Enphase Energy (NASDAQ:ENPH) Trading Down 5.7% Following Analyst Downgrade

Key Points

• Enphase Energy shares dropped 5.7% after Wall Street Zen downgraded the stock from a buy rating to a hold rating, with the stock trading around $38.18.
• Multiple analysts have revised their price targets for Enphase Energy, with Glj Research lowering its target from $31.11 to $19.80, while Oppenheimer reduced their target from $86.00 to $77.00.
• Despite setbacks, CEO Badrinarayanan Kothandaraman purchased 5,000 shares at an average price of $30.82, increasing his position in the company.

Enphase Energy, Inc. (NASDAQ:ENPH - Get Free Report) shares were down 5.7% during trading on Tuesday after Wall Street Zen downgraded the stock from a buy rating to a hold rating. The stock traded as low as $38.33 and last traded at $38.18. Approximately 4,467,466 shares were traded during mid-day trading, a decline of 35% from the average daily volume of 6,870,694 shares. The stock had previously closed at $40.50.

A number of other analysts have also recently issued reports on the company. Glj Research decreased their target price on Enphase Energy from $31.11 to $19.80 and set a "sell" rating for the company in a research report on Tuesday, July 22nd. Oppenheimer reduced their price target on shares of Enphase Energy from $86.00 to $77.00 and set an "outperform" rating for the company in a report on Wednesday, July 23rd. Mizuho reduced their price objective on shares of Enphase Energy from $53.00 to $50.00 and set an "outperform" rating for the company in a research note on Monday, July 14th. JPMorgan Chase & Co. boosted their price objective on Enphase Energy from $37.00 to $39.00 and gave the company a "neutral" rating in a research report on Friday. Finally, Citigroup decreased their price target on Enphase Energy from $47.00 to $43.00 and set a "sell" rating on the stock in a report on Thursday, June 5th. Ten analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and twelve have issued a Sell rating to the stock. According to data from MarketBeat, Enphase Energy presently has a consensus rating of "Reduce" and an average target price of $55.66.

Insiders Place Their Bets

In related news, CEO Badrinarayanan Kothandaraman purchased 5,000 shares of the business's stock in a transaction dated Wednesday, August 6th. The shares were acquired at an average cost of $30.82 per share, for a total transaction of $154,100.00. Following the acquisition, the chief executive officer owned 1,620,632 shares of the company's stock, valued at $49,947,878.24. The trade was a 0.31% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 3.10% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Enphase Energy

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Woodline Partners LP acquired a new position in Enphase Energy in the 4th quarter valued at about $557,000. Teacher Retirement System of Texas acquired a new stake in shares of Enphase Energy during the first quarter valued at about $1,609,000. Maxi Investments CY Ltd lifted its holdings in Enphase Energy by 650.0% in the first quarter. Maxi Investments CY Ltd now owns 52,500 shares of the semiconductor company's stock worth $3,258,000 after acquiring an additional 45,500 shares during the last quarter. QRG Capital Management Inc. bought a new stake in shares of Enphase Energy during the first quarter valued at approximately $512,000. Finally, Bouvel Investment Partners LLC bought a new position in shares of Enphase Energy in the first quarter valued at $847,000. Institutional investors and hedge funds own 72.12% of the company's stock.

Enphase Energy Stock Performance

The firm's 50-day simple moving average is $36.35 and its two-hundred day simple moving average is $44.14. The company has a current ratio of 1.97, a quick ratio of 1.82 and a debt-to-equity ratio of 0.65. The stock has a market capitalization of $4.99 billion, a PE ratio of 29.84 and a beta of 1.52.

Enphase Energy (NASDAQ:ENPH - Get Free Report) last issued its quarterly earnings data on Tuesday, July 22nd. The semiconductor company reported $0.69 earnings per share for the quarter, topping the consensus estimate of $0.62 by $0.07. Enphase Energy had a net margin of 11.78% and a return on equity of 24.55%. The firm had revenue of $363.15 million for the quarter, compared to analysts' expectations of $359.14 million. During the same period in the prior year, the firm earned $0.43 earnings per share. The company's quarterly revenue was up 19.7% compared to the same quarter last year. Enphase Energy has set its Q3 2025 guidance at EPS. On average, equities research analysts expect that Enphase Energy, Inc. will post 2.08 earnings per share for the current fiscal year.

Enphase Energy Company Profile

Enphase Energy, Inc, together with its subsidiaries, designs, develops, manufactures, and sells home energy solutions for the solar photovoltaic industry in the United States and internationally. The company offers semiconductor-based microinverter, which converts energy at the individual solar module level and combines with its proprietary networking and software technologies to provide energy monitoring and control.

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