Pineapple Energy Stock In Focus After Rebrand To ‘Sunation’: Retail’s Wary

Shares of Pineapple Energy Inc ($PEGY) were up more than 1% ( 12:17 p.m. ET) on Monday after the company announced a corporate rebrand to Sunation Energy, pushing down retail sentiment.  

Pineapple will begin trading on Nasdaq under the symbol 'SUNE' on Nov. 19. Pineapple is focused on providing local and regional solar, storage, and energy services.

Additionally, the company also completed a “redomestication” and change in legal state of incorporation to Delaware from Minnesota. According to a company statement, “no action is required by existing stockholders” with the new ticker and name change, as the CUSIP number assigned to the company's common stock will remain unchanged.

Retail sentiment on the stock dipped to ‘bearish’ (43/100) from ‘neutral’ (46/100) a day ago. While message volumes increased to ‘normal’ from ‘low’.

PEGY sentiment and message volumes on Nov 18 as of 12:04 pm ET.| Source: Stocktwits

The move to change its corporate identity had a mixed reaction among Stocktwits users, with one user calling it a “good move.” While another user suggested the stock may be undervalued.  

Pineapple’s stock has more than halved in value year-to-date.

A user leaning ‘bearish’ emphasized its low price.

In October, the firm announced the termination of the operating lease for its former corporate office in Minnetonka, Minnesota.

The company said at the time that the termination of the lease, which was scheduled to expire in 2027, is expected to save approximately $17,500 per month or $210,000 a year in associated rent.

Last week, the company also announced its third-quarter earnings. Its net loss narrowed to $3.3 million from $2.3 million. While per share loss stood at $11.77 compared to $176.35 in the year-ago quarter. The company attributed challenges with cost management and market conditions. It posted revenue of $14.7 million in Q3, down 19.5% compared to the same period last year.

Pineapple has done a few stock splits this year, according to its regulatory filings. Its management has said that it is integrating and growing its solar, storage, and energy services nationwide.