Weiss Ratings Reiterates Sell (E+) Rating for Enovix (NASDAQ:ENVX)

Key Points

• Weiss Ratings has reaffirmed a Sell (E+) rating for Enovix (NASDAQ:ENVX), amidst a mix of other ratings from research analysts including five Buy ratings and a consensus rating of "Hold".
• The company reported a 98.2% increase in quarterly revenue year-on-year, with earnings per share of -$0.13, beating expectations of -$0.15.
• Enovix's board has initiated a $60 million stock repurchase plan, indicating potential confidence in its stock valuation.

Enovix (NASDAQ:ENVX - Get Free Report)'s stock had its "sell (e+)" rating reaffirmed by stock analysts at Weiss Ratings in a research note issued to investors on Wednesday,Weiss Ratings reports.

A number of other equities research analysts also recently issued reports on the company. JPMorgan Chase & Co. reissued a "neutral" rating and set a $12.00 price target (up previously from $9.00) on shares of Enovix in a research report on Thursday, July 24th. Cowen reaffirmed a "hold" rating on shares of Enovix in a report on Tuesday, July 8th. Craig Hallum reaffirmed a "buy" rating and issued a $15.00 target price (up previously from $12.00) on shares of Enovix in a report on Tuesday, July 8th. Canaccord Genuity Group raised their target price on Enovix from $20.00 to $22.00 and gave the company a "buy" rating in a report on Monday, August 4th. Finally, TD Cowen raised Enovix to a "hold" rating and raised their target price for the company from $7.00 to $15.00 in a report on Monday, July 7th. Five research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average target price of $17.00.

Enovix Trading Up 1.9%

Shares of NASDAQ:ENVX opened at $12.66 on Wednesday. The company has a market capitalization of $2.49 billion, a P/E ratio of -15.07 and a beta of 2.07. Enovix has a 1 year low of $5.27 and a 1 year high of $16.49. The company has a debt-to-equity ratio of 0.82, a current ratio of 4.37 and a quick ratio of 4.11. The business's 50 day simple moving average is $10.33 and its 200 day simple moving average is $9.42.

Enovix (NASDAQ:ENVX - Get Free Report) last issued its quarterly earnings results on Thursday, July 31st. The company reported ($0.13) earnings per share (EPS) for the quarter, topping analysts' consensus estimates of ($0.15) by $0.02. The business had revenue of $7.50 million for the quarter, compared to the consensus estimate of $5.48 million. Enovix had a negative return on equity of 73.88% and a negative net margin of 481.35%.The firm's quarterly revenue was up 98.2% compared to the same quarter last year. During the same quarter in the prior year, the business posted ($0.14) earnings per share. Enovix has set its Q3 2025 guidance at -0.180--0.140 EPS. On average, research analysts anticipate that Enovix will post -1.01 EPS for the current fiscal year.

Enovix announced that its board has initiated a stock repurchase plan on Wednesday, July 2nd that authorizes the company to repurchase $60.00 million in outstanding shares. This repurchase authorization authorizes the company to purchase up to 3.1% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company's board of directors believes its stock is undervalued.

Insider Activity at Enovix

In related news, COO Ajay Marathe sold 120,000 shares of the stock in a transaction dated Thursday, October 2nd. The shares were sold at an average price of $12.01, for a total value of $1,441,200.00. Following the completion of the transaction, the chief operating officer owned 1,027,259 shares in the company, valued at $12,337,380.59. This represents a 10.46% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Corporate insiders own 14.10% of the company's stock.

Hedge Funds Weigh In On Enovix

Hedge funds have recently added to or reduced their stakes in the company. Electron Capital Partners LLC lifted its holdings in shares of Enovix by 5.3% during the 2nd quarter. Electron Capital Partners LLC now owns 7,066,293 shares of the company's stock valued at $73,065,000 after purchasing an additional 353,530 shares in the last quarter. Geode Capital Management LLC grew its holdings in Enovix by 1.4% in the 2nd quarter. Geode Capital Management LLC now owns 3,976,433 shares of the company's stock valued at $41,122,000 after buying an additional 55,506 shares in the last quarter. Driehaus Capital Management LLC grew its holdings in shares of Enovix by 1.8% during the 1st quarter. Driehaus Capital Management LLC now owns 2,323,612 shares of the company's stock worth $17,055,000 after purchasing an additional 41,559 shares in the last quarter. Fred Alger Management LLC grew its holdings in shares of Enovix by 21.5% during the 1st quarter. Fred Alger Management LLC now owns 2,233,446 shares of the company's stock worth $16,393,000 after purchasing an additional 394,532 shares in the last quarter. Finally, CenterBook Partners LP lifted its position in shares of Enovix by 71.0% during the 1st quarter. CenterBook Partners LP now owns 1,736,570 shares of the company's stock worth $12,746,000 after buying an additional 721,309 shares during the last quarter. Institutional investors and hedge funds own 50.92% of the company's stock.

About Enovix

Enovix Corporation designs develops and manufactures silicon-anode lithium-ion batteries. It serves wearables and IoT, smartphone, laptops and tablets, industrial and medical, and electric vehicles industries. The company was founded in 2007 and is headquartered in Fremont, California.

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