Enphase Energy (ENPH – Free Report) closed at $163.82 in the latest trading session, marking a -1.5% move from the prior day. This change lagged the S&P 500’s 0.29% gain on the day. Elsewhere, the Dow gained 0.58%, while the tech-heavy Nasdaq added 0.4%.
Prior to today’s trading, shares of the solar technology company had lost 15.67% over the past month. This has lagged the Oils-Energy sector’s gain of 6.65% and the S&P 500’s gain of 0.91% in that time.
Wall Street will be looking for positivity from ENPH as it approaches its next earnings report date. On that day, ENPH is projected to report earnings of $0.41 per share, which would represent year-over-year growth of 7.89%. Meanwhile, our latest consensus estimate is calling for revenue of $292.73 million, up 42.41% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.97 per share and revenue of $1.33 billion, which would represent changes of +43.8% and +72.2%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for ENPH. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company’s business outlook.
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. The Zacks Consensus EPS estimate has moved 1.31% higher within the past month. ENPH currently has a Zacks Rank of #3 (Hold).
Investors should also note ENPH’s current valuation metrics, including its Forward P/E ratio of 88.5. This represents a premium compared to its industry’s average Forward P/E of 60.99.
The Solar industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 204, putting it in the bottom 20% 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.