Canadian Solar reported fourth-quarter results today
Shares of Canadian Solar Inc. (NASDAQ:CSIQ) are surging this morning, after the alternative energy provider nearly tripled fourth-quarter profits.
The solar energy company reported earnings of $1.11 per share -- up from 39 cents per share a year earlier -- while revenue rose 29% to $1.97 billion. Results were driven by stronger solar module shipments. Looking ahead, Canadian Solar said it expects first-quarter revenue to come in between $1.6 billion and $1.8 billion -- higher than a year ago, but lower than analysts' forecasts.
Bullish options traders are circling the solar stock in response, with 3,465 calls and 1,809 puts on the tape so far -- 14 times the average intraday rate. Most popular are the weekly 3/24 38- and 40-strike calls, with new positions being opened at both.
Short interest accounts for 7.9% of Canadian Solar stock's total available float. At the security's average pace of trading, it would take shorts four days to buy back their bearish bets.
CSIQ is 10.2% higher out of the gate, last seen trading at $39.53. Today's gains helped the equity overcome its year-over-year breakeven level, and extended its year-to-date lead to 20.3%. The shares recently bounced off their 320-day moving average, but their 40-day trendline is still providing pressure.