Hannon Armstrong Sustainable Infrastructure Capital's stock surged 7.45% during intraday trading on Friday, significantly outperforming the broader market.

The sustainable infrastructure investor's sharp rise follows the release of its fourth quarter and full year 2025 financial results, which exceeded analyst expectations across key metrics. The company reported a significant earnings beat with Q4 adjusted earnings per share of $0.67 surpassing estimates, and full-year adjusted EPS of $2.70 also topping expectations. A key driver was the record $4.3 billion in new investments closed during 2025, representing an impressive 87% year-over-year increase.

Further bolstering investor confidence, the company provided a positive long-term outlook, expecting adjusted EPS in the range of $3.50 to $3.60 by 2028 and projecting an adjusted return on equity of more than 17%. Additionally, the board declared an increased quarterly cash dividend. The rally was further supported by RBC Capital Markets raising its price target on the stock to $43 from $39 while maintaining an Outperform rating.