Enphase Energy, Inc. (NASDAQ:ENPH) stock is up during premarket trading on Wednesday following the company’s recent financial results announcement. The stock’s rise comes as the company reported strong quarterly revenue, which has boosted market sentiment.
ENPH Q4 Revenue Hits $343.3M; Margins at 46.1%
Enphase Energy concluded the 2025 fiscal year with a robust fourth-quarter performance that consistently outpaced market expectations.
The company reported sales of $343.321 million, narrowly beating the $340.594 million estimate, and achieved an adjusted EPS of 71 cents, which was above the 58 cents analyst projection.
These results were supported by a solid non-GAAP gross margin of 46.1% and a GAAP net income of $38.7 million. On the operational front, Enphase demonstrated significant scale by shipping ~1.55 million microinverters and 150.1 megawatt hours of IQ Batteries during the period.
Looking ahead, the company issued optimistic guidance, suggesting continued momentum. Enphase projects Q1 sales between $270 million and $300 million, a range that sits comfortably above the $262.204 million consensus estimate.
This growth is underpinned by an expanding market footprint, including the approval of its IQ Meter Collar by 52 U.S. utilities, which extends its reach to approximately 30 million customer accounts.
The company exited the fourth quarter of 2025 with $1.51 billion in cash, cash equivalents and marketable securities and generated $47.6 million in cash flow from operations.
Enphase Energy forecast first-quarter revenue of $270 million to $300 million, topping Wall Street's estimate of $262.2 million.
The broader market rose on the previous trading day, with the Nasdaq rising 0.02% and the S&P 500 closing up 0.10%. Enphase’s stock performance aligns with this positive trend, suggesting that broader market conditions may support its upward movement.
ENPH Surges Above 20-Day and 100-Day SMAs
The stock is currently trading 0.91% above its 20-day simple moving average (SMA) and 35.4% above its 100-day SMA, demonstrating strong short-term momentum. Over the past 12 months, shares have decreased by 43.73% and are currently positioned closer to their 52-week highs than lows.
The RSI is at 55.25, which is considered neutral territory, while MACD is below its signal line, indicating bearish pressure on the stock. The combination of neutral RSI and bearish MACD suggests mixed momentum.
- Key Resistance: $47.00
- Key Support: $43.00
ENPH Awaits Next Earnings: Analysts’ Eyes on April 21
Investors are looking ahead to the next earnings report on April 21, 2026.
- EPS Estimate: 43 cents (Down from 68 cents YoY)
- Revenue Estimate: $337.90 million (Down from $356.10 million YoY)
- Valuation: P/E of 25.5x (Indicates premium valuation)
Analyst Consensus & Recent Actions:
The stock carries a Hold Rating with an average price target of $40.80. Recent analyst moves include:
- BMO Capital: Upgraded to Market Perform (Raises Target to $41.00) (Feb. 4)
- Citigroup: Upgraded to Neutral (Raises Target to $37.00) (Jan. 22)
- Goldman Sachs: Upgraded to Buy (Raises Target to $45.00) (Jan. 20)
Valuation Insight: While the stock trades at a premium P/E multiple, the consensus and rising estimates suggest analysts view the growth prospects as justification for the current valuation.
ENPH Scores Mixed on Benzinga Edge
Below is the Benzinga Edge scorecard for Enphase Energy, highlighting its strengths and weaknesses compared to the broader market:
- Value Rank: 58.84 — The stock is trading at a moderate valuation relative to peers.
- Quality Rank: 54.25 — The balance sheet remains healthy.
- Momentum Rank: 14.22 — The stock is underperforming the broader market.
The Verdict: Enphase Energy’s Benzinga Edge signal reveals a mixed outlook. While the Value and Quality ranks indicate some stability, the low Momentum score suggests the stock is struggling to keep pace with market trends.
ENPH’s Impact on Key ETFs
- Pacer S&P SmallCap 600 Quality FCF Aristocrats ETF (NASDAQ:SCOW): 2.71% Weight
- Invesco Solar ETF (NYSE:TAN): 6.02% Weight
- State Street SPDR S&P Kensho Clean Power ETF (NYSE:CNRG): 2.82% Weight
Significance: Because ENPH carries significant weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock.
ENPH Price Action: Enphase Energy shares were up 24.70% at $46.49 during premarket trading on Wednesday, according to Benzinga Pro data.
Photo by T. Schneider via Shutterstock
