Morgan Stanley raised its price target on Sunnova Energy International Inc. (NYSE:NOVA) to $494 from $453, maintaining an Equalweight rating. The target multiple increased to 36 times from 35 times.
The new target applies to an updated 2027 EPS estimate of $13.21. Sunnova trades at 42 times the 2027 EPS, above the solar sector average in the low-30s. The stock closed at $46.94, down 7% year-to-date.
Bond.az data shows a high P/E ratio but a PEG ratio of 0.64, suggesting growth justifies the premium. The firm cites strong execution over the past two years as justification for a premium valuation.
