In the latest trading session, Enphase Energy (ENPH - Free Report) closed at $59.14, marking a +0.03% move from the previous day. This move outpaced the S&P 500's daily loss of 0.38%. Meanwhile, the Dow lost 0.85%, and the Nasdaq, a tech-heavy index, added 0.43%.
Coming into today, shares of the solar technology company had gained 20.5% in the past month. In that same time, the Oils-Energy sector gained 3.76%, while the S&P 500 gained 6.78%.
ENPH will be looking to display strength as it nears its next earnings release, which is expected to be August 4, 2020. On that day, ENPH is projected to report earnings of $0.14 per share, which would represent a year-over-year decline of 22.22%. Meanwhile, our latest consensus estimate is calling for revenue of $124.37 million, down 7.25% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.03 per share and revenue of $704.83 million. These totals would mark changes of +8.42% and +12.89%, respectively, from last year.
Investors should also note any 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.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
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 has moved 2.99% higher. ENPH is currently sporting a Zacks Rank of #2 (Buy).
Looking at its valuation, ENPH is holding a Forward P/E ratio of 57.68. This represents a premium compared to its industry's average Forward P/E of 34.82.
The Solar industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 118, putting it in the top 47% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.