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  "documentTitle": "Sunrun Inc. (RUN)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson C. Block",
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  "presentationDate": "2022-07-28 00:00:00",
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  "notes": "Includes a quote from a former executive to support the thesis of aggressive accounting practices.",
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      "text": "The tables below show the adjusted Subscriber Value and Net Earning Assets, which decline 24.0% and 85.4% at the midpoint, respectively.",
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      "text": "Subscriber Value: $4.19",
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      "text": "After stripping out aggressive assumptions from RUN's $4.99 per watt Subscriber Value as of Q4 2021, our adjusted Subscriber Value produces a value of $4.19 per watt before sensitizing for churn.",
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      "text": "I do not think that the IRS has solar experts. So, when they audit us, we basically educating them on what is going on.",
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      "text": "“I do not think that the IRS has solar experts. So, when they audit us, we basically educating them on what is going on.” — Former Novogradac executive",
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      "text": "We sensitize annual customer churn rates from 20%-34% in Year 21; from 5%-10% in Years 22-25; 21%-36% in Year 26; and 12%-23% in Years 27-30.",
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      "text": "Interview with Former Novogradac Executive E, October 2021",
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      "text": "Adjusted Subscriber Value, Churn Sensitization (MWC Est.); Low (75% of Base Case Estimate) 3.89; Base Case Estimate 3.79; High (125% of Base Case Estimate) 3.70",
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      "text": "Stated Subscriber Value, Q4 2021 ($/watt) 4.99; Less: ITC in Value & Depreciation (0.40); Less: Panel Removal Liability (0.14); Less: O&M Expense Adjustment (0.10); Less: Panel Degradation (0.10); Less: Contract Renegotiation & Cancellation (0.06); Adjusted Subscriber Value, Before Churn Adjustment 4.19",
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      "text": "Adjusting RUN's Subscriber Value, Net Earning Assets, and Income Approach Tax Model",
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