Enphase Energy, Inc. (NASDAQ: ENPH) has received a consensus rating of “Reduce” from analysts currently covering the stock. According to data compiled by Marketbeat, out of thirty-six analysts, thirteen have issued sell recommendations, another thirteen have rated the stock as a hold, and ten have provided buy recommendations. The average target price over the next year is set at approximately $55.22.
Analyst Ratings and Price Targets
Recent reports from various equities research firms indicate a downward trend in price targets for Enphase Energy. On July 23, Bank of America lowered its target from $31.00 to $30.00, designating the stock as “underperform.” Similarly, Piper Sandler adjusted its price target from $47.00 to $42.00, maintaining a “neutral” rating as of April 23. Susquehanna revised its target from $51.00 to $40.00 and reiterated a “neutral” rating on July 21.
In a separate note, KeyCorp reaffirmed an “underweight” rating with a price objective of $31.00 on June 17. Lastly, BNP Paribas Exane downgraded the stock from “neutral” to “underperform” while setting a target price of $40.00 on May 13.
Current Stock Performance
As of July 22, 2023, shares of Enphase Energy opened at $31.69. The company has a market capitalization of $4.14 billion, a current ratio of 1.97, a quick ratio of 1.82, and a debt-to-equity ratio of 0.65. The stock has experienced a 12-month low of $31.13 and a high of $130.08. Its 50-day moving average stands at $39.65 and the 200-day moving average is $50.59.
In its latest quarterly earnings report released on July 22, Enphase Energy reported earnings per share (EPS) of $0.69, surpassing the consensus estimate of $0.62 by $0.07. The company achieved revenue of $363.15 million, exceeding the estimate of $359.14 million. Enphase Energy also announced a net margin of 11.78% and a return on equity of 24.55%. The company’s revenue increased by 19.7% compared to the same quarter last year.
Institutional Investments in Enphase Energy
Recent changes in institutional holdings reflect significant interest in Enphase Energy. Baillie Gifford & Co. increased its stake by 32.0% in the first quarter, now holding approximately 11,052,357 shares valued at $685.8 million. Meanwhile, Invesco Ltd. raised its holdings by 43.4% during the fourth quarter, owning 4,557,865 shares worth $313.03 million.
Other notable increases include Assenagon Asset Management S.A., which boosted its stake by an extraordinary 827.3% in the second quarter, now possessing 1,152,546 shares valued at $45.7 million. Additionally, AQR Capital Management LLC raised its position by 9,236.6% in the first quarter, owning 691,564 shares worth $41.48 million.
Currently, institutional investors and hedge funds own approximately 72.12% of Enphase Energy’s stock, indicating robust institutional interest in the company’s performance and future prospects.
Enphase Energy, based in the United States, specializes in designing, developing, manufacturing, and selling home energy solutions for the solar photovoltaic sector. The company’s innovative semiconductor-based microinverters convert energy at the individual solar module level, integrating proprietary networking and software technologies to enhance energy monitoring and control.