Spruce Power Holding Corporation Class A Common Stock (SPRU)

FairStock Score: 43/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I begin with the business, not the ticker. Spruce owns distributed solar assets and charges homeowners subscription payments while selling solar renewable energy credits. That can sound annuity-like, but the reported record is not an annuity of profits. In fiscal 2025, the year ended 2025-12-31, revenue was $111.8 million and net income was -$26.0 million; in fiscal 2024, the year ended 2024-12-31, net income was -$70.5 million; in fiscal 2023, it was -$65.8 million. FairStock's Lynch category is 'none' because the company lost money in each of the last four years. The latest fiscal Q2 2026, the quarter ended 2026-06-30, did earn $3.3 million on $30.3 million of revenue, a 10.94% margin, but the prior fiscal Q1 2026, the quarter ended 2026-03-31, lost $2.9 million. That is lumpy, not proven. At the 2026-10-13 close of $1.50, FairStock calculates P/B at 0.24 and P/E at -3.85, so the market is pricing the equity as a cheap option on the assets. But debt/equity is 5.43 and Altman Z-Score is -0.76, which is a warning, not a margin of safety. ROCE is only 1.78%, ROE -5.47%, and Piotroski 5/9. FCF is $2.0 million, a 6.8% FCF yield, which is real but small against a leveraged balance sheet. Revenue growth is -8.75% by FairStock's calculation, and fiscal Q2 2026 revenue fell from $33.3 million in fiscal Q2 2025, the quarter ended 2025-06-30. A moat is not evident. I would need several quarters of positive earnings and debt reduction before calling this a sound value; otherwise low P/B can be a trap.

In plain English: Spruce Power owns home solar systems and charges customers subscription payments while selling solar credits. The business is small and has mostly lost money in recent years, though the latest reported quarter showed a profit. At $1.50 a share, the stock looks very cheap compared with its accounting value, but heavy debt and uneven profits make it risky rather than a clear bargain.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K/A (period ended 2025-12-31) · FY2024 10-K/A (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer