RBC Capital Markets downgraded ENPH to “sector perform” with a $100 price target
Enphase Energy Inc (NASDAQ:ENPH) is slumping in pre-market trading, last seen 1.8% lower after a bear note from RBC Capital Markets. Citing a “slower pace of growth next year not reflected in current consensus estimates,” the analyst in coverage downgraded the manufacturer of solar micro-inverters and electric vehicle (EV) charging station to “sector perform” from “outperform” and lowered its price target to $100 from $125.
Heading into today, analyst sentiment was looking upbeat despite Enphase Energy stock’s negative price action, down 23.2% since the start of 2024. Coming into today, 20 of 36 analysts in coverage rated the security a “buy” or better, which means shares could see more pressure, should this optimism begin to unwind.
It’s also worth noting that while short interest is down 5% over the last month, the 13.85 million shares sold short still make up 10.6% of ENPH’s total available float. It would take nearly a week for these traders to buy back their bearish bets.
Taking a look at Enphase Energy stock’s technical setup, it’s down 10.2% in October thanks in no small part to seven losses in the last 11 sessions. Shares bounced off the $100 level yesterday, but are at risk of breaching the area again today. What’s more, every notable short- and long-term moving average is staring down at ENPH.