SunPower Corp

SPWR: XNAS (USA)

Morningstar Rating for Stocks	Fair Value	Economic Moat	Capital Allocation
	$9.00	Rtkd	Mpcjp

SunPower Earnings: Capitalizing on Robust California Demand in Advance of NEM 3.0 Regulatory Change

Brett Castelli

May 3, 2023

We lower our fair value estimate for no-moat SunPower to $13.50 from $17 following first-quarter earnings. The drivers of our lower valuation are a slight decrease to our gross margin forecast and a higher discount rate to more closely reflect our Very High Uncertainty Rating. We view SunPower shares as fairly valued.

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