ENPHASE ENERGY INC (ENPH) Stock Fundamental Analysis
NASDAQ:ENPH - Nasdaq - US29355A1079 - Common Stock
We assign a fundamental rating of 5 out of 10 to ENPH. ENPH was compared to 109 industry peers in the Semiconductors & Semiconductor Equipment industry. ENPH has an average financial health and profitability rating. ENPH has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
ENPH had positive earnings in the past year.
In the past year ENPH had a positive cash flow from operations.
In the past 5 years ENPH has always been profitable.
In the past 5 years ENPH always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 1.88%, ENPH perfoms like the industry average, outperforming 50.93% of the companies in the same industry.
ENPH's Return On Equity of 6.59% is in line compared to the rest of the industry. ENPH outperforms 57.41% of its industry peers.
ENPH's Return On Invested Capital of 0.99% is in line compared to the rest of the industry. ENPH outperforms 48.15% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ENPH is in line with the industry average of 11.96%.
The last Return On Invested Capital (0.99%) for ENPH is well below the 3 year average (13.93%), which needs to be investigated, but indicates that ENPH had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.88% | ||
| ROE | 6.59% | ||
| ROIC | 0.99% |
ROA(3y)10.95%
ROA(5y)13.32%
ROE(3y)42.19%
ROE(5y)42.69%
ROIC(3y)13.93%
ROIC(5y)16.76%
1.3 Margins
With a Profit Margin value of 4.91%, ENPH perfoms like the industry average, outperforming 53.70% of the companies in the same industry.
In the last couple of years the Profit Margin of ENPH has grown nicely.
ENPH has a Operating Margin of 2.47%. This is comparable to the rest of the industry: ENPH outperforms 49.07% of its industry peers.
In the last couple of years the Operating Margin of ENPH has grown nicely.
ENPH has a Gross Margin (46.19%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of ENPH has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.47% | ||
| PM (TTM) | 4.91% | ||
| GM | 46.19% |
OM growth 3Y-5.77%
OM growth 5Y62.05%
PM growth 3Y3.46%
PM growth 5YN/A
GM growth 3Y1.12%
GM growth 5Y9.13%
2. Health
2.1 Basic Checks
ENPH has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
ENPH has less shares outstanding than it did 1 year ago.
ENPH has more shares outstanding than it did 5 years ago.
The debt/assets ratio for ENPH has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.24 indicates that ENPH is not in any danger for bankruptcy at the moment.
With a Altman-Z score value of 3.24, ENPH perfoms like the industry average, outperforming 47.22% of the companies in the same industry.
The Debt to FCF ratio of ENPH is 3.87, which is a good value as it means it would take ENPH, 3.87 years of fcf income to pay off all of its debts.
ENPH has a Debt to FCF ratio of 3.87. This is in the better half of the industry: ENPH outperforms 62.04% of its industry peers.
ENPH has a Debt/Equity ratio of 1.29. This is a high value indicating a heavy dependency on external financing.
ENPH's Debt to Equity ratio of 1.29 is on the low side compared to the rest of the industry. ENPH is outperformed by 87.96% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.29 | ||
| Debt/FCF | 3.87 | ||
| Altman-Z | 3.24 |
ROIC/WACC0.07
WACC13.96%
2.3 Liquidity
A Current Ratio of 4.16 indicates that ENPH has no problem at all paying its short term obligations.
ENPH's Current ratio of 4.16 is fine compared to the rest of the industry. ENPH outperforms 66.67% of its industry peers.
A Quick Ratio of 3.88 indicates that ENPH has no problem at all paying its short term obligations.
ENPH has a Quick ratio of 3.88. This is in the better half of the industry: ENPH outperforms 71.30% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.16 | ||
| Quick Ratio | 3.88 |
3. Growth
3.1 Past
The earnings per share for ENPH have decreased strongly by -63.31% in the last year.
ENPH shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 117.69% yearly.
ENPH shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -53.91%.
The Revenue has been growing by 48.60% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-63.31%
EPS 3Y47.9%
EPS 5Y117.69%
EPS Q2Q%-36.27%
Revenue 1Y (TTM)-53.91%
Revenue growth 3Y43.55%
Revenue growth 5Y48.6%
Sales Q2Q%-30.89%
3.2 Future
Based on estimates for the next years, ENPH will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.42% on average per year.
Based on estimates for the next years, ENPH will show a small growth in Revenue. The Revenue will grow by 6.11% on average per year.
EPS Next Y-51.18%
EPS Next 2Y-7.6%
EPS Next 3Y3.25%
EPS Next 5Y12.42%
Revenue Next Year-42.39%
Revenue Next 2Y-13.4%
Revenue Next 3Y-4.05%
Revenue Next 5Y6.11%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 31.90, ENPH can be considered very expensive at the moment.
69.44% of the companies in the same industry are more expensive than ENPH, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 28.29, ENPH is valued at the same level.
A Price/Forward Earnings ratio of 16.73 indicates a correct valuation of ENPH.
Based on the Price/Forward Earnings ratio, ENPH is valued cheaply inside the industry as 81.48% of the companies are valued more expensively.
ENPH's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 24.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.9 | ||
| Fwd PE | 16.73 |
4.2 Price Multiples
ENPH's Enterprise Value to EBITDA ratio is in line with the industry average.
80.56% of the companies in the same industry are more expensive than ENPH, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.25 | ||
| EV/EBITDA | 58.99 |
4.3 Compensation for Growth
The decent profitability rating of ENPH may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.27
EPS Next 2Y-7.6%
EPS Next 3Y3.25%
5. Dividend
5.1 Amount
No dividends for ENPH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ENPHASE ENERGY INC
NASDAQ:ENPH (1/21/2025, 6:24:52 PM)
After market: 62.8 -0.04 (-0.06%)62.84
-0.85 (-1.33%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners87.91%
Inst Owner Change1.24%
Ins Owners3.21%
Ins Owner Change0.43%
Market Cap8.49B
Analysts68.09
Price Target96.32 (53.28%)
Short Float %15.4%
Short Ratio4.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-14.22%
Min EPS beat(2)-16.87%
Max EPS beat(2)-11.56%
EPS beat(4)0
Avg EPS beat(4)-10.94%
Min EPS beat(4)-16.87%
Max EPS beat(4)-4.09%
EPS beat(8)3
Avg EPS beat(8)0.01%
EPS beat(12)7
Avg EPS beat(12)6.56%
EPS beat(16)11
Avg EPS beat(16)10.52%
Revenue beat(2)0
Avg Revenue beat(2)-4.38%
Min Revenue beat(2)-4.77%
Max Revenue beat(2)-3.99%
Revenue beat(4)0
Avg Revenue beat(4)-6.51%
Min Revenue beat(4)-9.54%
Max Revenue beat(4)-3.99%
Revenue beat(8)1
Avg Revenue beat(8)-4.54%
Revenue beat(12)5
Avg Revenue beat(12)-2.5%
Revenue beat(16)8
Avg Revenue beat(16)-1.69%
PT rev (1m)-1.85%
PT rev (3m)-25.58%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-30.5%
EPS NY rev (1m)0%
EPS NY rev (3m)-17.76%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-19.96%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.7%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.9 | ||
| Fwd PE | 16.73 | ||
| P/S | 6.79 | ||
| P/FCF | 25.25 | ||
| P/OCF | 22.23 | ||
| P/B | 9.12 | ||
| P/tB | 12.75 | ||
| EV/EBITDA | 58.99 |
EPS(TTM)1.97
EY3.13%
EPS(NY)3.76
Fwd EY5.98%
FCF(TTM)2.49
FCFY3.96%
OCF(TTM)2.83
OCFY4.5%
SpS9.25
BVpS6.89
TBVpS4.93
PEG (NY)N/A
PEG (5Y)0.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.88% | ||
| ROE | 6.59% | ||
| ROCE | 1.14% | ||
| ROIC | 0.99% | ||
| ROICexc | 2.87% | ||
| ROICexgc | 4.02% | ||
| OM | 2.47% | ||
| PM (TTM) | 4.91% | ||
| GM | 46.19% | ||
| FCFM | 26.89% |
ROA(3y)10.95%
ROA(5y)13.32%
ROE(3y)42.19%
ROE(5y)42.69%
ROIC(3y)13.93%
ROIC(5y)16.76%
ROICexc(3y)37.51%
ROICexc(5y)N/A
ROICexgc(3y)59.03%
ROICexgc(5y)N/A
ROCE(3y)16.06%
ROCE(5y)19.33%
ROICexcg growth 3YN/A
ROICexcg growth 5Y19.62%
ROICexc growth 3YN/A
ROICexc growth 5Y43.38%
OM growth 3Y-5.77%
OM growth 5Y62.05%
PM growth 3Y3.46%
PM growth 5YN/A
GM growth 3Y1.12%
GM growth 5Y9.13%
F-Score6
Asset Turnover0.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.29 | ||
| Debt/FCF | 3.87 | ||
| Debt/EBITDA | 10.68 | ||
| Cap/Depr | 55.98% | ||
| Cap/Sales | 3.65% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 339.88% | ||
| Profit Quality | 547.47% | ||
| Current Ratio | 4.16 | ||
| Quick Ratio | 3.88 | ||
| Altman-Z | 3.24 |
F-Score6
WACC13.96%
ROIC/WACC0.07
Cap/Depr(3y)129.57%
Cap/Depr(5y)121.5%
Cap/Sales(3y)3.54%
Cap/Sales(5y)3.13%
Profit Quality(3y)171.77%
Profit Quality(5y)147.7%
High Growth Momentum
Growth
EPS 1Y (TTM)-63.31%
EPS 3Y47.9%
EPS 5Y117.69%
EPS Q2Q%-36.27%
EPS Next Y-51.18%
EPS Next 2Y-7.6%
EPS Next 3Y3.25%
EPS Next 5Y12.42%
Revenue 1Y (TTM)-53.91%
Revenue growth 3Y43.55%
Revenue growth 5Y48.6%
Sales Q2Q%-30.89%
Revenue Next Year-42.39%
Revenue Next 2Y-13.4%
Revenue Next 3Y-4.05%
Revenue Next 5Y6.11%
EBIT growth 1Y-94.99%
EBIT growth 3Y35.28%
EBIT growth 5Y140.79%
EBIT Next Year-28.82%
EBIT Next 3Y13.09%
EBIT Next 5Y17.97%
FCF growth 1Y-38.3%
FCF growth 3Y44.17%
FCF growth 5Y118.04%
OCF growth 1Y-35.08%
OCF growth 3Y47.69%
OCF growth 5Y112.45%