At a time of year when most of us are basking in light of an artificial nature – indeed, when there is less sunlight than any other day – the focus shifts to a company whose fortunes are rising not sporadically or spasmodically, but steadily… like the sun, if you will.
December has been a month of major highlights for San Mateo, California-based SolarCity Corporation (NASDAQ: SCTY), which served notice during that month that it intends to be major player in the growing solar energy field.
SolarCity was founded in July 2006 by brothers Peter and Lyndon Rive, based on a suggestion for a solar company concept from Elon Musk – co-founder of Tesla Motors (NASDAQ: TSLA) and PayPal. SolarCity has boasted of being the leading provider of residential solar power in California since 2007, and was the number-one residential solar installer in the U.S. in 2011, according to reputable research outfits.
SolarCity, according to a recent press release, "provides a range of clean energy services that would otherwise be provided by several different companies, and can tailor service options for each customer’s energy needs.
"The company," the release continues, "provides solar design, installation, financing and performance guarantees, and consumer applications such as SolarGuard® and PowerGuide™ online energy monitoring services."
The company’s website bangs its drum emphatically, noting that SCTY services 1,000 communities, with working knowledge of local building department codes. It also heralds a "breadth of experience across residential, commercial and government sectors, with notable clients like Walmart, eBay and Stanford University."
Headquartered in a corner of the country perceived to be a land of endless sunshine, SolarCity has spread its reach across America; into Arizona, Colorado, Hawaii, Oregon, Texas, and up the east coast to Maryland, Massachusetts, Pennsylvania, New Jersey, New York, Washington, D.C., and not insignificantly, Connecticut, a state aching for cheerful news, given recent events.
For it was on December 13 that SolarCity announced it was expanding its Connecticut operations, taking on more employees and moving into a larger operation in the town of Rocky Hill, thus enabling residents and businesses to install free solar energy and pay less for solar electricity than they would for other fuels. The new hires, incidentally, would bring the company’s force in the "Nutmeg State" to 60 from 45 in less than a year.
The expansion story follows on the heels of SolarCity’s initial public offering that same December 13. In all, some 11.5 million shares were made available at $8.00 a pop, trading on the NASDAQ Global Market under the ticker symbol "SCTY".
Since then, the stock has taken off like the proverbial hare, shooting as high as $14.00 the day after the launch, before settling in just before Christmas at a more modest $10.67 a share on December 20. The popularity of the stock has not wavered, though, share volume topping 619,000 on December 20. With the move toward solar power gaining more momentum, investors would do well to monitor its progress as the weather turns colder and darker.
