While the earnings call provided some positive insights, ongoing financial risks and valuation concerns weigh heavily on the stock's attractiveness.

Positive Factors

Residential Sales Growth

Strong residential sales growth indicates robust demand and market penetration, enhancing revenue stability and long-term growth potential.

Debt Reduction

Reducing debt enhances financial flexibility and reduces interest burden, improving the company's balance sheet and long-term financial health.

Strategic Diversification

Diversifying into new markets and services can reduce dependency on core segments, offering new revenue streams and mitigating sector-specific risks.

Negative Factors

High Financial Leverage

High leverage can increase financial risk and limit operational flexibility, potentially affecting the company's ability to invest in growth opportunities.

Declining Revenue

A significant decline in revenue indicates challenges in maintaining market share and demand, which could impact long-term profitability and growth.

Policy Uncertainty

Policy changes can impact customer incentives and market dynamics, creating uncertainty in demand and potentially affecting future sales.

SUNation Energy Business Overview & Revenue Model

Company Description

SUNation Energy (SUNE) is a leading provider of solar energy solutions, primarily focused on residential and commercial solar installations. The company operates in the renewable energy sector, offering a range of products and services that include solar panel installations, energy efficiency consultations, and battery storage solutions. With a commitment to sustainability and reducing carbon footprints, SUNation Energy serves customers by helping them transition to clean, renewable energy sources, thereby contributing to a greener future.

How the Company Makes Money

SUNation Energy generates revenue primarily through the sale and installation of solar energy systems. Its key revenue streams include the direct sale of solar panels and related equipment, installation services, and maintenance contracts. Additionally, the company benefits from federal and state incentives and rebates for solar energy adoption, which can enhance the affordability of its offerings for customers. Significant partnerships with solar equipment manufacturers and financial institutions also play a crucial role in the company's revenue model, enabling SUNation to provide competitive financing options for customers, thereby increasing sales and market penetration.

SUNation Energy Financial Statement Overview

Summary

SUNation Energy faces significant financial challenges, with declining revenue, negative profitability, and high leverage. The income statement and balance sheet show inefficiencies and high expenses, while cash flow issues limit operational flexibility.

Income Statement

SUNation Energy's income statement shows significant challenges with profitability. The TTM (Trailing-Twelve-Months) gross profit margin is healthy at 35.9%, but the company has negative net income and EBITDA, indicating inefficiencies in operations and high expenses. Revenue has declined by 28.6% from the previous year, highlighting a concerning trend in revenue generation.

Balance Sheet

The balance sheet indicates a high debt-to-equity ratio of 2.39, suggesting significant financial leverage that could pose a risk. The equity ratio is 18.7%, showing a weaker financial position with a substantial portion of assets financed by debt. Return on equity is negative due to losses, which is a concern for potential investors.

Cash Flow

Cash flow analysis reveals a troubling situation with negative operating and free cash flows in the TTM period. The free cash flow to net income ratio is slightly above 1, but both metrics are negative, indicating cash burn. The company's ability to generate cash from operations is weak, potentially impacting its financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	60.07M	56.86M	79.63M	27.52M	38.16K	8.08M
Gross Profit	22.08M	20.43M	27.70M	7.38M	38.16K	2.11M
EBITDA	-15.36M	-9.57M	973.22K	943.41K	-3.43M	-3.86M
Net Income	-20.32M	-15.85M	-8.13M	-10.35M	-6.24M	-171.66K
Balance Sheet
Total Assets	49.61M	45.71M	58.17M	74.70M	2.80M	4.69M
Cash, Cash Equivalents and Short-Term Investments	5.41M	839.27K	3.58M	4.85M	18.97K	0.00
Total Debt	10.42M	20.42M	19.77M	17.64M	6.54M	4.83M
Total Liabilities	27.88M	37.17M	37.74M	47.47M	11.44M	7.19M
Stockholders Equity	21.73M	8.55M	20.44M	27.22M	-8.64M	-2.50M
Cash Flow
Free Cash Flow	-3.08M	-6.34M	-1.32M	-7.69M	-4.65M	-4.85M
Operating Cash Flow	-3.06M	-6.30M	-667.18K	-7.58M	-4.61M	-4.68M
Investing Cash Flow	-20.82K	-26.67K	3.57M	-3.10M	30.54M	3.93M
Financing Cash Flow	6.62M	2.08M	-2.76M	15.91M	-35.59M	-799.87K

SUNation Energy Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.12
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SUNE, the sentiment is Negative. The current price of 1.12 is below the 20-day moving average (MA) of 1.23, below the 50-day MA of 1.33, and below the 200-day MA of 8.64, indicating a bearish trend. The MACD of -0.06 indicates Positive momentum. The RSI at 37.95 is Neutral, neither overbought nor oversold. The STOCH value of 18.50 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SUNE.

SUNation Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
VATE	52 Neutral	$69.50M	-0.91	―	―	-10.69%	-81.71%
SUNE	42 Neutral	$3.82M	>-0.01	-116.57%	―	-1.41%	98.90%
MSW	38 Underperform	$13.10M	-17.81	-578.91%	―	23.25%	-343.35%

SUNation Energy Corporate Events

SUNation Energy shareholders reject expansion of equity incentive plan

At its Annual Meeting of Stockholders held on December 18, 2025, SUNation Energy, Inc. reported that holders of 41.78% of its outstanding common shares were represented in person or by proxy and voted on four corporate proposals. Stockholders elected Roger H.D. Lacey as a Class I director to serve a three-year term and ratified the appointment of CBIZ CPAs P.C. as the company’s independent registered public accounting firm for the year ending December 31, 2025, reinforcing continuity in board leadership and external financial oversight. However, stockholders did not approve amendments to the 2022 Equity Incentive Plan that would have increased the share reserve, expanded incentive stock option capacity, and introduced an evergreen provision pegged at up to 5.0% of outstanding shares, signaling resistance to further equity dilution and potentially constraining management’s flexibility in granting stock-based compensation. Although stockholders had authorized potential adjournments of the meeting to solicit additional proxies, no adjournment was pursued because a quorum was present and Proposals 1 and 2 received sufficient support while Proposal 3 failed.