Enphase Energy stumbles and takes other solar stocks with it
Shares of Enphase Energy, which sells solar panels and batteries to homes and businesses, fell about 17% before the market opened on Wednesday, making it the biggest laggard among S&P 500 companies during premarket trading. The stock clawed back some of its losses on market open, but was still down roughly 12% as of 10 a.m. ET.
During the latest quarter, the company’s adjusted earnings per share were $0.65 per share, 16.8% less than analyst expectations of $0.78 per share. Revenue for the quarter was $380.9 million, an over 50% year-over-year decrease. This is also the sixth consecutive quarter that Enphase Energy missed estimates. The underperformance was primarily a result of declining demand in Europe, where shipments dropped 15% compared to the last quarter. US shipments, meanwhile, trended higher and drove a 43% revenue increase in the region.
Enphase Energy’s stock is down more than 70% since its December 2022 peak. Other solar energy stocks, including First Solar, SolarEdge and Sunrun, all declined alongside Enphase.
