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Elon Musk’s SolarCity Crashes: Shares Plummet 65% In 2016

George Avalon, Silicon Beat

Shares of SolarCity nose-dived on Tuesday after disclosing earnings results that cast gloom over the provider of solar systems. So far in 2016, SolarCity shares have plummeted 65 percent.

San Mateo-based SolarCity shares lost about one-fifth of their value due to the grim report for its first quarter that ended in March. Tuesday marked the first full day of trading after the financial results were released.

The big problems for the solar company: The quarterly report disclosed a loss that was bigger than expected, and management followed that up with a dismal outlook for future results.

“Bookings came in a lot lower than expected,” Lyndon Rive, chief executive officer and co-founder of SolarCity, told analysts during a conference call to discuss the financial results. “We had a bunch of headwinds that hit us all at the same time.”

The obstacles included regulatory challenges that stymied bookings and increased prices that stifled sales.

SolarCity lost $2.56 per share for the first quarter, which was far worse than forecasts from Wall Street for a loss of $2.32 a share. The per-share results and expectations both were adjusted to exclude one-time items that won’t recur and aren’t based on operations.

The renewable energy company did beat expectations about revenues. SolarCity generated $122.6 million in revenue, ahead of the prediction of $110 million.

SolarCity tumbled 20.8 percent, or $4.69 a share, and closed at $17.82. […]

So far in 2016, SolarCity shares have plummeted 65 percent.

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