Enphase Energy, Inc. (ENPH - Free Report) recently announced a deal involving the inclusion of Werner Electric to its solar distribution network. Werner Electric offers premier electrical products and services in the states
of Minnesota, Wisconsin, Iowa, North Dakota and South Dakota. Per the latest deal, Werner Electric will now distribute the entire range of Enphase products, including the existing portfolio of its IQ products.
A Brief Note on Enphase’s Microinverter System
The Enphase IQ Microinverter System helps in simplifying solar installations and provides a complete alternating current (AC) solution that uses no high-voltage direct current (DC), providing a safe solar solution for homeowners. Its burst technology enables microinverters to produce more solar energy at low-light conditions. Moreover, its Home Energy Solution with IQ allows energy monitoring and insights from the Enphase Enlighten software platform's easy-to-use interface.
Enphase Energy already enjoys a strong distribution network in the U.S. Solar market. The company has been successfully employing a robust distribution networking system across the United States, Canada and Netherlands. A few of its partners that are handling the distribution of solar power in these nations are AEE Solar, Cooper Electric Supply Company, Crescent Electric Supply Company, Civic Solar, Wesco, Sentinel Solar and Rexel.
Inevitably, adding a tier-one regional solar supplier like Werner Electric as one of its distribution partners in the country will help the company achieve its target of expanding distribution operations and becoming a more service-oriented supplier.
The U.S. Solar Market has added 2.5 gigawatt (GW) of photovoltaic in the first quarter of 2018, which has grown13% year-over-year. As per a report by SEIA, the solar market is estimated to grow more robustly in 2019 and then accelerating further in the early 2020s. Also, data from GTM Research shows that 18 U.S. states will install 1 GW or more of photovoltaic between 2018 and 2022.
No doubt, such growth projections offer attractive opportunities for solar modules and equipment providers like Enphase Energy to expand distribution network across the U.S. solar market. Such enhanced distribution network will help the company in marketing solar products more efficiently, thereby boosting its sales growth.
Enphase Energy’s stock massively rallied about 757.4% in a year compared with the industry ’s growth of 29.7%. The outperformance may have been led by the robust balance sheet maintained by the company.
Zacks Rank & Key Picks
Enphase Energy currently carries a Zacks Rank #2 (Buy). A few other top-ranked stocks in the same space are SolarEdge Technologies (SEDG - Free Report) , Azure Power Global (AZRE - Free Report) and Renesola (SOL - Free Report) .
While SolarEdge Technologies and Azure Power Global sport a Zacks Rank #1 (Strong Buy), Renesola carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
SolarEdge Technologies Holdings delivered an average positive earnings surprise of 29.11% in the last four quarters. The Zacks Consensus Estimate for 2018 earnings has risen by 9.60% to $3.31 in the last 90 days.
Azure Power Global came up with an average positive earnings surprise of 35.48% in the last four quarters. The Zacks Consensus Estimate for 2018 earnings has risen by 50% to 6 cents in the last 90 days.
Renesola delivered an average positive earnings surprise of 596.71% in the last four quarters. The Zacks Consensus Estimate for 2018 earnings has risen by 225% to 26 cents in the last 90 days.
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +21.9% in 2017, our top stock-picking screens have returned +115.0%, +109.3%, +104.9%, +98.6%, and +67.1%.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - 2017, the composite yearly average gain for these strategies has beaten the market more than 19X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>