Enphase Energy Q3 results miss estimates on weak US, Europe demand
Enphase Energy Q3 results miss estimates on weak US, Europe demand
Overview
U.S. solar tech firm's Q3 revenue declined yr/yr and missed analyst expectations
Adjusted EPS for Q3 missed analyst expectations
Company cited soft US and European solar demand as factors impacting results
Outlook
Enphase sees Q4 2026 revenue between $225 mln and $255 mln
Company expects Q4 non-GAAP gross margin of 40% to 43%
Company says US residential solar market faces headwinds from higher rates and tax credit expiration
Result Drivers
SOFT US DEMAND - Co said US residential solar demand remained soft, limiting revenue growth
WEAK EUROPEAN MARKETS - Co said European revenue fell due to seasonality and continued weakness in certain solar markets
PRODUCT MIX AND TARIFFS - Co said lower gross margin was driven by product mix and reciprocal tariffs
Company press release: ID:nGNX7fy6mH
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Miss | $293.30 mln | $304.04 mln (21 Analysts) |
Q3 Adjusted EPS | Miss | $0.41 | $0.51 (20 Analysts) |
Q3 EPS |
| $0.17 |
|
Q3 Adjusted Net Income | Miss | $54 mln | $67.95 mln (16 Analysts) |
Q3 Net Income |
| $23.40 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 12 "strong buy" or "buy", 18 "hold" and 3 "sell" or "strong sell"
The average consensus recommendation for the renewable energy equipment & services peer group is "buy."
Wall Street's median 12-month price target for Enphase Energy, Inc. is $41.00, about 35% above its October 26 closing price of $30.36
The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 23 three months ago
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Oct 27 - World to add less clean energy capacity this year, renewables agency chief says
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)