Sunrun Stock Surges as RBC Capital Issues Outperform Rating, Price Target Raised to $16

Sunrun (RUN) stock surges again as RBC Capital upgrades to Outperform with a $16 price target, following a series of bullish analyst actions. The company's Q2 earnings report showed a surprise profit of $1.07 per share and 15% YoY increase in new subscriber additions. A strategic partnership with Tesla aims to provide predictable electricity bills for consumers in Texas. The stock is trading higher by 10.67% to $13.97, with a 52-week high of $22.23 and low of $5.38.

Sunrun (RUN) stock experienced a significant surge today, with RBC Capital upgrading the stock to Outperform and raising its price target to $16.00 from $12.00. The upgrade reflects RBC's view that Sunrun deserves a multiple rerating due to increased certainty about long-term opportunities following treasury guidance clarification [1].

The stock, currently trading at $13.92, has shown strong momentum with a 20% gain in the past week and over 57% surge in the last six months. RBC Capital noted that changes to OB3 guidance have positive implications for Sunrun’s business model, while clarity on commence construction rules for the Investment Tax Credit (ITC) and Production Tax Credit (PTC) further derisk the company’s longer-term growth outlook and value proposition [1].

The new price target implies approximately a 15% cash generation yield to 2026, which RBC believes falls within Sunrun’s historical range. The firm’s analyst Christopher Dendrinos made the rating change as part of his assessment of Sunrun’s improved business outlook following the regulatory clarifications [1].

Sunrun reported strong second-quarter earnings, with revenue reaching $569.3 million, marking an 8.7% increase compared to the previous year and surpassing consensus estimates of $559 million. This performance has led Mizuho to raise its price target for Sunrun to $25, maintaining an Outperform rating, as the company exceeded expectations in solar and storage additions. UBS also increased its price target to $16, citing revised forecasts for Sunrun’s solar capacity deployment in the coming years. Freedom Broker adjusted its price target to $14.50, following the positive earnings report, while maintaining a Hold rating [1].

Additionally, Wells Fargo raised its price target to $14, based on a new valuation framework, and kept an Overweight rating on the stock. GLJ Research upgraded Sunrun from a Sell to a Hold rating, influenced by favorable U.S. Treasury guidance for the residential solar sector [1].

Sunrun's stock is trading higher by 10.67% to $13.97, with a 52-week high of $22.23 and low of $5.38. The company’s strategic partnership with Tesla aims to provide predictable electricity bills for consumers in Texas.

References:
[1] https://www.investing.com/news/analyst-ratings/sunrun-stock-rating-upgraded-to-outperform-by-rbc-capital-on-itc-clarity-93CH-4196799
[2] https://www.benzinga.com/analyst-stock-ratings/reiteration/25/08/47191654/sunrun-poised-to-gain-market-share-as-policy-shifts-boost-its-solar-model-analyst
[3] https://uk.finance.yahoo.com/news/why-sunrun-run-stock-rocketing-184121521.html
[4] https://markets.financialcontent.com/stocks/article/stockstory-2025-8-13-5-revealing-analyst-questions-from-sunruns-q2-earnings-call