Street Calls of the Week
KITCHENER, Ontario - Canadian Solar Inc. (NASDAQ:CSIQ), a $873 million market cap solar technology company that has seen its stock surge nearly 50% over the past six months, announced Wednesday that its subsidiary e-STORAGE has secured agreements to provide battery storage systems for two major projects in Ontario, Canada. According to InvestingPro data, the company currently trades near its Fair Value, with 13 key investment tips available for subscribers.
The company will supply equipment and services for the Elora and Hedley battery energy storage projects being developed by Aypa Power. Together, these facilities will add 420 MW/2,122 MWh of storage capacity to Ontario’s grid, positioning them among the largest energy storage developments in the province. This expansion comes as Canadian Solar manages a substantial debt position of $6.5 billion, with a current ratio of 1.09.
Under the agreements, e-STORAGE will deploy its SolBank product with 20-year long-term service agreements that include monitoring, maintenance, and performance guarantees. Delivery is scheduled to begin in the first quarter of 2026, with commercial operations expected in the first half of 2027.
"The Elora and Hedley projects represent critical investments in Ontario’s energy system, providing the flexible capacity needed to meet rising demand and maintain a reliable grid," said Moe Hajabed, CEO of Aypa Power, in the press release.
Colin Parkin, President of e-STORAGE, noted that the projects will provide capacity through the IESO’s Long-Term 1 Resource Adequacy framework.
The Ontario projects extend the partnership between e-STORAGE and Aypa Power, which is a Blackstone portfolio company. Aypa currently has 30 projects in operation or under construction across North America, with a development pipeline exceeding 22 gigawatts.
Canadian Solar reports that its e-STORAGE subsidiary has shipped over 13 GWh of battery energy storage solutions globally as of June 30, 2025, with a contracted backlog valued at $3 billion. With annual revenues of $5.92 billion, the company continues to expand its market presence. For deeper insights into Canadian Solar’s financial health and growth prospects, investors can access the comprehensive Pro Research Report available on InvestingPro, which covers over 1,400 US-listed companies.
In other recent news, Canadian Solar Inc. reported mixed second-quarter 2025 earnings, with revenue falling short of guidance due to delayed project sales and energy storage shipments. Despite this, the company experienced a boost in gross margin, attributed to a favorable U.S. sales mix and a one-time project sale. Mizuho responded by lowering its price target for Canadian Solar to $15.00, citing these mixed earnings results, but maintained an Outperform rating. Similarly, Oppenheimer reduced its price target to $21.00, pointing to weak demand in China and ongoing project delays.
In product developments, Canadian Solar announced the upcoming launch of its Low Carbon solar modules, featuring a carbon footprint of 285 kg CO₂eq/kW, with deliveries expected in August 2025. The company also plans to introduce FlexBank 1.0, a modular battery system for utility-scale energy storage, at an event in Las Vegas, with availability slated for 2026. These advancements come amid a positive trend in the solar sector, as China’s economic measures have led to a recovery in solar wafer prices, benefiting companies like Canadian Solar.
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