I continue to marvel at the operational growth SolarCity (NASDAQ:SCTY.DL) puts up quarter after quarter. Unfortunately for shareholders, at least in the short term, the market seems to value profits over success. However, I intend to prey upon this near-term weakness in the stock because the company's long-term goals are well within reach.
Just look at some of the figures CEO Lyndon Rive and team delivered in SolarCity's latest earnings release:
- Total cost per watt was down from $4.73 in 2012 to $2.86 in the fourth quarter of 2014. The bulk of this drop has come from the installation side of its business. While I don't have data to back this up, I suspect the company's October 2013 acquisition of Zep Solar, an innovative solar-module mounting company, has played a significant role in the savings.
- $5 billion in contracted customer payments. That's the aggregate level reached in the fourth quarter. During the latest quarter alone, SolarCity increased its contracted customer payments by $837 million, or 149% year over year.
- It installed 39% of all U.S. residential installations in the third quarter of 2014. For perspective, that's more than the next 70 competitors COMBINED!
I could have thrown out many more numbers here, but these display quite clearly that SolarCity's foot is still squarely on the gas pedal (while emitting zero harmful emissions).
Tune in to the video below for more on why SolarCity is occupying more territory in my Real Money Portfolio.