ENPHASE ENERGY INC (ENPH) Stock Fundamental Analysis
USA - NASDAQ:ENPH - US29355A1079 - Common Stock
39.28 USD
+1.3 (+3.42%)
Overall ENPH gets a fundamental rating of 5 out of 10. We evaluated ENPH against 112 industry peers in the Semiconductors & Semiconductor Equipment industry. ENPH has only an average score on both its financial health and profitability. ENPH may be a bit undervalued, certainly considering the very reasonable score on growth
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.
ENPH had positive earnings in each of the past 5 years.
In the past 5 years ENPH always reported a positive cash flow from operatings.
1.2 Ratios
ENPH's Return On Assets of 5.50% is fine compared to the rest of the industry. ENPH outperforms 71.43% of its industry peers.
ENPH has a Return On Equity of 19.84%. This is amongst the best in the industry. ENPH outperforms 85.71% of its industry peers.
Looking at the Return On Invested Capital, with a value of 8.14%, ENPH is in the better half of the industry, outperforming 76.79% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for ENPH is in line with the industry average of 10.87%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.5% | ||
| ROE | 19.84% | ||
| ROIC | 8.14% |
ROA(3y)9.67%
ROA(5y)9.44%
ROE(3y)35.03%
ROE(5y)33.31%
ROIC(3y)10.89%
ROIC(5y)13.62%
1.3 Margins
The Profit Margin of ENPH (11.78%) is better than 71.43% of its industry peers.
ENPH's Profit Margin has declined in the last couple of years.
ENPH's Operating Margin of 12.94% is fine compared to the rest of the industry. ENPH outperforms 70.54% of its industry peers.
ENPH's Operating Margin has declined in the last couple of years.
The Gross Margin of ENPH (48.35%) 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 | 12.94% | ||
| PM (TTM) | 11.78% | ||
| GM | 48.35% |
OM growth 3Y-24.77%
OM growth 5Y-16.62%
PM growth 3Y-9.82%
PM growth 5Y-21.45%
GM growth 3Y5.64%
GM growth 5Y5.94%
2. Health
2.1 Basic Checks
ENPH has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, ENPH has less shares outstanding
The number of shares outstanding for ENPH has been increased compared to 5 years ago.
ENPH has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.25 indicates that ENPH is not a great score, but indicates only limited risk for bankruptcy at the moment.
ENPH has a Altman-Z score of 2.25. This is in the lower half of the industry: ENPH underperforms 61.61% of its industry peers.
ENPH has a debt to FCF ratio of 3.22. This is a good value and a sign of high solvency as ENPH would need 3.22 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 3.22, ENPH is doing good in the industry, outperforming 62.50% of the companies in the same industry.
A Debt/Equity ratio of 0.65 indicates that ENPH is somewhat dependend on debt financing.
ENPH's Debt to Equity ratio of 0.65 is on the low side compared to the rest of the industry. ENPH is outperformed by 75.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 3.22 | ||
| Altman-Z | 2.25 |
ROIC/WACC0.79
WACC10.28%
2.3 Liquidity
ENPH has a Current Ratio of 1.97. This is a normal value and indicates that ENPH is financially healthy and should not expect problems in meeting its short term obligations.
ENPH has a Current ratio of 1.97. This is in the lower half of the industry: ENPH underperforms 72.32% of its industry peers.
A Quick Ratio of 1.82 indicates that ENPH should not have too much problems paying its short term obligations.
ENPH's Quick ratio of 1.82 is on the low side compared to the rest of the industry. ENPH is outperformed by 60.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.97 | ||
| Quick Ratio | 1.82 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 26.50% over the past year.
The Earnings Per Share has been growing by 20.06% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 4.39% in the past year.
Measured over the past years, ENPH shows a quite strong growth in Revenue. The Revenue has been growing by 16.34% on average per year.
EPS 1Y (TTM)26.5%
EPS 3Y-0.69%
EPS 5Y20.06%
EPS Q2Q%60.47%
Revenue 1Y (TTM)4.39%
Revenue growth 3Y-1.26%
Revenue growth 5Y16.34%
Sales Q2Q%19.67%
3.2 Future
ENPH is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.53% yearly.
Based on estimates for the next years, ENPH will show a small growth in Revenue. The Revenue will grow by 5.14% on average per year.
EPS Next Y13.33%
EPS Next 2Y-0.74%
EPS Next 3Y4.2%
EPS Next 5Y10.53%
Revenue Next Year11%
Revenue Next 2Y1.87%
Revenue Next 3Y2.99%
Revenue Next 5Y5.14%
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
Based on the Price/Earnings ratio of 13.27, the valuation of ENPH can be described as correct.
Based on the Price/Earnings ratio, ENPH is valued cheaper than 96.43% of the companies in the same industry.
When comparing the Price/Earnings ratio of ENPH to the average of the S&P500 Index (27.27), we can say ENPH is valued rather cheaply.
ENPH is valuated correctly with a Price/Forward Earnings ratio of 16.82.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ENPH indicates a rather cheap valuation: ENPH is cheaper than 84.82% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.77, ENPH is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.27 | ||
| Fwd PE | 16.82 |
4.2 Price Multiples
ENPH's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ENPH is cheaper than 81.25% of the companies in the same industry.
94.64% 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 | 13.77 | ||
| EV/EBITDA | 12.76 |
4.3 Compensation for Growth
ENPH's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of ENPH may justify a higher PE ratio.
PEG (NY)1
PEG (5Y)0.66
EPS Next 2Y-0.74%
EPS Next 3Y4.2%
5. Dividend
5.1 Amount
No dividends for ENPH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:ENPH (9/16/2025, 3:10:03 PM)
39.28
+1.3 (+3.42%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners88.68%
Inst Owner Change5.28%
Ins Owners3.13%
Ins Owner Change0.18%
Market Cap5.14B
Analysts63.72
Price Target42.83 (9.04%)
Short Float %20.27%
Short Ratio3.13
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)1
Avg EPS beat(2)1.88%
Min EPS beat(2)-5.07%
Max EPS beat(2)8.83%
EPS beat(4)2
Avg EPS beat(4)3.56%
Min EPS beat(4)-16.87%
Max EPS beat(4)27.34%
EPS beat(8)2
Avg EPS beat(8)-1.74%
EPS beat(12)6
Avg EPS beat(12)3.72%
EPS beat(16)10
Avg EPS beat(16)8.23%
Revenue beat(2)0
Avg Revenue beat(2)-2.14%
Min Revenue beat(2)-3.27%
Max Revenue beat(2)-1.01%
Revenue beat(4)0
Avg Revenue beat(4)-2.42%
Min Revenue beat(4)-4.77%
Max Revenue beat(4)-0.64%
Revenue beat(8)0
Avg Revenue beat(8)-4.44%
Revenue beat(12)2
Avg Revenue beat(12)-3.34%
Revenue beat(16)6
Avg Revenue beat(16)-2.16%
PT rev (1m)1.42%
PT rev (3m)-22.81%
EPS NQ rev (1m)0.3%
EPS NQ rev (3m)10.46%
EPS NY rev (1m)7.34%
EPS NY rev (3m)8.94%
Revenue NQ rev (1m)1.06%
Revenue NQ rev (3m)-0.47%
Revenue NY rev (1m)0.2%
Revenue NY rev (3m)0.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.27 | ||
| Fwd PE | 16.82 | ||
| P/S | 3.46 | ||
| P/FCF | 13.77 | ||
| P/OCF | 12.45 | ||
| P/B | 5.83 | ||
| P/tB | 8.11 | ||
| EV/EBITDA | 12.76 |
EPS(TTM)2.96
EY7.54%
EPS(NY)2.33
Fwd EY5.94%
FCF(TTM)2.85
FCFY7.26%
OCF(TTM)3.15
OCFY8.03%
SpS11.34
BVpS6.74
TBVpS4.84
PEG (NY)1
PEG (5Y)0.66
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.5% | ||
| ROE | 19.84% | ||
| ROCE | 9.52% | ||
| ROIC | 8.14% | ||
| ROICexc | 33.75% | ||
| ROICexgc | 68.71% | ||
| OM | 12.94% | ||
| PM (TTM) | 11.78% | ||
| GM | 48.35% | ||
| FCFM | 25.16% |
ROA(3y)9.67%
ROA(5y)9.44%
ROE(3y)35.03%
ROE(5y)33.31%
ROIC(3y)10.89%
ROIC(5y)13.62%
ROICexc(3y)29.55%
ROICexc(5y)N/A
ROICexgc(3y)43.52%
ROICexgc(5y)N/A
ROCE(3y)12.74%
ROCE(5y)15.93%
ROICexcg growth 3Y-41.75%
ROICexcg growth 5Y-24.25%
ROICexc growth 3Y-35.85%
ROICexc growth 5Y-25.26%
OM growth 3Y-24.77%
OM growth 5Y-16.62%
PM growth 3Y-9.82%
PM growth 5Y-21.45%
GM growth 3Y5.64%
GM growth 5Y5.94%
F-Score8
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.65 | ||
| Debt/FCF | 3.22 | ||
| Debt/EBITDA | 2.1 | ||
| Cap/Depr | 48.86% | ||
| Cap/Sales | 2.66% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 151.28% | ||
| Profit Quality | 213.51% | ||
| Current Ratio | 1.97 | ||
| Quick Ratio | 1.82 | ||
| Altman-Z | 2.25 |
F-Score8
WACC10.28%
ROIC/WACC0.79
Cap/Depr(3y)89.33%
Cap/Depr(5y)108.77%
Cap/Sales(3y)3.11%
Cap/Sales(5y)3.16%
Profit Quality(3y)259%
Profit Quality(5y)225.8%
High Growth Momentum
Growth
EPS 1Y (TTM)26.5%
EPS 3Y-0.69%
EPS 5Y20.06%
EPS Q2Q%60.47%
EPS Next Y13.33%
EPS Next 2Y-0.74%
EPS Next 3Y4.2%
EPS Next 5Y10.53%
Revenue 1Y (TTM)4.39%
Revenue growth 3Y-1.26%
Revenue growth 5Y16.34%
Sales Q2Q%19.67%
Revenue Next Year11%
Revenue Next 2Y1.87%
Revenue Next 3Y2.99%
Revenue Next 5Y5.14%
EBIT growth 1Y95.08%
EBIT growth 3Y-25.72%
EBIT growth 5Y-3%
EBIT Next Year50.02%
EBIT Next 3Y13.86%
EBIT Next 5Y16.15%
FCF growth 1Y-56.9%
FCF growth 3Y17.03%
FCF growth 5Y31.03%
OCF growth 1Y-56.91%
OCF growth 3Y13.43%
OCF growth 5Y29.86%