SolarEdge, Enphase rallies should be used to exit, not enter, says GLJ Research

GLJ Research notes that SolarEdge (SEDG) shares have appreciated about 48% and Enphase Energy (ENPH) about 40% in the last five sessions with “no earnings event, no guidance, no signed customer, no announced product, and no change in their core residential-solar end market.” The firm argues that these moves are “a narrative-and-positioning event, not a fundamental re-rating” and that “the narrative, read in full rather than in headline, does not support the move.” The firm, which reiterates Sell ratings on both names, would “use the rally as an exit, not an entry,” the analyst tells investors.