In the latest trading session, Enphase Energy (ENPH) closed at $24.22, marking a -0.1% move from the previous day. This change lagged the S&P 500's daily gain of 0.91%. Meanwhile, the Dow gained 0.7%, and the Nasdaq, a tech-heavy index, added 1.02%.
Prior to today's trading, shares of the solar technology company had gained 4.15% over the past month. This has outpaced the Oils-Energy sector's loss of 2.32% and the S&P 500's loss of 2.74% in that time.
Investors will be hoping for strength from ENPH as it approaches its next earnings release. The company is expected to report EPS of $0.25, up 525% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $176.47 million, up 126.24% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.79 per share and revenue of $603.28 million. These totals would mark changes of +690% and +90.82%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for ENPH. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 past month, the Zacks Consensus EPS estimate has moved 0.18% higher. ENPH is currently a Zacks Rank #3 (Hold).
In terms of valuation, ENPH is currently trading at a Forward P/E ratio of 30.63. Its industry sports an average Forward P/E of 23.14, so we one might conclude that ENPH is trading at a premium comparatively.
The Solar industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 38, putting it in the top 15% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Enphase Energy, Inc. (ENPH) : Free Stock Analysis Report
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