Elon Musk-Backed SolarCity Thrives in Solar Power Sector

May 14, 2013 by  
Filed under Green Energy News

This business model, with high upfront costs for gradual returns spread out over decades, doesn’t lend itself to immediate profits. On Monday, the company posted a $31 million loss. So far investors seem patient.  “The stock is outperforming the results,” an analyst for Raymond James Associates told Bloomberg. Lyndon Rive, in an interview with CNN, pointed out the irony that as soon as SolarCity show a profit, it’ll be a warning sign that recurring revenue has outpaced installations and the company has stopped growing.

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