Key Takeaways
- JPMorgan increased its SEDG price objective from $37 to $44 while maintaining a “neutral” stance, suggesting approximately 24% potential upside from the previous close
- RBC raised its price objective from $24 to $30, though this new figure still represents about 17% downside potential
- SEDG finished trading at $35.52, declining $1.24 during the session, with its 52-week trading range spanning $28.21 to $81.25
- In its latest quarterly report, SolarEdge surpassed expectations with $0.05 earnings per share versus forecasted $0.02 loss, while revenue reached $346.2M against $341.1M estimates
- Wall Street consensus stands at “Reduce” with an approximate $39 average price objective, reflecting 2 Buy, 10 Hold, and 5 Sell recommendations
Two financial institutions raised their price objectives for SolarEdge (SEDG) on Friday, with JPMorgan and Royal Bank of Canada both issuing updates, although the broader Wall Street sentiment continues to reflect reservation.
SolarEdge Technologies, Inc., SEDG
JPMorgan increased its price objective from $37 to $44 while maintaining its “neutral” stance. This updated figure suggests approximately 24% upside potential from the stock’s most recent closing price of $35.52.
Royal Bank of Canada similarly adjusted its target upward, moving from $24 to $30. However, RBC’s revised objective still represents roughly 17% downside from the previous closing price, with the institution retaining its “sector perform” designation.
These target adjustments followed SolarEdge’s 2026 Investor Day presentation, during which management outlined a long-range revenue objective of approximately $2.4 billion by 2029. The company also revealed its strategic expansion into power infrastructure solutions for artificial intelligence and hyperscale data center applications.
This strategic shift encompasses a collaborative 800V DC protection initiative with NVIDIA, along with an enhanced partnership with Infineon focused on solid-state circuit breaker technology. The data center market represents uncharted territory for SolarEdge.
Interestingly, shares declined following the Investor Day event. Market participants appeared to concentrate on the company’s near-term revenue projection of approximately $1.3 billion for fiscal 2026, which aligned with existing forecasts and failed to generate enthusiasm.
Quarterly Results Exceed Forecasts, Profitability Elusive
SolarEdge released its latest quarterly results on August 5. The firm delivered $0.05 earnings per share, surpassing the consensus forecast of a $0.02 loss. Revenue totaled $346.2 million, slightly exceeding analyst expectations of $341.1 million.
Top-line growth registered 19.6% on a year-over-year basis. During the comparable period last year, SolarEdge recorded a loss of $0.81 per share. While this represents genuine progress, the company continues to operate at a loss.
Net margin remains at negative 20.29%, while return on equity stands at negative 29.17%. For the complete fiscal year, Wall Street analysts project a loss of $1.23 per share.
Wall Street Maintains Reserved Outlook
Examining the broader analyst landscape reveals a decidedly mixed perspective. Goldman Sachs reduced its price objective from $34 to $30 in August while maintaining a “sell” recommendation. Susquehanna lowered its target from $56 to $38 with a “neutral” designation.
Glj Research maintains a “sell” rating on SEDG as well. Conversely, UBS upgraded the stock from “neutral” to “buy” in late August, increasing its price objective from $36 to $42.
Weiss Ratings adjusted SEDG from “sell (e+)” to “sell (d-),” representing a technical upgrade while remaining within sell territory.
The Wall Street consensus price objective currently stands at approximately $39.43, based on 2 Buy recommendations, 10 Hold ratings, and 5 Sell calls. Institutional investors and hedge funds control 95.1% of outstanding shares.
The equity has recorded a 52-week peak of $81.25 and a 52-week trough of $28.21. Its 50-day moving average registers at $40.18, while the 200-day moving average sits at $46.40.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
