Needham & Company Downgrades SunEdison (SUNE) to Hold

Needham & Company downgraded SunEdison (NYSE: SUNE) from Buy to Hold.

Analyst Y. Edwin Mok commented, "We are downgrading SUNE from Buy to Hold following the delay of its 4Q15 earnings and 10-K filings, the news of banks refusing to provide debt financing for the VSLR [N/R] acquisition, and multiple cases of ongoing litigation. With substantial uncertainties on its financial situation and liquidity, we now believe SUNE could face even greater cash crunch ahead, preventing the company from reaching the important goal of operating cash flow positive. We were previously hopeful that the financing in January would help stabilize SUNE's liquidity position, but it appears SUNE is facing mounting financial challenges with a sharp rise in cost of capital, which could ultimately cripple the future prospects of the company. We expect SUNE trading to remain volatile, but we see little reason to get involved here."

For an analyst ratings summary and ratings history on SunEdison click here. For more ratings news on SunEdison click here.

Shares of SunEdison closed at $1.79 yesterday.

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