Latest news with #Enphase
Wall Street Journal
7 days ago
- Business
- Wall Street Journal
Residential Solar Industry Looks to Cut Costs as End to Tax Credits Looms
With President Trump's tax law putting an early end to solar tax credits, the residential solar industry is now looking to lower prices, particularly by cutting sky-high sales and marketing costs, according to companies and analysts. 'The industry must drive down customer-acquisition and selling costs to remain competitive in a maturing market,' Enphase Chief Executive Badrinarayanan Kothandaraman said on an earnings call in July. The solar manufacturer said it would double down on SolarLead Factory, a lead-generation business it bought in 2022, and Solargraf, a design platform used in solar sales it bought in 2021, to streamline customer acquisition costs.
Yahoo
25-07-2025
- Business
- Yahoo
S&P 500 Gains and Losses Today: Lamb Weston Stock Soars as Volumes Grow; Enphase Energy Falters
Major U.S. equity indexes rose on Wednesday after President Donald Trump announced a trade agreement with Japan as second-quarter earnings season rolled on. The S&P 500 jumped 0.8% to close at an all-time high for the third consecutive day. The Nasdaq advanced 0.6%, returning to record territory after slipping yesterday. The Dow surged more than 500 points, adding 1.1% and ending just below its record closing level reached in December. Shares of Lamb Weston Holdings (LW), a provider of frozen french fries and other potato products, soared 16.3% to notch the S&P 500's top performance. The company topped sales and profit estimates for its fiscal fourth quarter, with strength across all channels and geographies helping drive 8% year-over-year volume growth. Lamb Weston also said it would lay off 4% of its workforce, part of a plan it expects to save it $250 million a year by the end of its 2028 fiscal year. GE Vernova (GEV) shares also moved higher in the wake of strong quarterly financial results, jumping 14.6% on Wednesday. The energy technology firm, which completed its spinoff from General Electric a little over a year ago, reported better-than-expected second-quarter sales and profits and said it now expects the full-year earnings impact from tariffs and inflation to come in near the low end of its previous forecasts. Baker Hughes (BKR) also exceeded forecasts with its second-quarter revenue and adjusted net income, and shares of the oilfield services provider popped 11.7%. Although the company struck a cautious tone on upstream spending as producers navigate volatility in commodity prices, Baker Hughes benefited from strong data center related orders. Enphase Energy (ENPH) suffered the biggest decline in the S&P 500 on Wednesday, plunging 14.2%. While the solar microinverter and battery specialist surpassed second-quarter sales and profit estimates, Enphase issued weaker-than-expected profit guidance for the third quarter. The company noted its gross margins were pressured by U.S. tariff policies and indicated that the expiration of clean-energy tax credits would likely constrict residential solar demand. Shares of the financial technology firm Fiserv (FI) sank 13.9%. Like Enphase, Fiserv reported quarterly sales and profit that came in ahead of estimates, but a reduction in its full-year profit outlook weighed on the stock. Although the fintech announced a multiyear deal with Canada's TD Bank Group, investors focused on its Clover payment processing platform's slowing growth. Texas Instruments (TXN) also provided a softer-than-expected profit forecast for the third quarter, and shares of the analog semiconductor producer dropped 13.3%. The company announced last month that it intends to invest more than $60 billion to expand its chip manufacturing capacity in the U.S. Read the original article on Investopedia Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
25-07-2025
- Business
- Yahoo
Why Enphase Stock Crashed Today
Key Points Enphase beat on sales and earnings last night, but investors are selling the stock regardless. Earnings growth was good, but perhaps not as good as meets the eye, and free cash flow was even weaker than reported earnings. At 32 times earnings, Enphase stock is priced for growth, but new guidance suggests sales might actually decline in Q3. 10 stocks we like better than Enphase Energy › Enphase Energy (NASDAQ: ENPH) stock, which makes microinverters for converting solar power to usable electricity, cratered Wednesday, down 15% through 2:50 p.m. ET despite beating on its earnings report last night. Analysts forecast Enphase would earn $0.62 per share on $359.8 million in sales, and Enphase beat both numbers, earning $0.69 and doing $363.2 million in sales. So why is the stock down? Enphase's Q2 earnings Well for one thing, the news isn't quite as good as the earnings beat makes it sound. Turns out, Enphase's $0.69 profit was non-GAAP (adjusted). When calculated according to generally accepted accounting principles (GAAP), the company actually earned only $0.28 per share. Granted, while smaller than the non-GAAP numbers, Enphase's GAAP earnings rose substantially year over year -- up 250% in fact. But actual free cash flow for the quarter was only $18.4 million (about half of reported GAAP earnings), and down about 84% year over year. So whether you evaluate Enphase's results by GAAP or by FCF, either way, the quarter was a whole lot uglier than the non-GAAP headline figure made it seem. Is Enphase stock a buy? And things could be getting worse for Enphase. Turning to guidance, management warned that Q3 sales will range from $330 million to $370 million. At the midpoint ($350 million) this implies a big decline from Q2. It also means Enphase will probably miss analyst forecasts for $368 million in Q3 sales. Long story short, after growing sales and earnings substantially in Q2, Enphase just warned of a sales slowdown in Q3 that will probably impact profits as well. The stock, however, is priced for strong and steady growth at 32 times trailing earnings. If that growth isn't going to happen, it may be time to sell. Should you buy stock in Enphase Energy right now? Before you buy stock in Enphase Energy, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Enphase Energy wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $641,800!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,023,813!* Now, it's worth noting Stock Advisor's total average return is 1,034% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 21, 2025 Rich Smith has no position in any of the stocks mentioned. The Motley Fool recommends Enphase Energy. The Motley Fool has a disclosure policy. Why Enphase Stock Crashed Today was originally published by The Motley Fool
Yahoo
22-07-2025
- Business
- Yahoo
Enphase Sees 20% Drop in US Home Solar Market on Tax Credit Loss
(Bloomberg) -- Enphase Energy Inc., a major US solar equipment company, sees the nation's residential market shrinking 20% next year as tax credits for homeowners end under President Donald Trump's sweeping economic legislation. Why the Federal Reserve's Building Renovation Costs $2.5 Billion Trump Awards $1.26 Billion Contract to Build Biggest Immigrant Detention Center in US Salt Lake City Turns Winter Olympic Bid Into Statewide Bond Boom Milan Corruption Probe Casts Shadow Over Property Boom How San Jose's Mayor Is Working to Build an AI Capital While some analysts have predicted even steeper declines, the estimate from Enphase marks one of the first big projections from an industry player since Trump's spending bill was passed. The company is among the first US solar companies to report earnings this quarter. Enphase Chief Executive Officer Badri Kothandaraman warned Tuesday that residents who want to install solar and home batteries will have to move toward financing the systems with third-party leases, which will still qualify for tax incentives next year. 'I expect the lease market to be increasing a little bit and the cash and loan market to decrease by a lot' next year, he said during the company's second-quarter earnings call. The yanking of federal government support is hitting the industry after home solar installers had already been facing headwinds, including persistently high interest rates that have made it more expensive for residents to buy panels. Two major home solar financiers have filed for bankruptcy so far this year. Trump's new tax-and-spending law passed earlier this month will eliminate tax incentives for residential solar purchases by year end. However, companies that lease panels can claim the incentive through 2027. Analysts at BloombergNEF expect residential solar installations to increase about 13% this year compared with last year as homeowners rush to take advantage of expiring tax credits. However, BNEF sees the market shrinking by 35% in 2026. To adjust, Enphase will pivot toward working with more leasing companies as well as focus on reducing customer acquisition and installation costs, Kothandaraman said. Enphase shares fell about 7% in after-market trading after the company forecast third-quarter revenue that missed analyst estimates. Elon Musk's Empire Is Creaking Under the Strain of Elon Musk Burning Man Is Burning Through Cash A Rebel Army Is Building a Rare-Earth Empire on China's Border Thailand's Changing Cannabis Rules Leave Farmers in a Tough Spot How Starbucks' CEO Plans to Tame the Rush-Hour Free-for-All ©2025 Bloomberg L.P.
Yahoo
21-07-2025
- Business
- Yahoo
Earnings To Watch: Enphase (ENPH) Reports Q2 Results Tomorrow
Home energy technology company Enphase (NASDAQ:ENPH) will be reporting results this Tuesday afternoon. Here's what to look for. Enphase missed analysts' revenue expectations by 1.6% last quarter, reporting revenues of $356.1 million, up 35.2% year on year. It was a softer quarter for the company, with a significant miss of analysts' EBITDA estimates and a significant miss of analysts' EPS estimates. Is Enphase a buy or sell going into earnings? Read our full analysis here, it's free. This quarter, analysts are expecting Enphase's revenue to grow 18% year on year to $358.1 million, a reversal from the 57.3% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.62 per share. The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Looking at Enphase's peers in the electrical equipment segment, only Acuity Brands has reported results so far. It beat analysts' revenue estimates by 3.1%, delivering year-on-year sales growth of 21.7%. The stock traded up 5.8% on the results. Read our full analysis of Acuity Brands's earnings results here. There has been positive sentiment among investors in the electrical equipment segment, with share prices up 6.5% on average over the last month. Enphase is up 14.6% during the same time and is heading into earnings with an average analyst price target of $48.37 (compared to the current share price of $39.59). When a company has more cash than it knows what to do with, buying back its own shares can make a lot of sense–as long as the price is right. Luckily, we've found one, a low-priced stock that is gushing free cash flow AND buying back shares. Click here to claim your Special Free Report on a fallen angel growth story that is already recovering from a setback. StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
