Why JinkoSolar Shares Are Diving Premarket Wednesday
Portfolio Pulse from Lekha Gupta
JinkoSolar Holding Co Ltd (NYSE:JKS) shares dropped in premarket trading after reporting disappointing Q4 FY23 earnings. Despite a 9.4% Y/Y revenue increase to $4.62 billion, exceeding expectations, the company's adjusted EPADS of $1.21 missed the $2.50 consensus. Gross margin and operating profit margin both contracted, with gross profit down 2.8% Y/Y. The company anticipates Q1 module shipments of 18.0 GW-20.0 GW and aims for FY24 shipments of 100.0 GW to 110.0 GW. JinkoSolar expects to enhance efficiency and reduce operating costs through its integrated project in Shanxi, China, despite planning reduced investments in capacity expansion for 2024.
March 20, 2024 | 12:51 pm
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JinkoSolar's Q4 FY23 earnings report showed mixed results with revenue growth but lower profits and margins, leading to a premarket stock price drop. The company has optimistic shipment forecasts for FY24 and plans to improve efficiency and reduce costs.
The immediate negative reaction in JinkoSolar's stock price is due to the missed earnings expectations for Q4 FY23, despite revenue growth. The long-term outlook remains positive with plans for increased shipments and operational improvements, but the short-term impact is negative due to the earnings miss and reduced margins.
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