Enphase Energy (ENPH) ended the recent trading session at $44.82, demonstrating a -1.03% change from the preceding day's closing price. This move lagged the S&P 500's daily gain of 0.38%. Elsewhere, the Dow saw an upswing of 0.24%, while the tech-heavy Nasdaq appreciated by 0.24%.
The solar technology company's stock has dropped by 6.19% in the past month, falling short of the Oils-Energy sector's gain of 6.38% and the S&P 500's gain of 6.6%.
The investment community will be closely monitoring the performance of Enphase Energy in its forthcoming earnings report. On that day, Enphase Energy is projected to report earnings of $0.62 per share, which would represent year-over-year growth of 44.19%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $355.7 million, up 17.21% from the year-ago period.
ENPH's full-year Zacks Consensus Estimates are calling for earnings of $2.41 per share and revenue of $1.43 billion. These results would represent year-over-year changes of +1.69% and +7.24%, respectively.
Any recent changes to analyst estimates for Enphase Energy should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 3.31% decrease. Enphase Energy is currently sporting a Zacks Rank of #5 (Strong Sell).
In the context of valuation, Enphase Energy is at present trading with a Forward P/E ratio of 18.77. This valuation marks a premium compared to its industry average Forward P/E of 15.56.
The Solar industry is part of the Oils-Energy sector. This industry, currently bearing a Zacks Industry Rank of 179, finds itself in the bottom 28% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Enphase Energy, Inc. (ENPH): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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