Sunrun deploys 37,000 home batteries to support Puerto Rico’s grid

Published 21/07/2025, 13:14
Sunrun deploys 37,000 home batteries to support Puerto Rico’s grid

SAN FRANCISCO - Sunrun Inc. (NASDAQ:RUN) has begun dispatching over 37,000 home batteries to provide emergency power to Puerto Rico’s electrical grid amid generation shortfalls and increased demand due to high temperatures, according to a press release statement. The company, with annual revenue of $2.1 billion, has shown strong momentum recently, with its stock rising over 11% in the past six months. According to InvestingPro analysis, which offers comprehensive insights through its Pro Research Reports covering 1,400+ stocks, Sunrun’s market capitalization stands at $2.3 billion.

The company’s enrolled dispatchable power capacity has increased more than tenfold since last summer to support the island’s grid. From July through October 2025, electric utility operator LUMA expects more than 75 energy shortfall events requiring Sunrun’s fleet of batteries to dispatch energy, with each dispatch bolstering the grid for four consecutive hours. While expanding operations, Sunrun faces financial challenges, with InvestingPro data showing significant debt levels of $13.7 billion and negative free cash flow in the last twelve months.

LUMA confirmed that Sunrun, along with other aggregators, provided enough energy during several recent evenings to overcome significant generation shortages. In a public post cited in the release, LUMA stated this collaboration helped address a generation shortfall of nearly 50 MW, preventing multiple load shedding events.

"The aging grid and intense weather patterns in many parts of the country, including Puerto Rico, mean that our dispatchable power is of critical importance," said Sunrun CEO Mary Powell.

Sunrun customers will earn a minimum of approximately $200 per battery for participating in the distributed power plant program. Customers can earn more by adjusting battery settings to send more energy to the grid while retaining less for personal backup. Sunrun will also earn revenue for operating the distributed power plant.

The company describes its distributed power plants as providing the same grid function as a natural gas peaker plant by delivering power when the grid needs it most.

Sunrun Inc., founded in 2007, offers residential solar and storage services with subscription-based payment options. The company’s stock currently trades near InvestingPro’s calculated Fair Value, with analysts setting price targets ranging from $6.50 to $21.00. InvestingPro subscribers have access to 13 additional key insights about Sunrun’s financial health and market position, along with detailed valuation metrics and growth forecasts.

In other recent news, Sunrun’s financial outlook has been a focal point for several investment banks. JPMorgan has raised its price target on Sunrun to $16 while maintaining an Overweight rating, highlighting the company’s strong position in residential energy services and its potential for market share gains due to favorable tax credits. UBS also increased its price target to $15, noting Sunrun’s advantage in the residential solar leasing market, especially following legislative changes that favor leasing over direct purchases. Meanwhile, Barclays maintained its Equalweight rating with a $15 target, projecting a contraction in the residential solar market but expecting growth in third-party ownership models. Jefferies upgraded Sunrun from Underperform to Hold, citing favorable policy outcomes for solar leases and storage, although it remains cautious about the broader market. KeyBanc also upgraded Sunrun to Sector Weight, pointing to regulatory developments that preserved tax credits for leased solar equipment and ongoing market consolidation as positive factors for the company. These developments reflect a complex landscape for Sunrun, with varied analyst perspectives on the company’s prospects amid shifting market and regulatory conditions.

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