Greenvale Trims $3.9 Million of Sunrun but Keeps the Stock as Its Largest—and Brightest—Bet on U.S. Solar

Sunrun (NASDAQ:RUN) saw London-based Greenvale Capital report a sale of 291,438 shares for an estiamted $3.9 million in the third quarter, according to an SEC filing on Friday.

What Happened

In a disclosure filed with the U.S. Securities and Exchange Commission on Friday, Greenvale Capital LLP reported selling 291,438 shares of Sunrun during the third quarter. The change brought Greenvale’s Sunrun stake to 13.4 million shares worth $231.8 million at quarter-end from a prior holding of 13.7 million shares.

What Else to Know

After the sale, Sunrun remains Greenvale's largest holding, now accounting for 18.2% of 13F AUM.

Top five holdings after the filing:

• NASDAQ: RUN: $231.8 million (18.5% of AUM)
• NYSE: RBLX: $148.9 million (11.9% of AUM)
• NYSE: ZETA: $144.1 million (11.5% of AUM)
• NYSE: SN: $129.9 million (10.4% of AUM)
• NASDAQ: VRNS: $99.1 million (7.9% of AUM)

As of Friday, Sunrun shares were priced at $18.86, up 72% over the past year and well above the S&P 500's 13% gain in the same period.

Company Overview

Company Snapshot

Sunrun Inc. is a leading provider of residential solar and battery storage solutions in the United States, employing over 11,000 people and serving a broad customer base. The company leverages a vertically integrated model to capture value across system design, installation, and long-term service, differentiating itself through direct sales and a robust partner network. Sunrun's strategy focuses on expanding the adoption of distributed solar and storage, positioning the company as a key player in the transition to renewable residential energy.

Foolish Take

Greenvale Capital’s recent $3.9 million sale of Sunrun shares appears to be a portfolio trim following a strong rebound in the stock—rather than souring on the position. The London-based fund reduced its position by 291,438 shares, leaving Sunrun as its largest holding, valued at $231.8 million and representing 18.2% of total AUM.

The timing came just before a third-quarter earnings report that underscored a turnaround in cash generation and balance-sheet strength. The company reported $108 million in cash generation, its sixth consecutive positive quarter, and net income of $16.6 million, reversing an $83.8 million loss a year prior. Revenue, meanwhile, jumped 35% year-over-year to $724.6 million, fueled by a 77% increase in solar energy system sales.

Despite recent volatility, Sunrun’s fundamentals show improving unit economics and disciplined cost control. Greenvale’s smaller but still dominant exposure signals ongoing conviction in the residential solar leader—particularly as the company executes on its storage-first strategy and scales new home-to-grid programs.

Glossary

13F reportable assets under management: The portion of a fund’s assets that must be disclosed quarterly to the SEC on Form 13F.

Assets under management (AUM): The total market value of investments a fund or firm manages on behalf of clients.

Quarterly disclosure: A required financial report submitted every three months, often detailing holdings, transactions, and fund activity.

Vertically integrated model: A business structure where a company controls multiple stages of its supply chain, from production to sales.

Direct-to-consumer model: A sales approach where a company sells products or services directly to end customers, bypassing intermediaries.

Partner network: A group of affiliated businesses or organizations that collaborate to expand reach, sales, or services.

Distributed solar: Solar energy systems installed at or near the point of use, such as homes or businesses, rather than centralized power plants.

Transaction value: The total dollar amount received or paid in a specific buy or sell of securities.

Position value: The current market value of a specific investment holding within a portfolio.

Outperformed: Delivered a higher return compared to a benchmark or index over a specified period.

TTM: The 12-month period ending with the most recent quarterly report.

Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Roblox and Varonis Systems. The Motley Fool recommends SharkNinja. The Motley Fool has a disclosure policy.