Analyst Dimple Gosai from Bank of America Securities reiterated a Sell rating on Enphase Energy and decreased the price target to $30.00 from $34.00.
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Dimple Gosai has given his Sell rating due to a combination of factors impacting Enphase Energy’s market outlook. The U.S. residential market is currently facing structural challenges rather than temporary delays, which is affecting the company’s performance. The anticipated ramp-up in demand has not materialized as expected, and the tight timeline for installations and payments by year-end makes a significant recovery in the fourth quarter unlikely.
Additionally, uncertainties around the Treasury’s 48E safe harbor rules are delaying potential benefits until the first half of 2026. The market is also grappling with installer bankruptcies, tighter lending conditions, and unfavorable cash/loan economics, all of which contribute to a shrinking market with limited near-term catalysts. Despite some expected growth in third-party ownership and a new platform launch, the overall revenue estimates for the latter half of 2025 and early 2026 have been reduced, reflecting a cautious outlook on the company’s recovery prospects.
In another report released today, Morgan Stanley also maintained a Sell rating on the stock with a $32.00 price target.
Based on the recent corporate insider activity of 24 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of ENPH in relation to earlier this year.