SolarEdge Technologies (NASDAQ:SEDG) Shares Climb 7.2% - Here's Why

Key Points

• SolarEdge shares jumped 7.2% to about $33.08 despite a broader market decline, although the article identified no specific company catalyst and trading volume was well below average.
• Profitability expectations weakened: Northland Securities lowered its EPS forecasts for nearly every projected period, while Pomerantz LLP announced an investigation into potential investor claims.
• Analyst sentiment remains cautious, with an average “Reduce” rating and a $39.20 price target; SolarEdge’s latest quarter beat EPS and revenue estimates, but the company still reported a negative net margin and return on equity.

SolarEdge Technologies, Inc. (NASDAQ:SEDG - Get Free Report)'s share price rose 7.2% during trading on Friday. The stock traded as high as $33.25 and last traded at $33.0840. 806,697 shares were traded during mid-day trading, a decline of 76% from the average session volume of 3,421,731 shares. The stock had previously closed at $30.87.

Key SolarEdge Technologies News

Here are the key news stories impacting SolarEdge Technologies this week:

• Neutral Sentiment: SolarEdge shares closed higher during the latest reported session even as the broader market declined, indicating relative strength and possible short-term investor interest. However, the reports did not identify a specific company catalyst behind the move. SolarEdge Technologies increases despite market weakness
• Negative Sentiment: Northland Securities lowered its SolarEdge earnings forecasts across nearly every reported period. Its estimates were reduced to a loss of $1.58 per share for fiscal 2026 from $1.44, and to a loss of $1.14 per share for fiscal 2027 from $0.72. Quarterly estimates were also cut, including a projected loss of $0.34 per share for the fourth quarter of 2026 and $0.50 for the first quarter of 2027. These revisions suggest weaker-than-expected profitability and could weigh on the stock. Northland Securities earnings estimate revisions
• Negative Sentiment: Pomerantz LLP announced an investigation into potential claims on behalf of SolarEdge investors. Although the announcement does not establish wrongdoing, investor investigations can increase legal and reputational uncertainty and add pressure to the shares. Pomerantz investor investigation announcement

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on SEDG. Mizuho lifted their price objective on shares of SolarEdge Technologies from $38.00 to $40.00 and gave the stock a "neutral" rating in a research note on Friday, September 11th. Susquehanna reduced their target price on shares of SolarEdge Technologies from $56.00 to $38.00 and set a "neutral" rating for the company in a report on Thursday, August 6th. UBS Group upgraded shares of SolarEdge Technologies from a "neutral" rating to a "buy" rating and lifted their price target for the stock from $36.00 to $42.00 in a research report on Wednesday, August 26th. Barclays dropped their price target on SolarEdge Technologies from $53.00 to $37.00 and set an "equal weight" rating on the stock in a report on Thursday, August 6th. Finally, TD Cowen cut their price objective on SolarEdge Technologies from $85.00 to $75.00 and set a "buy" rating for the company in a research report on Monday, July 20th. Two analysts have rated the stock with a Buy rating, eleven have given a Hold rating and five have assigned a Sell rating to the company's stock. According to MarketBeat.com, the stock has an average rating of "Reduce" and an average price target of $39.20.

SolarEdge Technologies Price Performance

The stock's fifty day moving average price is $34.61 and its 200-day moving average price is $45.97. The company has a debt-to-equity ratio of 0.85, a current ratio of 2.03 and a quick ratio of 1.38. The firm has a market cap of $2.02 billion, a price-to-earnings ratio of -7.30 and a beta of 1.44.

SolarEdge Technologies (NASDAQ:SEDG - Get Free Report) last posted its quarterly earnings data on Wednesday, August 5th. The semiconductor company reported $0.05 EPS for the quarter, topping analysts' consensus estimates of ($0.02) by $0.07. SolarEdge Technologies had a negative net margin of 20.29% and a negative return on equity of 29.17%. The firm had revenue of $346.20 million during the quarter, compared to analyst estimates of $341.15 million. During the same quarter last year, the business posted ($0.81) EPS. The company's revenue was up 19.6% on a year-over-year basis. Equities research analysts predict that SolarEdge Technologies, Inc. will post -1.25 EPS for the current fiscal year.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the business. Clal Insurance Enterprises Holdings Ltd purchased a new position in shares of SolarEdge Technologies during the 2nd quarter valued at $55,514,000. Bank of America Corp DE boosted its position in SolarEdge Technologies by 218.6% during the first quarter. Bank of America Corp DE now owns 404,297 shares of the semiconductor company's stock valued at $20,639,000 after purchasing an additional 277,385 shares during the last quarter. ING Groep NV purchased a new position in SolarEdge Technologies in the fourth quarter valued at about $13,848,000. Legal & General Group Plc purchased a new position in SolarEdge Technologies in the second quarter valued at about $76,095,000. Finally, Handelsbanken Fonder AB increased its position in SolarEdge Technologies by 16.6% in the 2nd quarter. Handelsbanken Fonder AB now owns 1,230,401 shares of the semiconductor company's stock worth $71,905,000 after purchasing an additional 175,281 shares during the last quarter. 95.10% of the stock is owned by institutional investors and hedge funds.

SolarEdge Technologies Company Profile

SolarEdge Technologies, Inc NASDAQ: SEDG develops technologies for generating, storing and managing solar energy. The company is best known for its power optimizer and inverter architecture, which is designed to improve energy harvesting from photovoltaic panels and provide monitoring and control at the module level.

Its product portfolio includes power optimizers, residential and commercial inverters, battery-storage systems, backup-power solutions, electric-vehicle charging equipment and energy-management software.

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