Canadian Solar Plunges 14.9% on Earnings Miss, Weak Outlook

Canadian Solar's stock price plummeted 14.9% in pre-market trading on August 21, 2025, marking a significant decline for the solar energy company.

Canadian Solar reported its second-quarter 2025 revenue at $1.69 billion, a 4% increase year over year. However, the company's outlook for the remainder of the year is clouded by uncertainty, particularly regarding customer demand, project construction and sale schedules, and product sales prices.

The company's earnings report, released on August 21, 2025, revealed a swing to an adjusted loss for the second quarter, despite the revenue increase. This unexpected loss, coupled with the lowered revenue guidance for 2025, has raised concerns among investors about the company's financial health and future prospects.

Canadian Solar's warning of a challenging second half of the year has further dampened investor sentiment. The company's forecast for third-quarter revenue falling below analyst expectations has added to the market's pessimism, contributing to the significant drop in its stock price.