SolarEdge Technologies (NASDAQ:SEDG) Shares Up 10.6% - What's Next?

SolarEdge Technologies, Inc. (NASDAQ:SEDG) experienced a notable increase in its stock price, rising by 10.6% on Thursday. The shares peaked at $14.38 during the trading session and ultimately closed at $14.70. A total of approximately 1,096,829 shares changed hands during mid-day trading, which is a significant decline of 70% compared to the usual daily volume of 3,688,348 shares. The previous closing price was $13.29.

Analyst Insights on Future Growth

SolarEdge has been the subject of several recent research evaluations. Barclays recently revised its target price for SolarEdge Technologies, increasing it from $7.00 to $10.00, while maintaining an "underweight" rating in its report dated January 14th. Roth MKM decreased its target from $20.00 to $12.00, labeling the stock as "neutral" in a publication from November 7th. JPMorgan Chase & Co. also adjusted their price objective, reducing it from $21.00 to $19.00 and rating the company as "overweight" in a note dated January 23rd. Susquehanna similarly lowered its price target from $20.00 to $11.00 while issuing a "neutral" rating in its November report. Finally, Canaccord Genuity increased their target from $16.00 to $18.00, while ranking the stock as a "hold" in a report from January 7th. Collectively, eight research analysts have assigned a sell rating, eighteen a hold rating, three a buy rating, and one has issued a strong buy rating for the stock. Data from MarketBeat.com indicates an average rating of "Hold" with a price target averaging $20.84.

Stock Performance Overview

SolarEdge has shown a remarkable performance in the market, and a recent evaluation by Goldman Sachs suggests a potential upside of 40% for the stock. The company's financial metrics reveal a debt-to-equity ratio of 0.39, a quick ratio of 1.46, and a current ratio of 2.34. Additionally, the 50-day simple moving average stands at $14.20, while the 200-day simple moving average is at $17.55. The total market capitalization of SolarEdge Technologies is approximately $948.06 million, with a price-to-earnings ratio of -0.56 and a beta value of 1.56.

Institutional Investor Activity

A number of institutional investors and hedge funds have recently altered their stakes in SolarEdge Technologies. For instance, Millstone Evans Group LLC acquired a new investment in the company during the fourth quarter, valued around $27,000. Jones Financial Companies expanded their shareholding by an impressive 401.2% in the same quarter and now owns 2,441 shares worth about $33,000 after an additional 1,954 shares were purchased. KBC Group NV also increased its interest in SolarEdge by 95.8% in the third quarter, owning 2,816 shares estimated at $65,000 following the acquisition of 1,378 additional shares. Meanwhile, Y.D. More Investments Ltd raised its holdings in SolarEdge by 251.8%, now controlling 3,870 shares valued at $53,000 after obtaining 2,770 more shares. R Squared Ltd also made a new investment in the fourth quarter, worth around $61,000. Overall, institutional investors and hedge funds currently own 95.10% of SolarEdge's stock.

Business Overview of SolarEdge Technologies

SolarEdge Technologies, Inc., along with its subsidiaries, is involved in designing, developing, manufacturing, and selling direct current (DC) optimized inverter systems for solar photovoltaic (PV) installations across various regions, including the United States, Germany, the Netherlands, Italy, and the rest of Europe. The company operates predominantly in two segments: Solar and Energy Storage.

Investment Considerations

Before making an investment decision regarding SolarEdge Technologies, it is essential to note that many analysts currently hold a "Reduce" rating for the stock. While several top analysts believe there may be better options available, the attractiveness of SolarEdge ultimately depends on individual investment strategies and market conditions.

SolarEdge, Stocks, Investment