ENPHASE ENERGY, INC.

ENPH
Delayed Quote. Delayed  - 01/26 04:00:00 pm
121.75USD -0.73%

Enphase Energy, Inc. : Back on an important level

01/13/2022 | 08:53am
Tommy Douziech
Junior Analyst

Strategy published on : 01/13/2022 | 08:53

long trade
Stop-loss triggered

Entry price : 156.64$
Target : 259$
Stop-loss : 129$
Potential : 65.35%

The selling pressure regarding Enphase Energy, Inc. shares could subside shortly. In fact, the support area that is currently being tested around 145.03 USD has come into play and could, at least in the short term, keep the downside pressure at bay.
Investors have an opportunity to buy the stock and target the $ 259.

Summary

● The company has strong fundamentals. More than 70% of companies have a lower mix of growth, profitability, debt and visibility.

● From a short-term investment perspective, the company presents a deteriorated fundamental situation


Strengths

● Analysts expect a sharply increasing business volume for the group, with high growth rates in the coming years.

● The company's EBITDA/Sales ratio is relatively high and results in high margins before depreciation, amortization and taxes.

● The company returns high margins, thereby supporting business profitability.

● Thanks to a sound financial situation, the firm has significant leeway for investment.

● Over the past year, analysts have regularly revised upwards their sales forecast for the company.

● Upward revisions of sales forecast reflect a renewed optimism among the analysts covering the stock.

● The average target price set by analysts covering the stock is above current prices and offers a tremendous appreciation potential.

● Over the past four months, analysts' average price target has been revised upwards significantly.

● Historically, the company has been releasing figures that are above expectations.


Weaknesses

● The company's valuation in terms of earnings multiples is rather high. Indeed, the firm is getting paid 180.74 times its estimated earnings per share for the ongoing year.

● Based on current prices, the company has particularly high valuation levels.

● In relation to the value of its tangible assets, the company's valuation appears relatively high.

● The valuation of the company is particularly high given the cash flows generated by its activity.

● For the past year, analysts have significantly revised downwards their profit estimates.

● For the last few months, analysts have been revising downwards their earnings forecast.

● Prospects from analysts covering the stock are not consistent. Such dispersed sales estimates confirm the poor visibility into the group's activity.

● The price targets of analysts who cover the stock differ significantly. This implies difficulties in evaluating the company and its business.

© MarketScreener.com 2022
Copier lien
All news about ENPHASE ENERGY, INC.
1d ago
2d ago
2d ago
6d ago
01/18