Sunrun Inc. (NASDAQ: RUN)

Sunrun is a leading provider of residential solar and energy storage services in the United States. Sunrun designs develops installs sells owns and maintains home energy systems under a subscription based model that requires little or no upfront payment from homeowners. Sunrun’s mission is to connect people to the cleanest energy on earth by offering solar plus storage solutions that deliver energy security predictability and peace of mind.

Sunrun generates revenue primarily through its Customer Agreements which are leases and power purchase agreements that provide customers with solar electricity for a fixed monthly fee. The company also earns income from the outright sale of solar and storage systems to customers who prefer to purchase the equipment. Additional revenue comes from multifamily and new home projects where Sunrun sells its services to commercial developers. Furthermore Sunrun receives payments for battery storage installations and related services in select markets.

Sunrun holds the position of the nation’s leading residential solar and storage provider with the largest fleet of deployed systems in the United States. Its main competitors include traditional utility companies that supply electricity to the same customer base. The company also competes with other solar installers finance driven acquisition firms and large construction utilities that offer similar subscription based products. Sunrun’s competitive advantages stem from its multichannel distribution network its proprietary technology platform and its ability to access low cost tax equity and debt capital. These strengths enable Sunrun to deliver a differentiated customer experience while maintaining capital efficient growth.

Sunrun’s primary customers are residential homeowners who seek to reduce their electricity costs and gain energy independence through solar plus storage systems. The company also serves commercial developers that build multifamily and new home projects and want to offer solar as an amenity to tenants or buyers.