Canadian Solar Shares Plunge Amid Earnings Miss and Sector Uncertainty

Canadian Solar (CSIQ) plummeted 18% following a dual blow: disappointing Q2 earnings and damaging remarks from former President Donald TRUMP targeting the solar industry. Revenue growth stalled at 3.9%, with an adjusted net loss of $0.53 per share—both figures falling short of analyst expectations.

While module shipments hit the high end of guidance and gross margins exceeded projections, these results were inflated by one-time accounting gains and a temporary demand surge in China. CEO Shawn Qu warned of normalization ahead, forecasting Q3 revenue to drop to $1.4 billion from $1.73 billion, with margins contracting to 15%.

The selloff reflects broader sector fragility as political rhetoric collides with operational headwinds. "Markets adjust to new paradigms," Qu noted, underscoring the challenges of transitioning from artificial spikes to sustainable demand.