Nextracker’s Solar Surge: Will It Shatter Its All-Time High?

Key Points

• Nextracker's beat-and-raise quarter has it on track to set new all-time high stock prices in 2025.
• Analysts are lifting targets and leading this market into a larger movement.
• Expanding business may lead to a sustained uptrend and a 50% upside from mid-May highs.

Headwinds and hurdles aside, Nextracker’s NASDAQ: NXT stock price’s next move is a push to new highs. The company’s product is in demand, demand drives business, and business is good. The critical detail from the FQ4 report is the acquisition of Bentek.

Bentek expands Nextrackers' offerings into the eBOS (electrical balance of systems) markets, which include the balance of equipment and components required to install and operate Nextrackers’ sun-tracking solar panel platforms.

Bentek will continue offering a standalone product to the energy industry but shift gears into specialized packages optimized for Nextracker platforms. The benefit to the business and investors is that Nextracker has made buying and deploying its systems easier, and it is already leading the industry. 

Nextracker Rises After Beat-and-Raise Report: Forecasts Acceleration in 2026

Nextracker had a solid quarter and is guiding for strength in Q1 F2026. The company’s $924 million in revenue is up 25.4% compared to last year and outpaced the consensus estimate by 1100 basis points. The strength was driven by new products, including the Hail-Pro line, which protects solar panels by tilting them during hail events. Other significant details include the record-setting result, another quarterly increase in backlog, the backlog of more than $4.5 billion, and exceeding the booking guidance. 

Margin is also critical; this solar company is profitable and has widened its margins in F2025, and it drives significant free cash flow. The adjusted earnings are up about 35% year-over-year (YOY), about 1100 bps hotter than the revenue growth, and 3000 bps better than MarketBeat’s reported consensus with free cash flow of $622 million for the year, about 20% of the full-year revenue.

The guidance for F2025 is equally bright, with revenue expected to grow about 30% YOY and margins to remain resilient. Although there is some risk of tariff impacts, the company can produce 100% domestic product and is working to ramp it up. 

Nextracker's balance sheet is among the reasons why this is a best-in-class solar stock. The company’s cash flow allowed it to pay off its minimal debt and end the year debt-free. Other year-end details include a significant increase in cash, current and total assets, and equity. Equity rose by 65% in 2025 and will likely continue to increase over time. The acquisition of Bentech will impact upcoming quarters, but the negatives will be minimal and short-lived. 

Analysts Respond Favorably: Nextracker Indicated to Hit New Highs in 2025

The analyst response was mixed, including a single downgrade from Fox Advisors. They downgraded the stock from Overweight to Equal Weight, but the move is offset by the remainder of the activity tracked by MarketBeat. Of 23 analysts, the consensus remains a Moderate Buy, with all raising their price targets, most clustering in the $60–$65 range.

Although the $60 aligns with the mid-May highs and potential resistance at the existing all-time highs, the high-end has an 8% upside sufficient to set a new high. The market can continue to rally in that scenario and may rise as much as $30, an amount equal to the magnitude of the 2024/2025 trading range.

Risks to the NXT share price outlook include dilution and short selling. However, the dilution in F2025 was minimal and only increased the count by 1.3%. That is expected again in 2026 due to share-based compensation.

Short interest is more of a concern at 6%; however, it is mitigated by factors including a downtrend in short interest and an uptrend in institutional buying. Short interest has trended steadily lower since early 2024, and institutional buying has been increasing. The institutions own about 67% of the stock and strongly support price action in 2025.