The shifting paradigm towards renewable energy has disrupted traditional sources of power and paved the way for innovative solutions that offer clean, reliable and affordable energy. Among the industry players is SolarEdge Technologies (NASDAQ: SEDG), a semiconductor company focused on delivering inverter solutions for photovoltaic (PV) systems. The recent coverage by pioneering equities researchers at StockNews.com is testament to the growing interest in the green energy sector as investors look for opportunities to diversify their portfolios while making a positive impact on society.
Based on SolarEdge Technologies latest quarterly earnings data issued on May 3rd, the firm continues to exhibit strong performance despite stiff competition from alternative players. According to the report, the market leader posted an impressive $2.36 earnings per share (EPS) for Q1 2021 which surpassed analysts’ expectations of $1.51 by $0.85. Additionally, revenue generated during this period also exceeded expectations with $943.89 million as opposed to analysts’ projected $929.37 million.
Undoubtedly, SolarEdge’s success during such austere times can be attributed to its effective corporate strategy that encourages efficiency and cutting-edge innovation in every aspect of business operation. The firm consists of two main segments: the Solar segment that deals with designing, manufacturing, and distributing inverters tailored for maximum solar power generation; and All Other segment where products like uninterrupted power supply systems are stationed.
With a return on equity of 14.49% coupled with a healthy net margin of 5.86%, discerning investors who yearn for consistency should position themselves sufficiently as further growth possibilities emerge after post-pandemic recovery of global markets.
In conclusion, industry experts predict an all-around positive outlook considering robust financial performance figures released from its latest quarterly earnings report-which stands at an expected EPS value of 8.64 per share this fiscal year- coupled with abiding governmental policies promoting environment-friendly sources over traditional means of energy production. Therefore, discerning investors who truly have a long-term financial focus would do well to diversify their portfolios with shares from SolarEdge Technologies.
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SolarEdge Technologies Receives Multiple Buy Ratings and Higher Price Targets from Research Firms
SolarEdge Technologies, a company focused on the development of energy technology for inverter solutions, has been given multiple “buy” ratings and increased price targets by several research firms. Bank of America raised its price target on the company from $393 to $407 and BMO Capital Markets increased its own from $370 to $395. Janney Montgomery Scott initiated coverage with a price target of $351 while Scotiabank set their price target at $345. Deutsche Bank Aktiengesellschaft upgraded SolarEdge Technologies from a “hold” rating to a “buy” rating and raised its price target for the company from $305 to $375. Six other research analysts gave the stock a hold rating while 14 others issued buy ratings, bringing SolarEdge’s Bloomberg.com average rating to “Moderate Buy”, with a consensus price target of $374.37.
The stock’s market capitalization is currently valued at $17.08 billion, with shares opening at $303.07 on Thursday morning (June 8). The firm’s 1-year low was recorded at $190.15 and it achieved its high record of $375.90 within the last year as well. The company operates through two main segments: Solar and All Other; the former dealing primarily in maximizing power generation.
In related news, insider Meir Adest recently sold 2,500 shares for an average price of around $301 each, totaling just over$750k; Adest now owns approximately 131k shares worth over$39 million.
Several institutional investors have also added or reduced their stakes in SEDG recently; Trust Co. of Vermont boosted its holdings by 3.7% during Q4 2016 after acquiring an additional 35 shares in that quarter alone, while Captrust Financial Advisors increased theirs by 3.5% after gaining another 39 shares in that same period.
