Enphase Energy (ENPH) Gains As Market Dips: What You Should Know
In the latest trading session, Enphase Energy (ENPH) closed at $155.06, marking a +0.91% move from the previous day. This change outpaced the S&P 500's 0.28% loss on the day.
Heading into today, shares of the solar technology company had lost 12.19% over the past month, lagging the Oils-Energy sector's gain of 5.86% and the S&P 500's loss of 0.56% in that time.
ENPH will be looking to display strength as it nears its next earnings release. On that day, ENPH is projected to report earnings of $0.48 per share, which would represent year-over-year growth of 60%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $345.52 million, up 93.57% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.10 per share and revenue of $1.34 billion, which would represent changes of +53.28% and +73.02%, respectively, from the prior year.
Any recent changes to analyst estimates for ENPH should also be noted by investors. 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 company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.09% lower within the past month. ENPH is currently sporting a Zacks Rank of #5 (Strong Sell).
In terms of valuation, ENPH is currently trading at a Forward P/E ratio of 73.13. Its industry sports an average Forward P/E of 58.75, so we one might conclude that ENPH is trading at a premium comparatively.
It is also worth noting that ENPH currently has a PEG ratio of 2.1. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. ENPH's industry had an average PEG ratio of 2.1 as of yesterday's close.
The Solar industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 228, putting it in the bottom 11% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Enphase Energy, Inc. (ENPH) : Free Stock Analysis Report
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