SunPower Shares Tank 7% On Weak FY15 Outlook

(RTTNews) - Shares of SunPower Corp. (SPWR) slipped about seven percent after the solar panel maker detailed a weak outlook for the full-year 2015, which is expected to miss Wall Street's expectations.

For the full year 2015, San Jose, California-based SunPower expects earnings of $0.55 to $0.95 per share on revenues of $2.4 billion to $2.6 billion.

Adjusted earnings is expected between $1.10 and $1.50 per share on revenues ranging from $2.4 billion to $2.6 billion. Analysts polled by Thomson Reuters currently estimate earnings of $1.69 per share on revenues of $2.80 billion for the year.

The full-year 2015 outlook excludes the financial impact that may happen if the company decides to form a separately-traded company by shifting some of its power plants. The plan is, however, currently under review, according to the company.

For the fourth quarter, the company now expect earnings in the range of $1.00 to $1.25 per share and revenues of between $1.12 billion and $1.17 billion. Earlier, the company had projected earnings in the range of $0.20 to $0.35 per share and revenues of $675 million to $725 million for the fourth quarter.

The updated outlook reflects the benefit of nearly $450 million in revenue and $0.80 to $0.90 per share in earnings related to the real estate accounting treatment of the company's 579 MW Solar Star projects.

For the fourth quarter, SunPower continues to expect adjusted earnings of $0.15 to $0.30 per share and adjusted revenues of $575 million to $625 million. Analysts currently project earnings of $0.23 per share on revenues of $605.04 million.

SPWR is currently trading at $27.25, down $1.90 or 6.53%, on the Nasdaq.