Shares of Enphase Energy Inc. ENPH jumped 5% Monday after analysts at Raymond James raised their rating on the stock to the equivalent of buy, saying they are “turning positive” on the energy technology company for the first time in a decade. “This upgrade is partly opportunistic and partly thematic,” the analysts said, as Enphase shares are down 31% year-to-date, and as Europe has emerged as Enphase’s “leading growth driver in 2022, and we expect even more of that in the years ahead.” However, Enphase’s corporate costs, especially stock-based compensation, “have escalated,” and “it remains to be seen how margins will evolve as the sales mix gets a larger weighting from newer products” such as batteries and EV chargers. Shares of Enphase have gained 4% in the last 12 months, contrasting with losses of around 12% for the S&P 500 index. SPX
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