Vivint Solar Inc (NYSE:VSLR) Unveils An Aggressive Expansion Strategy

For anyone that is not familiar with Vivint Solar Inc (NYSE:VSLR), the Company is a leading full-service residential solar provider in the United States. Vivint Solar customers can power their homes with clean, renewable energy and typically achieve significant financial savings. Offering integrated residential solar solutions for the entire customer lifecycle, Vivint Solar designs, installs, monitors and services the solar energy systems for its customers. In addition to being able to purchase a solar energy system outright, customers may benefit from Vivint Solar's affordable, flexible financing options or power purchase agreements. Through an exclusive collaboration, Vivint Solar offers solar plus storage systems with Mercedes-Benz batteries.Since May 11, 2017, Vivint Solar is aggressively expanding its footprint into as many states as possible via a new retail sales channel that includes kiosks at retail locations. In just the last month the Company has expanded into three new states. As of June 15, 2017, the Company’s affordable residential solar energy systems are now available to Vermont residents. According to the Union of Concerned Scientists' Clean Energy Momentum State Rankings, Vermont ranks No. 2, and is noted for leading the country in clean energy jobs per capita. The State of Vermont has also committed to attain 90 percent of its energy from renewable energy sources by 2050. Currently, residents of Vermont that install solar energy systems can interconnect to the grid under traditional net metering.On June 8, 2017, Vivint Solar announced that it plans to re-enter the Nevada market to bring its affordable residential solar systems to residents. Vivint Solar intends to restore operations in the state following the Nevada Legislature's passing of Assembly Bill 405 and stated commitment by Governor Sandoval to sign the bill into law. In 2015, the State of Nevada instigated regulations that adversely changed solar net energy metering rules which prompted Vivint Solar to closed its operations. AB 405 reinstates a policy that allows Nevada residents to be reimbursed for excess rooftop solar generation, while providing additional rights to protect consumers and their solar energy system investments. David Bywater, CEO of Vivint Solar stated:

"We are very pleased Nevada officials have recognized the broad public support of rooftop solar and reestablished the state's commitment to the future of renewable energy. This bill demonstrates the power of building consensus across stakeholders to find a win-win-win solution for the residential solar industry, utilities and Nevada consumers. We look forward to bringing jobs, consumer choice and affordable solar power back to the state of Nevada."

Expansion into Colorado was announced by Vivint Solar on June 7, 2017. Colorado currently ranks 11th in the country for solar installations, according to the Solar Energy Industries Association (SEIA). Vivint Solar will service the Denver and Boulder area and set up a sales office in Centennial, Colorado.Vivint Solar now operates in 18 states (Arizona, California, Colorado, Connecticut, Florida, Hawaii, Maryland, Massachusetts, New Hampshire, New Jersey, New Mexico, New York, Pennsylvania, Rhode Island, South Carolina, Texas, Utah and Vermont) and Washington D.C.In other recent news, Vivint Solar announced on May 18, 2017 an exclusive strategic collaboration to bring the Mercedes-Benz customizable home energy storage system to the United States. The two companies will introduce a joint offering that will provide customers with the German engineering and performance of Mercedes-Benz batteries coupled with Vivint Solar's expertise in designing, installing and servicing solar energy systems. With energy storage to complement rooftop solar, Vivint Solar customers will be able to have more control over the renewable energy they generate. In addition to providing a backup power source if the grid goes down, the new combined solution may help customers reduce energy costs.On the financial front, on June 5, 2017 Vivint Solar announced that it secured tax equity commitments totaling $100 million from two repeat investors. These tax equity commitments will enable the company to install an estimated 70 megawatts of residential solar energy systems. The Company expects the funding to enable it to design, procure and build low-cost, clean solar energy systems for approximately 10,000 new residential customers.

VSLR stock is in the midst of a very strong move to the upside. On June 16, 2017, the stock made a convincing breakout through a $3.64 resistance level of a range it had been trading in since March of 2016. The stock has traded as high as $5.85 on June 26, 2017. It is currently trading at $5.60. The quarterly financials for the period ending March 31, 2017 indicate steady revenues, positive cash flow, a strong balance sheet. Current market capitalization stands at $645.04million, on 110.26 million shares outstanding as of June 26, 2017.The strong upside move in the stock coincided with the company’s expansion announcement. This move could result in a potential long term uptrend. The savvy investor would wait for a price dip, and start buying the stock. We will be updating our subscribers as soon as we know more. For the latest updates on VSLR, sign up below!Image courtesy of FlickrDisclosure: We have no position in VSLR and have not been compensated for this article.