In the latest trading session, Enphase Energy (ENPH - Free Report) closed at $29.99, marking a +1.11% move from the previous day. This move outpaced the S&P 500's daily loss of 0.28%. At the same time, the Dow lost 0.42%, and the tech-heavy Nasdaq lost 0.03%.
Prior to today's trading, shares of the solar technology company had gained 23.38% over the past month. This has outpaced the Oils-Energy sector's gain of 7.72% and the S&P 500's gain of 3.31% in that time.
Wall Street will be looking for positivity from ENPH as it approaches its next earnings report date. On that day, ENPH is projected to report earnings of $0.33 per share, which would represent year-over-year growth of 725%. Our most recent consensus estimate is calling for quarterly revenue of $204.76 million, up 121.86% from the year-ago period.
Any recent changes to analyst estimates for ENPH should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 3.19% higher. ENPH is currently a Zacks Rank #1 (Strong Buy).
Valuation is also important, so investors should note that ENPH has a Forward P/E ratio of 29.32 right now. Its industry sports an average Forward P/E of 19.53, so we one might conclude that ENPH is trading at a premium comparatively.
The Solar industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 70, putting it in the top 28% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
You can find more information on all of these metrics, and much more, on Zacks.com.