Shares of SolarEdge Technologies, Inc
.
SEDG
decline 16% to reach $218.57 on May 3, reflecting investors’ skepticism following its first-quarter results.
It reported first-quarter 2021 adjusted earnings of 98 cents per share, which missed the Zacks Consensus Estimate of $1.01 by 3%. The bottom-line figure, however, improved 3% from 95 cents reported in the prior-year quarter.
Barring one-time adjustments, the company posted GAAP earnings of 55 cents per share compared with 81 cents in the year-ago quarter.
Revenues
SolarEdge’s revenues of $405.5 million in the first quarter surpassed the Zacks Consensus Estimate of $396 million by 2.4%. The top line, however, declined 6% from the year-ago quarter’s $431.2 million.
Operational Highlights
SolarEdge shipped a total of 1.69 Gigawatts (AC) of inverters in the reported quarter.
Gross profit totaled $140 million in the first quarter of 2021.
Total operating expenses rose 32.8% year over year to $95.9 million. The uptick in expenses can be attributed to higher research and development, sales and marketing, and general and administrative expenses.
Operating income during the quarter totaled $44.1 million, down from $67.8 million in the year-ago quarter.
SolarEdge Technologies, Inc. Price, Consensus and EPS Surprise
SolarEdge Technologies, Inc. price-consensus-eps-surprise-chart
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SolarEdge Technologies, Inc. Quote
Financial Performance
SolarEdge had $685.1 million of cash and cash equivalents as of Mar 31, 2021, down from $827.1 million at the end of 2020.
Cash flow from operating activities amounted to $24.1 million at the end of first-quarter 2021, down from $107.7 million a year ago.
Long-term liabilities were $966.9 million at the end of the first quarter compared with $915.2 million as of Dec 31, 2020.
Guidance
For second-quarter 2021, SolarEdge expects to generate revenues of $445-$465 million. The Zacks Consensus Estimate for the same is pegged at $458.2 million, which lies above the midpoint of the company’s guided range.
Additionally, revenues from solar products during the second quarter are projected in the range of $405-$420 million.
While the company’s GAAP gross margins are expected to be 32-34%, gross margins from the sale of solar products are anticipated to be 36-38%.
Zacks Rank
SolarEdge currently carries a Zacks Rank #3 (Hold). You can see
the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here
.
Recent Solar Releases
Enphase Energy, Inc
.
ENPH
reported first-quarter 2021 adjusted earnings of 56 cents per share, which surpassed the Zacks Consensus Estimate of 41 cents by 36.6%.
First Solar Inc
.
FSLR
reported first-quarter 2021 adjusted earnings of $1.96 per share, which surpassed the Zacks Consensus Estimate of $1.00 by 96%.
Sunpower Corp
.
SPWR
reported first-quarter 2021 adjusted earnings of 5 cents per share, which surpassed the Zacks Consensus Estimate of break-even.
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