Enphase Energy Stock Drops Despite Broader Gains; Significant Earnings Declines Expected Amid Industry Headwinds
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Enphase Energy (ENPH) stock fell 1.22% despite broader market gains. It has outpaced the sector over the past month.
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Enphase is expected to report a 71% drop in Q3 EPS to $0.40 on a 61% revenue decline amid industry headwinds when it reports earnings.
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Full-year estimates call for a 24% EPS decline to $3.37 on a 27% revenue drop to $1.67 billion.
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Recent estimate revisions are negative, indicating analysts' concerns over business health. Stock price often follows estimate changes.
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ENPH has a premium valuation (P/E of 38.7x) compared to its industry average (11.8x) which faces growth challenges per its low PEG ratio.