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SolarCity teams up with Best Buy; shares gain

  • SolarCity (SCTY +4.6%) will pitch its solar installation/electricity services to Best Buy (BBY -1.4%) customers at 60 stores in California, New York, Arizona, Oregon, and Hawaii.
  • SolarCity, which already has a similar deal with Home Depot, will have onsite reps evaluate the feasibility of an installation with the help of satellite imagery, as well as discuss pricing and handle sign-ups.
  • For Best Buy, the SolarCity deal is the latest in a string of partnerships involving dedicated store space for a company's products/services. Other partners include Apple, Microsoft, and Samsung.
Comments (16)
  • jd2000
    , contributor
    Comments (7) | Send Message
     
    Hope it works. I am still long on BBY.
    12 Mar, 11:15 AM Reply Like
  • joeinslw@gmail.com
    , contributor
    Comments (552) | Send Message
     
    I'm watching scty stock, and it's UP, UP, UP, but not away, I'm long too, may you have good luck to all the longs in Tesla (tsla) and Solar City (scty)

     

    I had a thought, does Solar City have a right or "permission" to sell/lease solar panels in New Jersey ? With this NJ Governor, would he change his mind about that as well just because it's Elon Musk's company? Who knows-- LOL
    12 Mar, 11:30 AM Reply Like
  • aow
    , contributor
    Comments (123) | Send Message
     
    That TSLA deal is nothing but rent seeking due to the auto dealer lobby not wanting to cut them out (after all if TSLA can cut out middlemen then NJ dealers are afraid Ford, etc will follow). There's no such danger or super-wealthy lobby in solar panel distribution so I don't think that's a danger.
    12 Mar, 12:04 PM Reply Like
  • Vico Confino
    , contributor
    Comments (178) | Send Message
     
    Vico Confino question.
    When will Solar City open to take orders in Florida?
    Please advise.
    Want to charge my Tesla 85 and home.
    Thanks,
    Vico Confino
    33vico@gmail.com
    12 Mar, 12:20 PM Reply Like
  • Windsun33
    , contributor
    Comments (4244) | Send Message
     
    Solar City is hardly the only solar company around. The SEIA directory shows over 100 in Florida.
    12 Mar, 03:50 PM Reply Like
  • cmnsnse
    , contributor
    Comments (465) | Send Message
     
    Wait until Costco deals come down the wire....
    12 Mar, 02:03 PM Reply Like
  • cmnsnse
    , contributor
    Comments (465) | Send Message
     
    Vico, when Tesla energy storage comes to market for residential application, you might just get a call then... I anticipate they'll start rolling out residential storage to current Solarcity customers in early 2015, then start to ramp up to new customers from there... so, could get to you in Florida in a couple years or when the gigafactory is up and running (2017/18) at the latest.

     

    BUT... if you want it now and are able to, buy or lease a system from a local installer. Better to go solar then wait for Solarcity to ride into town. You can always hook up solarcity energy storage later:)
    12 Mar, 02:09 PM Reply Like
  • Vico Confino
    , contributor
    Comments (178) | Send Message
     
    cmnsense reply

     

    Appreciate your response.
    Living in Florida, I have been screwed so many times by scammers I am afraid of being taken again.
    Is there a solar installer in South Florida that you could recommend?
    I would be happy to wait for Solar City but I just turned 81 and my clock is ticking.
    Trying to leave my estate in good shape for the wife and family.
    Any help is appreciated.
    Vico
    12 Mar, 03:08 PM Reply Like
  • Windsun33
    , contributor
    Comments (4244) | Send Message
     
    See http://bit.ly/1glnsk8
    12 Mar, 03:52 PM Reply Like
  • Vico Confino
    , contributor
    Comments (178) | Send Message
     
    Vico Confino

     

    Reply to Windsun33

     

    Thank you for your response.
    Much appreciated

     

    Vico
    16 Mar, 10:10 AM Reply Like
  • Vico Confino
    , contributor
    Comments (178) | Send Message
     
    reply cmnsnse
    Thank you for your response.
    It is much appreciated
    Vico
    16 Mar, 10:12 AM Reply Like
  • Chezterr
    , contributor
    Comments (16) | Send Message
     
    Currently own both SCTY (in @ $15/share) and TSLA (in @ $31/share)... and consider myself long in both companies... But I am also cognizant of the fact that the market WILL correct eventually.. and odds are that will happen in the next 12-24 months.. And even solid companies that I believe in (SCTY, TSLA, etc.) will correct along with the market...

     

    Seriously considering pocketing my 400% and 650% gains... and patiently await the market correction, to snatch these stocks up again at deep discounts.

     

    Can anyone point to a popular stock that DID NOT correct along with the broader market in 2008-2009...? None come to mind....
    12 Mar, 04:56 PM Reply Like
  • Manitobatex
    , contributor
    Comments (472) | Send Message
     
    There will never be a correction that you need to worry about............go for the Gold if you are worried about a 2008 repeat............but I would just sit back & enjoy life if I were you.
    12 Mar, 06:13 PM Reply Like
  • cmnsnse
    , contributor
    Comments (465) | Send Message
     
    In two years, SCTY should be free cash flow positive, or damn well close to it. So, regardless of down market, scty will make money. Everyone needs their electricity, especially cheaper electricity in a down market. Solarcity leases would probably gain even more momentum.

     

    In a down market, Solarcity's asset backed securities will be even more desirable. Investors will want to buy asset backed securities to get that consistent interest income on their principle to avoid the increasing risk of a diving stock market. So, Solarcity will be able to raise more capital to install more PV systems (energy storage as well.)

     

    Overall, wouldn't be surprised if Solarcity stock actually gains a lot if the general market goes down two years from now...
    12 Mar, 05:27 PM Reply Like
  • wiserinvestor
    , contributor
    Comments (577) | Send Message
     
    Marketing the higher priced solar lease and PPA financing model to price sensitive consumers in a big box retail outlet is simply not a good idea.

     

    Many of these consumers will simply visit the Internet to comparison shop after being "educated" face to face by a salesperson, and will find higher performance products at much lower pricing online. Especially when compared to the pricing that's available when purchasing a solar system outright.

     

    For example: After making 20 years worth of leasing payments on a $0 down solar lease, a homeowner will end up paying about 3 times the amount that the homeowner would have paid if he or she had purchased a solar system instead.

     

    A leased 4.75 kW system will typically cost the consumer $117.00 per month for a total cost of $28,080. The same purchased 4.75 kW system would cost the consumer $9,642 after applying the 30% federal tax credit. That's a difference of $18,438 wasted when you lease.

     

    And that's without adding in the 2.9% annual payment escalator that the leasing companies are fond of adding into their contracts. Add in the annual payment escalator and the cost to lease a solar system rises substantially.

     

    The solar lease and PPA financing models are outdated and might have made sense 4-5 years ago when system pricing was much higher. Today solar system pricing has fallen well below $3.00 per watt before incentives. At this pricing level, solar leases and PPAs absolutely no longer make sense no matter how or from where they are marketed.
    14 Mar, 09:32 PM Reply Like
  • cmnsnse
    , contributor
    Comments (465) | Send Message
     
    Wiseinvestor, good points. All those wanting a lower energy bill should take everything into consideration. Compare and contrast.
    17 Mar, 07:17 PM Reply Like
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