Solar Provider Azure Power is set to report fiscal Q1 results on Friday after the closing bell. Azure, a Zacks Rank #3 (Hold), has witnessed a sharp rally in September after seeing its shares fall more than 60% this year. With earnings on deck and recent strength in the solar space, is AZRE a buy?

Analysts are expecting the company to post a profit of $0.22/share, reflecting growth of 15.79% versus the same quarter last year. AZRE has averaged a 0.5% average positive earnings surprise over the past four quarters.

AZRE is part of the Zacks Solar industry, which ranks in the top 38% out of approximately 250 industry groups. Shares of AZRE have rallied more than 87% from the low in early September after becoming oversold. The stock is undervalued at a 10.18 forward P/E relative to its industry group. Recent strength in the solar space could help push the stock higher.