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What: Shares of solar company SunPower Corporation (NASDAQ:SPWR) jumped as much as 13% today after reporting third-quarter earnings.

So what: Third-quarter non-GAAP revenue of $441.4 million and earnings of $0.13 per share easily topped estimates, which had SunPower losing $0.02 in the quarter. What got investors excited was the company's increased full-year guidance, including an expectation of $475 million to $500 million in EBITDA, up from a range of $425 million to $475 million previously. Management also expects non-GAAP earnings per share of $1.95 to $2.05 for the full year.  

Now what: SunPower has been in a sort of limbo since deciding to begin holding projects on its balance sheet in anticipation of a yieldco. But now that its yieldco 8point3 Energy Partners is in the market and buying projects, it can sell systems to the vehicle. That will include the Quinto project in the fourth quarter, which helped drive the increased guidance.

What's important for investors now is that SunPower is increasing profitability as it prepares to open a 350 MW-capacity expansion and grows its concentrator business. That should mean further growth and greater profitability going forward. With shares trading at just 13.5 times this year's earnings after today's pop, I think there's a lot of room for SunPower to run higher for long-term investors.

Travis Hoium owns shares of SunPower and 8point3 Energy Partners. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.