Enphase Energy Inc
Exchange: NASDAQSector: TechnologyIndustry: Solar
Enphase Energy, a global energy technology company based in Fremont, CA, is the world's leading supplier of microinverter-based solar and battery systems that enable people to harness the sun to make, use, save, and sell their own power—and control it all with a smart mobile app. The company revolutionized the solar industry with its microinverter-based technology and builds all-in-one solar, battery, and software solutions. Enphase has shipped more than 73 million microinverters, and approximately 4.0 million Enphase-based systems have been deployed in more than 150 countries.
Did you know?
ENPH's revenue grew at a 15.4% CAGR over the last 6 years.
Current Price
$36.16
+2.26%GoodMoat Value
$35.21
2.6% overvaluedProfile
Valuation (TTM)
Market Cap$4.73B
P/E27.49
EV$5.03B
P/B4.35
Shares Out130.86M
P/Sales3.21
Revenue$1.47B
EV/EBITDA15.25
Enphase Energy Inc (ENPH) Stock Analysis
GoodMoat Analysis
Enphase Energy is a solar technology company facing significant headwinds, with a business that currently fails the GoodMoat framework's initial quality gate. Its moat appears limited, and financial metrics show declining revenue and compressed margins, making a deep valuation analysis unwarranted at this stage.
Read full analysis
Enphase Energy designs and manufactures software-driven home energy solutions, primarily microinverters for solar systems. Applying the GoodMoat framework, the company's competitive advantages (moat) are difficult to substantiate at the required strength. While it may possess elements of technology leadership and niche dominance in microinverters, the overall moat score is likely below the critical threshold of 5, given high competition and the current financial stress. The business fails the initial 'Moat & Quality Gate' in Section 6 of the framework. Key quality indicators are weak: revenue growth is negative at -10.3% YoY, operating margin is a modest 10.7%, and the debt/equity ratio of 1.1 indicates a leveraged balance sheet, contrary to the preferred strong net cash position. The free cash flow yield of 1.7% is also low. With a Moat Score likely <5 and multiple weak quality ratings, the stock does not qualify for a detailed valuation assessment per the framework's sequential process. The provided GoodMoat Target of $35.21 suggests caution relative to the current $42.53 price. For a value investor, the combination of an unproven durable moat and deteriorating fundamentals makes this an unfavourable candidate for further investigation without evidence of a sustained operational turnaround.
Market Cap$4.73B
Current Price$36.16
P/E Ratio27.49
Forward P/E—
PEG Ratio-0.74
EPS$1.29
Book Value$8.31
P/B Ratio4.35
ENPH Financial Charts
FCF vs CAPEX
FCFCAPEX
Forward estimates use -4.2% FCF growth (CAGR)
Cash vs Debt
Net Debt: 730M
Revenue
624M
FY19
774M
FY20
1.4B
FY21
2.3B
FY22
2.3B
FY23
1.3B
FY24
1.5B
FY25
Net Income
161M
FY19
134M
FY20
145M
FY21
397M
FY22
439M
FY23
103M
FY24
172M
FY25
ENPH 52-Week Range
$26.12
$51.67
50-Day MA: $40.19200-Day MA: $36.54
Did you know?
ENPH's revenue grew at a 15.4% CAGR over the last 6 years.
Enphase Energy Inc (ENPH) Financial Summary
Enphase Energy Inc (ENPH) is a Technology company in the Solar industry, listed on NASDAQ. The stock currently trades at $36.16 with a market capitalization of $4.73B.
Key valuation metrics include a P/E ratio of 27.49, price-to-book ratio of 4.35, and EPS of $1.29. The company reports a profit margin of 11.7% and return on equity of 15.8%.
ENPH Key Financial Metrics
| Metric | Value |
|---|---|
| Market Cap | $4.73B |
| P/E Ratio | 27.49 |
| EPS | $1.29 |
| P/B Ratio | 4.35 |
| P/S Ratio | 3.21 |
| EV/EBITDA | 15.25 |
| Profit Margin | 11.7% |
| Return on Equity | 15.8% |
| Debt/Equity | 1.11 |
ENPH Revenue & Earnings History
| Year | Revenue | Net Income |
|---|---|---|
| FY19 | $624.33M | $161.15M |
| FY20 | $774.42M | $134.00M |
| FY21 | $1.38B | $145.45M |
| FY22 | $2.33B | $397.36M |
| FY23 | $2.29B | $438.94M |
| FY24 | $1.33B | $102.66M |
| FY25 | $1.47B | $172.13M |
Enphase Energy Inc (ENPH) Valuation
Based on GoodMoat's DCF model, Enphase Energy Inc has a fair value estimate of $35.21. At the current price of $36.16, the stock appears 2.7% overvalued relative to our intrinsic value estimate.
ENPH Quality Indicators
Enphase Energy Inc maintains a profit margin of 11.7% and an operating margin of 10.7%. Return on equity stands at 15.8%. The current ratio is 2.07. Debt-to-equity ratio is 1.11.
About Enphase Energy Inc
Enphase Energy, a global energy technology company based in Fremont, CA, is the world's leading supplier of microinverter-based solar and battery systems that enable people to harness the sun to make, use, save, and sell their own power—and control it all with a smart mobile app. The company revolutionized the solar industry with its microinverter-based technology and builds all-in-one solar, battery, and software solutions. Enphase has shipped more than 73 million microinverters, and approximately 4.0 million Enphase-based systems have been deployed in more than 150 countries.
ENPH Free Cash Flow
Enphase Energy Inc generated $95.90M in trailing twelve-month free cash flow, representing an FCF yield of 2.03%. This moderate FCF yield indicates reasonable cash generation.
ENPH Shares Outstanding
Enphase Energy Inc has 0.13 billion shares outstanding at a share price of $36.16, giving it a market capitalization of $4.73B.