Enphase Energy’s stock jumped 12% in after-hours trading Tuesday despite a mixed earnings report for the fourth quarter of 2023. While profits and revenue fell sharply year-over-year, investors appeared relieved by the results, which exceeded analyst expectations and eased broader concerns about the struggling alternative energy sector.
Key Points:
- Earnings: $21 million ($0.15 per share) vs. $154 million ($1.06 per share) year-ago quarter. Adjusted EPS: $0.54.
- Revenue: $302.6 million, down 58% from $724.6 million year-ago quarter.
- Analyst Expectations: Adjusted EPS: $0.55, Revenue: $328 million.
- Stock Performance: Up 12% in extended trading, 2.8% in regular trading. Down 55% in past year, compared to S&P 500 gain of 20%.
Investor Reaction:
Analysts downplayed the “mixed” picture, highlighting the positive aspects of the report. Truist Securities analyst Jordan Levy called it a “good-enough” release that should boost investor confidence in Enphase’s future trajectory.
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Overall:
Enphase’s earnings report provided some much-needed relief for the alternative energy sector, with investors focusing on the positive aspects despite the overall decline in profits and revenue. This positive sentiment sent the company’s stock soaring in after-hours trading.
