MMR

Goldman Deal Fails to Stop Sunedison Inc's (SUNE) Bleeding

Sunedison Inc (SUNE) is struggling, despite its recently announced tie-up with Goldman Sachs Group Inc (GS)

Aug 18, 2015 at 1:55 PM
facebook X logo linkedin


During the last 24 hours, Sunedison Inc (NYSE:SUNE) has been all over the news. Last night, the solar company announced it will form a $1 billion clean-power investment vehicle with Goldman Sachs Group Inc (NYSE:GS). This morning, as well, SUNE said it is upping the size of its preferred stock offering to 650,000 shares from 500,000.

Suffice it to say, the headlines are failing to help the security on the charts. At last check, SUNE was down 3.3% at $14.20, after earlier running into its 10-day moving average. In fact, so far this year, the shares have plunged more than 27% -- and recently strung together a dismal five-day stretch.

On the Street, sentiment is mixed. On the one hand, analysts are pretty upbeat, with five of seven doling out "buy" or better endorsements -- with not a single "sell" to be found. On the other, over one-quarter of SUNE's float is sold short, representing almost a week's worth of trading, at typical volumes.

Meanwhile, bearish betting has been trending higher at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) in recent months. Sunedison Inc's (NYSE:SUNE) 50-day put/call volume ratio of 0.67 is lingering near levels not seen since February, and registers in the top one-third of all comparable readings from the past year.
 

Follow us on X, Follow us on Twitter

 

Nvidia and its powerful chips are the face of artificial intelligence.

But while everyone’s patting Nvidia on the back for record earnings…

It’s quietly moved on to the next phase of AI it plans to conquer…

Nvidia recently unveiled essential blueprints for this crucial $1 trillion pivot.

Click here now and find out about the three companies Nvidia absolutely needs to succeed in this vital new AI frontier.
 (ad)