Latest news with #SEDG
CNBC
15-07-2025
- Business
- CNBC
JPMorgan downgrades this solar stock after a massive move higher in recent months
SolarEdge Technologies may have moved too high, too fast, according to JPMorgan. The firm downgraded shares of the company to neutral from overweight but upped its price target to $23 from $18. That updated target still calls for about 14% downside from Monday's close. The stock has been on a monster rally as of late, gaining more than 110% in the past three months and more than 96% year to date. This month alone, SolarEdge is up about 31%. "Given SEDG's outperformance since May 1 (up 109% vs coverage average up 33%), we are downgrading to Neutral and look for pullbacks or signs of stronger than expected market share gain and/or margin expansion to add to positions," analyst Mark Strouse wrote in a Tuesday note. SEDG 3M mountain SEDG, 3-month To be sure, while the analyst is stepping to the sidelines now, he anticipates that the name will ultimately be able to move higher long term thanks in part to its "relatively higher" exposure to the lease and power purchase agreement (PPA) market. "SEDG's 45x manufacturing credits are unchanged from the [Inflation Reduction Act], and tax credit transferability rules are also unchanged, meaning that SEDG should likely continue its cadence of quarterly transfers," Strouse also wrote. "We believe the larger driver for the stock will be the new management's focus on efficiency and [stock-keeping unit] rationalization, for which we are encouraged by initial progress, though it is still early." Strouse's move now puts him in the majority of analysts on Wall Street with a neutral view of the stock, which was nearly 2% lower in the premarket Tuesday. Twenty out of 31 analysts in total have a hold rating, while only one has a buy rating, according to LSEG data. Elsewhere in the energy technology space, the analyst likewise downgraded Enphase Energy to neutral from overweight, citing anticipated loss in share and margin pressure as third-party owned (TPO) systems gain traction within the industry.
Yahoo
28-06-2025
- Business
- Yahoo
SolarEdge Technologies (SEDG) Gained Over 18% This Week. Here is Why.
The share price of SolarEdge Technologies, Inc. (NASDAQ:SEDG) surged by 18.17% between June 18 and June 26, 2025, putting it among the Energy Stocks that Gained the Most This Week. A technician installing a communication device in a large solar energy system. SolarEdge Technologies, Inc. (NASDAQ:SEDG) is a global leader in smart energy technology. The company produces current optimized inverter systems for solar photovoltaic installations in the United States, Germany, the Netherlands, Italy, the rest of Europe, and internationally. SolarEdge Technologies, Inc. (NASDAQ:SEDG) gained this week following reports that Congress may not cut federal tax incentives for residential rooftop solar installations. The potential for clean energy tax credits to remain intact has caused a strong wave of positive investor sentiment throughout the solar energy sector. Moreover, SolarEdge Technologies, Inc. (NASDAQ:SEDG) revealed this week that it has begun full production and shipment of its Home Battery at a new factory in Salt Lake City, Utah. This means that the company is now manufacturing its full residential offering — inverter, power optimizer, and battery — on American soil. Marty Rogers, General Manager at SolarEdge Technologies, Inc. (NASDAQ:SEDG), stated: 'We're proud to be part of the manufacturing resurgence in America, as our investments represent a strategic commitment to the domestic market. This expansion not only supports our growth objectives, but reinforces our promise to customers: reliable, high-quality technology with shorter lead times and greater supply chain stability. The American energy tax credits have enabled the company to onshore its manufacturing and add to the critical energy infrastructure needed to meet growing U.S. energy demand. As Congress considers changes to clean energy tax credits, we encourage lawmakers to recognize how vital these incentives are for businesses to continue investing in domestic manufacturing and drive America's future energy dominance.' While we acknowledge the potential of SEDG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 10 Best Nuclear Energy Stocks to Buy Right Now and Disclosure: None.
Yahoo
28-06-2025
- Business
- Yahoo
SolarEdge Technologies (SEDG) Stock Slides as Market Rises: Facts to Know Before You Trade
In the latest trading session, SolarEdge Technologies (SEDG) closed at $19.80, marking a -1.32% move from the previous day. This move lagged the S&P 500's daily gain of 0.52%. Meanwhile, the Dow gained 1%, and the Nasdaq, a tech-heavy index, added 0.52%. The photovoltaic products maker's stock has climbed by 20.87% in the past month, exceeding the Oils-Energy sector's gain of 5.34% and the S&P 500's gain of 5.95%. Investors will be eagerly watching for the performance of SolarEdge Technologies in its upcoming earnings disclosure. In that report, analysts expect SolarEdge Technologies to post earnings of -$0.81 per share. This would mark year-over-year growth of 54.75%. In the meantime, our current consensus estimate forecasts the revenue to be $274.68 million, indicating a 3.5% growth compared to the corresponding quarter of the prior year. SEDG's full-year Zacks Consensus Estimates are calling for earnings of -$3.26 per share and revenue of $1.1 billion. These results would represent year-over-year changes of +85.82% and +18.19%, respectively. Investors should also pay attention to any latest changes in analyst estimates for SolarEdge Technologies. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook. Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system. The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 1.5% higher. Currently, SolarEdge Technologies is carrying a Zacks Rank of #3 (Hold). The Solar industry is part of the Oils-Energy sector. Currently, this industry holds a Zacks Industry Rank of 147, positioning it in the bottom 41% of all 250+ industries. The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Ensure to harness to stay updated with all these stock-shifting metrics, among others, in the next trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report SolarEdge Technologies, Inc. (SEDG) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
14-06-2025
- Business
- Yahoo
Barclays Raises SolarEdge Technologies, Inc. (SEDG)'s PT to $12 from $11
SolarEdge Technologies, Inc. (NASDAQ:SEDG) is among the 8 Biggest EV Stocks to Watch in 2025. Barclays is still rating SolarEdge Technologies, Inc. (NASDAQ:SEDG) as Underweight, but it has increased its price target from $11 to $12. A technician installing a communication device in a large solar energy system. The company mentioned the possible advantages of the next final draft of the U.S. budget reconciliation, which is anticipated to prioritize solar leases over loans in terms of phase-out timing and tax subsidies. Barclays believes that SolarEdge Technologies, Inc. (NASDAQ:SEDG) will benefit more than Enphase Energy as a result of the suggested regulatory changes. The firm may become more competitive in the market when compared to businesses that depend more on loan-based installations as a result of the anticipated change toward rewarding solar leasing models. Barclays' Underweight stance shows that it is still cautious about the stock's overall outlook, even in light of the price target adjustment. The report stresses how the solar energy industry may be greatly impacted by impending fiscal policy decisions in the United States, with various effects on major firms such as SolarEdge Technologies, Inc. (NASDAQ:SEDG) and Enphase based on their exposure to distinct business models. While we acknowledge the potential of SEDG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 10 High-Growth EV Stocks to Invest In and 13 Best Car Stocks to Buy in 2025. Disclosure. None.
Forbes
12-06-2025
- Business
- Forbes
SolarEdge Rally To Continue?
SolarEdge Technologies (NASDAQ:SEDG) shares experienced a significant surge on Tuesday, rising nearly 12% after a noteworthy analyst upgrade. The stock has also increased by 50% year-to-date. The company, which produces optimized inverter systems for solar installations, reported better-than-anticipated Q1 2025 results, with revenue climbing 7.4% year-over-year to $219.5 million and adjusted net losses substantially decreasing. While SolarEdge faces challenges in Europe, it is observing improved prospects in the U.S. residential market. Its expanded manufacturing capacity in the U.S. positions the company to take advantage of domestic content subsidies while enabling it to more effectively compete with imports that are subject to high tariffs. Nevertheless, SEDG stock may not be ready for purchase at this moment. We reach this conclusion by evaluating the current valuation of SEDG stock against its operating performance in recent years, alongside its ongoing and historical financial status. Our examination of SolarEdge Technologies across essential criteria of Growth, Profitability, Financial Stability, and Downturn Resilience indicates that the company has a weak operating performance and financial health, as outlined below. That being said, if you are looking for upside potential with reduced volatility compared to individual stocks, the Trefis High-Quality Portfoliooffers a viable alternative, having surpassed the S&P 500 and produced returns exceeding 91% since its inception. In terms of what you pay per dollar of sales or profit, SEDG stock appears inexpensive relative to the wider market. • SolarEdge Technologies possesses a price-to-sales (P/S) ratio of 1.2 versus 3.0 for the S&P 500. SolarEdge Technologies' revenues have declined over the past few years. • SolarEdge Technologies has experienced an average annual revenue decrease of 13.2% over the last 3 years (compared to a 5.5% rise for the S&P 500) • Its revenues have diminished by 59.0% from $2.2 billion to $917 million in the last 12 months (in contrast to a 5.5% increase for the S&P 500) • Additionally, its quarterly revenues increased by 7.4% to $219 million in the most recent quarter from $204 million a year ago (versus a 4.8% rise for the S&P 500) SolarEdge Technologies' profit margins are significantly lower than those of most companies covered by Trefis. • Over the last four quarters, SolarEdge Technologies' Operating Income was $-1.4 billion, reflecting a very poor Operating Margin of -153.6% (compared to 13.2% for the S&P 500) • SEDG's Operating Cash Flow (OCF) during this timeframe was $-62 million, indicating a very poor OCF Margin of -6.8% (compared to 14.9% for the S&P 500) • For the last four-quarter period, SEDG's Net Income was $-1.7 billion, signifying a very poor Net Income Margin of -190.7% (versus 11.6% for the S&P 500) SolarEdge Technologies' balance sheet appears to be robust. • At the end of the most recent quarter, SolarEdge Technologies' Debt stood at $758 million, while its market capitalization is $1.2 billion (as of 6/10/2025). This translates to a poor Debt-to-Equity Ratio of 69.7% (as opposed to 19.9% for the S&P 500). [Note: A low Debt-to-Equity Ratio is favorable] • Cash (including cash equivalents) constitutes $652 million of SolarEdge Technologies' total assets of $2.5 billion. This results in a very strong Cash-to-Assets Ratio of 25.8% (compared to 13.8% for the S&P 500) SEDG stock has performed worse than the benchmark S&P 500 index during several recent downturns. While investors remain hopeful for a soft landing of the U.S. economy, how severe could the situation become if another recession occurs? Our dashboard How Low Can Stocks Go During A Market Crash examines how key stocks have performed during and after the last six market crashes. • SEDG stock lost 80.9% from a peak of $368.33 on 15 November 2021 to $70.33 on 9 November 2023, compared to a peak-to-trough decline of 25.4% for the S&P 500 • The stock has not yet recovered to its pre-Crisis peak • The highest price the stock has reached since then is 102.24 on 19 December 2023, and it now trades at about $21 • SEDG stock declined 51.1% from a high of $142.20 on 20 February 2020 to $69.48 on 23 March 2020, while the S&P 500 saw a peak-to-trough decline of 33.9% • The stock fully rebounded to its pre-Crisis peak by 1 June 2020 In conclusion, SolarEdge Technologies' performance across the criteria mentioned above is summarized as follows: • Growth: Very Weak • Profitability: Extremely Weak • Financial Stability: Strong • Downturn Resilience: Very Weak • Overall: Very Weak Consequently, despite its very low valuation, we regard the stock as unappealing, reinforcing our assessment that SEDG is currently a poor choice for investment. While it is advisable to steer clear of SEDG stock for the time being, you might want to consider the Trefis Reinforced Value (RV) Portfolio, which has outperformed its all-cap stocks benchmark (a combination of the S&P 500, S&P mid-cap, and Russell 2000 benchmark indices) and generated significant returns for investors. What accounts for this? The quarterly rebalanced selection of large-, mid-, and small-cap RV Portfolio stocks has offered a responsive strategy to capitalize on favorable market conditions while minimizing losses when markets decline, as detailed in RV Portfolio performance metrics.
