Shoals Technologies Group (NASDAQ:SHLS) Shares Down 6.2% - Here's What Happened

Key Points

• Shoals Technologies Group's shares decreased by 6.2%, trading at about $6.70, significantly below its previous close of $7.14.
• Analysts have set varied price targets, with Guggenheim raising their target to $8.00 while BNP Paribas lowered theirs to $4.00, resulting in a consensus target price of $9.24 for the stock.
• The company reported $110.84 million in revenue for the last quarter, exceeding analyst expectations, and has a current ratio of 2.34 indicating good short-term financial health.

Shares of Shoals Technologies Group, Inc. (NASDAQ:SHLS - Get Free Report) dropped 6.2% on Tuesday . The company traded as low as $6.68 and last traded at $6.70. Approximately 2,144,369 shares changed hands during trading, a decline of 66% from the average daily volume of 6,325,067 shares. The stock had previously closed at $7.14.

Analyst Ratings Changes

SHLS has been the topic of a number of recent research reports. Wall Street Zen cut shares of Shoals Technologies Group from a "strong-buy" rating to a "buy" rating in a research report on Sunday, August 17th. UBS Group reduced their price target on shares of Shoals Technologies Group from $7.50 to $7.00 and set a "buy" rating on the stock in a research report on Wednesday, August 6th. The Goldman Sachs Group lifted their price target on shares of Shoals Technologies Group from $7.00 to $8.00 and gave the company a "buy" rating in a research report on Thursday. Roth Capital raised shares of Shoals Technologies Group from a "neutral" rating to a "buy" rating and set a $10.00 price target on the stock in a research report on Thursday, August 7th. Finally, Mizuho cut shares of Shoals Technologies Group from an "outperform" rating to a "neutral" rating and set a $7.00 price target on the stock. in a research report on Monday, July 14th. Fourteen analysts have rated the stock with a Buy rating, six have assigned a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $9.33.

Shoals Technologies Group Price Performance

The company has a market cap of $1.15 billion, a PE ratio of 52.93, a price-to-earnings-growth ratio of 0.85 and a beta of 1.63. The business's 50 day moving average price is $5.89 and its 200-day moving average price is $4.72. The company has a quick ratio of 1.64, a current ratio of 2.34 and a debt-to-equity ratio of 0.23.

Shoals Technologies Group (NASDAQ:SHLS - Get Free Report) last posted its quarterly earnings data on Tuesday, August 5th. The company reported $0.10 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.08 by $0.02. The company had revenue of $110.84 million for the quarter, compared to analyst estimates of $104.87 million. Shoals Technologies Group had a net margin of 5.27% and a return on equity of 7.57%. The business's quarterly revenue was up 11.7% on a year-over-year basis. During the same quarter last year, the firm posted $0.10 earnings per share. Shoals Technologies Group has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. As a group, analysts forecast that Shoals Technologies Group, Inc. will post 0.29 earnings per share for the current year.

Institutional Trading of Shoals Technologies Group

A number of hedge funds and other institutional investors have recently made changes to their positions in SHLS. Encompass Capital Advisors LLC bought a new stake in shares of Shoals Technologies Group in the second quarter worth $56,120,000. Wellington Management Group LLP increased its stake in shares of Shoals Technologies Group by 51.9% in the first quarter. Wellington Management Group LLP now owns 21,615,890 shares of the company's stock worth $71,765,000 after buying an additional 7,382,548 shares during the last quarter. CenterBook Partners LP bought a new stake in shares of Shoals Technologies Group in the first quarter worth $12,489,000. Peconic Partners LLC increased its stake in shares of Shoals Technologies Group by 79.8% in the second quarter. Peconic Partners LLC now owns 6,975,186 shares of the company's stock worth $29,645,000 after buying an additional 3,095,186 shares during the last quarter. Finally, T. Rowe Price Investment Management Inc. bought a new stake in shares of Shoals Technologies Group in the first quarter worth $7,712,000.

About Shoals Technologies Group

Shoals Technologies Group, Inc provides electrical balance of system (EBOS) solutions and components for solar, battery energy, and electric vehicle (EV) charging applications in the United States and internationally. The company designs, manufactures, and sells system solutions for both homerun and combine-as-you-go wiring architectures, as well as offers technical support services.