Stifel Raises Eguana Technologies Price Target To $0.90

Yesterday Stifel GMP raised their price target on Eguana Technologies (TSXV: EGT) from C$0.85 to C$0.90 and reiterated their buy rating on the company. This comes off Eguana closing its February $20 million equity raise as well as recent improvements in Eguana’s supply chain. Stifel says that the company now has a lot of cash coupled with the anticipation of large revenue growth during the second half of this year.

Their analyst Ian Gillies writes, “We believe these initiatives will help insulate it from some supply chain issues that were articulated on solar + battery storage 1Q21 conference calls. We remain optimistic on the company’s sales growth in 2H21e, 2022e and 2023e.”

Gillies says that the supply chain should be the primary focus for the company. He says that many of the major U.S solar and storage companies have reported financials over the last week and the key topic on the managements calls have been around supply chain management and disruptions, but Gillies comments that most of the company’s raw materials have already arrived back in late March and early April. He writes, “The recently received orders should allow for strong y/y sales growth markers in 2Q21e/3Q21e/4Q21e, but will likely weigh on 1Q21e. The company has already begun placing orders to support sales for 2H21e.”

Onto the first quarter, Gillies says that this quarter is not a relevant quarter, he says this because, “it does not reflect the improvement in its capitalization in February 2021.” Stifel’s focus still remains on the second half of this year, and is carefully listening for management’s commentary on residential battery storage demand.

Below you can see Stifel’s updated 2021 – 2023 estimates.


FULL DISCLOSURE: Eguana Technologies is a client of Canacom Group, the parent company of The Deep Dive. The author has been compensated to cover Eguana Technologies on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.

Video Articles

Silver’s Finally Breaking the System | Keith Neumeyer – First Majestic

The Best News for Gold Was the Drop! – Peter Grandich

McEwen Copper: The Los Azules Feasibility Study

Recommended

Silver47 Completes Property-Wide Geochemical, Rock Sampling Program At Adams Plateau, Identifies Numerous Targets

Altamira Gold Identifies Presence Of Second Mineralized Porphyry Body At Cajueiro

Related News

BMO Reiterates $21 Price Target On Victoria Gold After Production Results

On January 6th, Victoria Gold Corp. (TSX: VGCX) announced its fourth quarter and annual production...

Saturday, January 8, 2022, 01:08:00 PM

Activision: “A More Obvious Choice To Develop A Viable NFT Strategy”

Activision Blizzard (NASDAQ: ATVI) is has seen a solid climb off the monthly lows after...

Monday, May 17, 2021, 02:29:00 PM

CloudMD: Canaccord Remains Bullish Following Virtual Conference

Recently, CloudMD Software & Services (TSXV: DOC)‘s CEO Essam Hamza participated in Canaccord Genuity’s Health...

Wednesday, November 25, 2020, 11:11:00 AM

Tilray: Canaccord Lowers Target On Expected Adult-Use Sales Slump, Revised Hexo Deal

Earlier this week, Tilray Brands (TSX: TLRY) announced an update to their strategic alliance with...

Friday, June 17, 2022, 10:49:29 AM

Organigram: Mixed Commentary From Analysts Following Q1 2021 Results

Organigram Holdings (TSX: OGI) (NASDAQ: OGI) yesterday morning reported its first-quarter 2021 financial results for...

Wednesday, January 13, 2021, 11:55:00 AM