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Why Enphase Energy (ENPH) Dipped More Than Broader Market Today

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Enphase Energy (ENPH - Free Report) closed the most recent trading day at $41.86, moving -2.59% from the previous trading session. The stock's change was less than the S&P 500's daily loss of 0.33%. Meanwhile, the Dow experienced a drop of 0.63%, and the technology-dominated Nasdaq saw a decrease of 0.22%.

Coming into today, shares of the solar technology company had lost 3.86% in the past month. In that same time, the Oils-Energy sector gained 4.04%, while the S&P 500 gained 4.07%.

Analysts and investors alike will be keeping a close eye on the performance of Enphase Energy in its upcoming earnings disclosure. The company's earnings report is set to go public on July 22, 2025. In that report, analysts expect Enphase Energy to post earnings of $0.62 per share. This would mark year-over-year growth of 44.19%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $356.33 million, up 17.42% from the year-ago period.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.46 per share and a revenue of $1.43 billion, representing changes of +3.8% and +7.57%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for Enphase Energy. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

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. Over the last 30 days, the Zacks Consensus EPS estimate has moved 1.21% higher. Currently, Enphase Energy is carrying a Zacks Rank of #3 (Hold).

With respect to valuation, Enphase Energy is currently being traded at a Forward P/E ratio of 17.47. This indicates a premium in contrast to its industry's Forward P/E of 16.34.

The Solar industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 67, putting it in the top 28% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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