Enphase Energy (ENPH) closed at $55.80 in the latest trading session, marking a +1.58% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.56%. At the same time, the Dow lost 1.39%, and the tech-heavy Nasdaq gained 0.53%.
Prior to today's trading, shares of the solar technology company had gained 11.31% over the past month. This has outpaced the Oils-Energy sector's loss of 16.04% and the S&P 500's loss of 1.79% in that time.
ENPH will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.14, down 22.22% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $124.37 million, down 7.25% from the year-ago period.
ENPH's full-year Zacks Consensus Estimates are calling for earnings of $1.03 per share and revenue of $705.19 million. These results would represent year-over-year changes of +8.42% and +12.95%, respectively.
It is also important to note the recent changes to analyst estimates for ENPH. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. ENPH is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, ENPH currently has a Forward P/E ratio of 53.42. This represents a premium compared to its industry's average Forward P/E of 31.44.
The Solar industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 48, putting it in the top 19% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Enphase Energy, Inc. (ENPH) : Free Stock Analysis Report
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