Sunnova Energy Stock Gains As CEO William Berger Resigns Days After Going-Concern Warning: Retail Remains Extremely Bullish

Shares of Sunnova Energy International Inc. (NOVA) defied a market-wide downturn to gain 1.8% in Monday’s regular trade after the company’s CEO, William Berger, stepped down from his role.

Paul Mathews will take up the CEO mantle, rising from his previous role as the company’s chief operating officer. Berger, who founded Sunnova more than 12 years ago, will stay on as an advisor to help with the transition.

Mathews joined Sunnova in 2023 and led the company’s efforts to improve its customer service experience, including backlogs and complaints. Before Sunnova, Mathews worked at UPS for nearly two decades.

“While we recognize the near-term challenges we face, I am committed to pursuing stability, driving a hard pivot to profitable growth, and strengthening the Company’s foundation for the future,” he said.

Sunnova did not specify the reason behind Berger stepping down as the CEO, but this comes days after the company issued a going-concern warning in its latest 10K filing with the U.S. Securities and Exchange Commission (SEC.)

This resulted in a downgrade from Mizuho and a steep price target cut – the brokerage downgraded the stock to ‘Neutral’ from ‘Outperform’ with a price target of $1, down from $11.

It also highlighted uncertainty about Sunnova’s cash generation abilities in 2025, even as the company seeks refinancing to address its going-concern issues.

The news drew significant interest from retail investors on Stocktwits, with message volume surging 1,625% over the past 24 hours.

Retail sentiment remained in the ‘extremely bullish’ (87/100) territory as investors digested the news of a new CEO’s appointment.

One user said they bought more Sunnova stock.

Sunnova’s stock has fallen more than 85% year-to-date, while its one-year performance is worse, with a decline of over 90%.

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