SolarEdge Technologies (NASDAQ:SEDG) Sets New 1-Year Low - Here's What Happened

Key Points

• SolarEdge shares fell 5.9% to a new 52-week low of $25.05, well below their 50-day and 200-day moving averages.
• Analyst sentiment is cautious: MarketBeat reports an average “Reduce” rating, with 11 Hold and 5 Sell ratings; Citigroup cut its target to $24 and rated the stock Sell.
• The latest quarterly EPS of $0.29 beat estimates, but revenue of $325.4 million slightly missed forecasts and declined 4.2% year over year; the company also posted negative net margin and return on equity.

SolarEdge Technologies, Inc. (NASDAQ:SEDG - Get Free Report)'s stock price hit a new 52-week low on Thursday. The company traded as low as $25.05 and last traded at $25.2710, with a volume of 262,396 shares traded. The stock had previously closed at $26.67.

Analyst Ratings Changes

A number of brokerages recently issued reports on SEDG. Mizuho increased their target price on SolarEdge Technologies from $38.00 to $40.00 and gave the stock a "neutral" rating in a report on Friday, September 11th. Citigroup decreased their price target on shares of SolarEdge Technologies from $30.00 to $24.00 and set a "sell" rating for the company in a research note on Thursday, November 5th. BMO Capital Markets lowered their price objective on shares of SolarEdge Technologies from $31.00 to $28.00 and set an "underperform" rating on the stock in a report on Wednesday, October 21st. Susquehanna dropped their price objective on shares of SolarEdge Technologies from $32.00 to $31.00 and set a "neutral" rating on the stock in a research note on Thursday, November 5th. Finally, Wall Street Zen cut shares of SolarEdge Technologies from a "hold" rating to a "sell" rating in a report on Monday. Two research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and five have issued a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of "Reduce" and an average target price of $36.93.

SolarEdge Technologies Trading Down 5.9%

The company has a debt-to-equity ratio of 0.83, a quick ratio of 1.40 and a current ratio of 2.12. The firm has a 50 day simple moving average of $32.34 and a two-hundred day simple moving average of $42.01. The firm has a market capitalization of $1.55 billion, a P/E ratio of -6.57 and a beta of 1.31.

SolarEdge Technologies (NASDAQ:SEDG - Get Free Report) last posted its earnings results on Wednesday, November 4th. The semiconductor company reported $0.29 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.04 by $0.25. The firm had revenue of $325.40 million during the quarter, compared to analyst estimates of $326.78 million. SolarEdge Technologies had a negative net margin of 17.34% and a negative return on equity of 19.80%. The business's revenue was down 4.2% compared to the same quarter last year. During the same quarter in the prior year, the business posted ($0.31) EPS. Equities research analysts forecast that SolarEdge Technologies, Inc. will post -1.21 earnings per share for the current year.

Institutional Investors Weigh In On SolarEdge Technologies

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Migdal Insurance & Financial Holdings Ltd. lifted its position in shares of SolarEdge Technologies by 59.2% during the 3rd quarter. Migdal Insurance & Financial Holdings Ltd. now owns 2,693,340 shares of the semiconductor company's stock worth $85,836,000 after buying an additional 1,002,000 shares in the last quarter. State Street Corp grew its holdings in shares of SolarEdge Technologies by 0.7% in the second quarter. State Street Corp now owns 1,761,901 shares of the semiconductor company's stock valued at $102,965,000 after acquiring an additional 12,188 shares in the last quarter. Legal & General Group Plc bought a new position in shares of SolarEdge Technologies in the second quarter valued at approximately $76,095,000. Handelsbanken Fonder AB grew its holdings in shares of SolarEdge Technologies by 16.6% in the second quarter. Handelsbanken Fonder AB now owns 1,230,401 shares of the semiconductor company's stock valued at $71,905,000 after acquiring an additional 175,281 shares in the last quarter. Finally, Clal Insurance Enterprises Holdings Ltd purchased a new stake in shares of SolarEdge Technologies during the second quarter valued at approximately $55,514,000. Hedge funds and other institutional investors own 95.10% of the company's stock.

SolarEdge Technologies Company Profile

SolarEdge Technologies develops smart energy technologies for residential, commercial and utility-scale applications. Founded in 2006, the company is known for its DC-optimized inverter system, which combines power optimizers with inverters to help manage solar energy production at the panel level. Its product portfolio includes solar inverters and power optimizers, energy storage systems, monitoring and energy-management software, electric-vehicle charging equipment and related services. These offerings are designed to support the generation, storage and use of electricity from solar and other energy sources.

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