Enphase Energy (ENPH - Free Report) closed at $65.10 in the latest trading session, marking a -1.51% move from the prior day. This change lagged the S&P 500's daily gain of 0.05%. Elsewhere, the Dow gained 0.48%, while the tech-heavy Nasdaq lost 0.61%.
Coming into today, shares of the solar technology company had lost 11.73% in the past month. In that same time, the Oils-Energy sector lost 10.11%, while the S&P 500 lost 0.52%.
ENPH will be looking to display strength as it nears its next earnings release. In that report, analysts expect ENPH to post earnings of $0.24 per share. This would mark a year-over-year decline of 20%. Our most recent consensus estimate is calling for quarterly revenue of $170.12 million, down 5.52% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.16 per share and revenue of $738.80 million, which would represent changes of +22.11% and +18.33%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for ENPH. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection 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 57.06. Its industry sports an average Forward P/E of 39.5, so we one might conclude that ENPH is trading at a premium comparatively.
The Solar industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 109, which puts it in the top 43% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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.