Analyst Amit Dayal of H.C. Wainwright maintained a Buy rating on Solarbank Corp., with a price target of $6.00.
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Amit Dayal has given his Buy rating due to a combination of factors that highlight Solarbank Corp.’s strategic positioning and future growth potential. The company has shown significant improvement in its gross margins, increasing from 20% in FY2024 to 25% in FY2025, as it shifts focus from EPC projects to its higher-margin IPP business. This strategic pivot is further supported by the acquisition of Solar Flow-Through Funds Ltd., which adds 29 MW of operating assets to Solarbank’s portfolio.
Additionally, the anticipation of increased project starts, driven by incentives from the One Big, Beautiful Bill Act, positions the company for potential revenue growth in the near term. Although the company reported a net loss in F4Q25, its improved cash position of approximately C$15M is deemed sufficient to support its growth strategies. Furthermore, Solarbank’s exploration of new markets, such as data centers, and its cautious approach to digital assets, provide additional avenues for future expansion. These factors collectively underpin Amit Dayal’s positive outlook on the stock.