Emeren price target lowered to $7 from $10 at Roth MKM

Roth MKM lowered the firm’s price target on Emeren to $7 from $10 but keeps a Buy rating on the shares. The company’s Q2 revenue was a miss but its margins were strong and its fundamental business remains “healthy” with demand remaining “quite high”, the analyst tells investors in a research note. Roth MKM adds that elevated energy prices were a tailwind for Emeren, and the firm sees margin strength in the second half of 2023 and 2024 from favorable PPA contracts.