Revenue Performance - Revenues for Q3 2024 were $260.9 million, down 2% from the prior quarter and down 64% from the same quarter last year[3] - Solar segment revenues were $247.5 million, up 3% from the prior quarter but down 63% from the same quarter last year[3] - Revenues for the three months ended September 30, 2024, were $260.9 million, a significant decrease compared to $725.3 million in the same period in 2023[21] - Q4 2024 revenue guidance is between $180 million and $200 million, with solar segment revenues expected to be between $170 million and $190 million[11] Gross Margin and Profitability - GAAP gross margin was negative 269.2%, compared to negative 4.1% in the prior quarter and 19.7% in the same quarter last year[3] - Non-GAAP gross margin was negative 265.4%, compared to 0.2% in the prior quarter and 20.8% in the same quarter last year[4] - Gross loss for the three months ended September 30, 2024, was $702.3 million, compared to a gross profit of $142.8 million in the same period in 2023[21] - Gross profit (GAAP) for December 31, 2021, was $(702,326) thousand, with a gross margin (GAAP) of (269.2)%[32] - Non-GAAP gross profit for December 31, 2021, was $(691,809) thousand, with a non-GAAP gross margin of (265.4)%[33] Operating Loss and Expenses - GAAP operating loss was $1.09 billion, compared to a loss of $160.2 million in the prior quarter and $16.7 million in the same quarter last year[5] - Non-GAAP operating loss was $808.1 million, compared to a loss of $114.3 million in the prior quarter and income of $23.1 million in the same quarter last year[6] - Operating income (loss) (GAAP) for September 30, 2024 was $(1,085,266) thousand, compared to $(160,182) thousand for June 30, 2024[37] - Operating expenses (GAAP) for December 31, 2021, were $382,940 thousand[35] - Non-GAAP operating expenses for December 31, 2021, were $116,282 thousand[36] Net Loss and Earnings Per Share - GAAP net loss was $1.21 billion, compared to a loss of $130.8 million in the prior quarter and $61.2 million in the same quarter last year[7] - Non-GAAP net loss was $874.3 million, compared to a loss of $101.2 million in the prior quarter and $31.0 million in the same quarter last year[7] - Net loss for the three months ended September 30, 2024, was $1.205 billion, compared to a net loss of $61.2 million in the same period in 2023[21] - Net income (loss) (GAAP) for September 30, 2024 was $(1,205,321) thousand, a significant decline compared to $(130,818) thousand in June 2024 and $(157,311) thousand in March 2024[39] - Net basic earnings (loss) per share (GAAP) for September 30, 2024 was $(21.13), compared to $(2.31) in June 2024 and $(2.75) in March 2024[41] - Net basic earnings (loss) per share (Non-GAAP) for September 30, 2024 was $(15.33), compared to $(1.79) in June 2024 and $(1.90) in March 2024[41] - Net diluted earnings (loss) per share (GAAP) for September 30, 2024 was $(21.13), compared to $(2.31) for June 30, 2024 and $(2.75) for March 31, 2024[43] - Net diluted earnings (loss) per share (Non-GAAP) for September 30, 2024 was $(15.33), compared to $(1.79) for June 30, 2024 and $(1.90) for March 31, 2024[44] Inventory and Asset Management - Total current assets decreased to $2.118 billion as of September 30, 2024, from $3.304 billion as of December 31, 2023[22] - Inventories, net decreased to $798.4 million as of September 30, 2024, from $1.443 billion as of December 31, 2023[22] - Provision to write down inventories to net realizable value was $639 million for the nine months ended September 30, 2024, compared to $20.7 million in the same period in 2023[24] - Loss on impairment and disposal of property, plant, and equipment was $206.6 million for the nine months ended September 30, 2024[24] - Assets impairment and disposal by abandonment resulted in a loss of $(232,102) thousand for December 31, 2021[36] - Assets impairment and disposal by abandonment for September 30, 2024 was $232,102 thousand, compared to $1,732 thousand for March 31, 2024[37] Cash Flow and Financial Position - Net cash used in operating activities for the nine months ended September 30, 2024, was $325.7 million, compared to $40.2 million in the same period in 2023[24] - Net cash provided by investing activities for the nine months ended September 30, 2024, was $318.8 million, compared to a net cash used of $188.2 million in the same period in 2023[24] - Cash and cash equivalents decreased to $303.9 million as of September 30, 2024, from $338.5 million as of December 31, 2023[24] - Notes due 2025 for the year ended December 31, 2023 was $2,276,818[45] Stock-Based Compensation and Other Adjustments - Stock-based compensation for December 31, 2021, was $6,039 thousand, contributing 2.3% to the gross margin[33] - Stock-based compensation for September 30, 2024 was $36,642 thousand, compared to $38,571 thousand for June 30, 2024[37] - Stock-based compensation increased to $36,642 thousand in September 2024 from $38,571 thousand in June 2024 and $37,606 thousand in March 2024[39] - Stock-based compensation for September 30, 2024 was $0.64 per share, compared to $0.69 for June 30, 2024 and $0.66 for March 31, 2024[43] - Stock-based compensation for the year ended December 31, 2023 was $725,859, compared to $963,373 for December 31, 2022 and $773,636 for December 31, 2021[45] - Restructuring charges for December 31, 2021, were $1,216 thousand, contributing 0.0% to the gross margin[34] - Restructuring charges and assets impairment totaled $2,515 thousand in September 2024, down from $4,885 thousand in June 2024 and $9,765 thousand in March 2024[39] - Amortization and depreciation of acquired assets for December 31, 2021, were $2,034 thousand, contributing 1.0% to the gross margin[34] - Non-cash interest expense for September 30, 2024 was $3,785 thousand, compared to $3,636 thousand for June 30, 2024[37] - Non-cash interest expense was $3,785 thousand in September 2024, slightly up from $3,636 thousand in June 2024 and $3,536 thousand in March 2024[39] Tax and Other Financial Items - Tax benefits (income taxes) (GAAP) for September 30, 2024 was $(121,108) thousand, compared to $12,245 thousand for June 30, 2024[37] - Income tax adjustment was $44,602 thousand in September 2024, a significant increase from $(357) thousand in June 2024 and $(5,062) thousand in March 2024[39] - Financial income (expense), net (GAAP) for September 30, 2024 was $5,558 thousand, compared to $(865) thousand for June 30, 2024[37] - Other income (loss) (GAAP) for September 30, 2024 was $(3,928) thousand, compared to $18,551 thousand for June 30, 2024[37] - Equity method investments loss (GAAP) for September 30, 2024 was $(577) thousand, compared to $(567) thousand for June 30, 2024[37] - Equity method investments loss (Non-GAAP) for September 30, 2024 was $—, compared to $— for June 30, 2024[38] - Loss from impairment of private held companies was $5,000 thousand in September 2024, with no comparable figures in previous quarters[39] - Currency fluctuation related to lease standard resulted in a loss of $966 thousand in September 2024, compared to a gain of $(1,523) thousand in June 2024 and $(1,276) thousand in March 2024[39] Share Count and Earnings Per Share Calculations - Number of shares used in computing net diluted earnings (loss) per share (GAAP) for September 30, 2024 was 57,029,983, compared to 56,687,006 for June 30, 2024 and 57,140,126 for March 31, 2024[44] - Number of shares used in computing net diluted earnings (loss) per share (Non-GAAP) for September 30, 2024 was 57,029,983, compared to 56,687,006 for June 30, 2024 and 57,140,126 for March 31, 2024[45] Discontinued Operations and Other Items - Discontinued operations contributed $36,648 thousand to the gross profit for December 31, 2021[32] - Revenues from the finance component for December 31, 2021, were $(250) thousand, contributing (0.1)% to the gross margin[32] - Revenues from finance component for September 30, 2024 were $(250) thousand, compared to $(246) thousand for June 30, 2024[37] - Revenues from finance component remained relatively stable, with $(250) thousand in September 2024 compared to $(246) thousand in June 2024 and $(234) thousand in March 2024[39]

I am mostly a trader engaging in both long and short bets intraday and occasionally over the short- to medium term. My historical focus has been mostly on tech stocks but over the past couple of years I have also started broad coverage of the offshore drilling and supply industry as well as the shipping industry in general (tankers, containers, drybulk). In addition, I am having a close eye on the still nascent fuel cell industry.I am located in Germany and have worked quite some time as an auditor for Pric ...

SolarEdge Technologies Inc SEDG shares have lost more than 80% year to date.Estimates for the company have been lowered following the release of Enphase Energy Inc's ENPH third-quarter results, according to JPMorgan.Analyst Mark Strouse maintained an Overweight rating for SolarEdge Technologies while lowering the price target from $35 to $29.The SolarEdge Technologies Thesis: Enphase Energy's quarterly results reflect weaker-than-expected demand in Europe for solar and storage, Strouse said in the note.Chec ...

Solar Industry Overview - Solar power is projected to account for over 99% of all power generation in the very long-term, according to Elon Musk [1] - The U S solar sector is experiencing optimism, with companies like Enphase Energy and SolarEdge Technologies anticipating double-digit growth by 2025 [3] Tariff Impact on Solar Manufacturers - The U S Department of Commerce is set to decide on potential tariffs on solar panels from Malaysia, Vietnam, Thailand, and Cambodia, which could significantly impact the solar industry landscape [2] - Tariffs could either protect American jobs or increase costs for solar developers, creating a challenging market environment [2] U S Solar Market Growth - Lower interest rates and stable utility pricing are driving a resurgence in U S solar demand, as highlighted by JPMorgan analyst Mark Strouse [3] - Enphase Energy and SolarEdge Technologies are well-positioned to benefit from tax incentives, including a 36% domestic content ITC adder, which could enhance their profit margins [4] Global Solar Market Divergence - While the U S solar market shows promise, Europe is facing declining demand, particularly in the Netherlands, where policy uncertainty has led to a 70%-80% year-over-year drop [6] - The U S solar market stands out as a beacon of hope amid global challenges, with investors closely monitoring solar stocks and ETFs like the Invesco Solar ETF TAN [7]

SolarEdge's (NASDAQ: SEDG ) revenue appears to have at least stabilized. Meanwhile, the firm should benefit from multiple, positive catalysts in the medium-to-long term, including the normalization of inventories in the U.S., rebounding demand in Europe, lower interest rates, strong demand for solar energy Analyst's Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this articl ...

Core Viewpoint - Jefferies downgraded SolarEdge Technologies stock due to tough competition in the solar power industry, indicating significant headwinds in Europe and challenges in the U.S. [1] Group 1: Stock Performance - SolarEdge shares fell in early trading after the downgrade but rebounded later in the session [1] - The stock was downgraded from "hold" to "underperform," with a new price target set at $17, suggesting a potential downside of approximately 32% from the intraday price of $22.37 [1] Group 2: Competitive Landscape - Analysts highlighted persistent high inventory levels and competition from Chinese firms as major challenges in Europe [1] - The U.S. market also presents stiff competition, contributing to the analysts' negative outlook [1] Group 3: Company Challenges - SolarEdge is experiencing a slowdown in demand, compounded by a recent bankruptcy filing from one of its customers, which has resulted in a multi-million dollar debt that will not be paid [1] - Analysts expressed disappointment in not finding any near-term catalysts during the RE+ clean energy event that could positively impact the company's trajectory [1] Group 4: Year-to-Date Performance - Despite slight gains on the day of the report, SolarEdge shares have lost over 75% of their value since the beginning of the year [1]

Investors don't think a leadership transition is enough to help SolarEdge. To say investors in solar energy company SolarEdge Technologies (SEDG -1.32%) have had a bad year is an understatement. The stock's sharp decline continued this week. As of Friday midday trading, SolarEdge shares were down by over 15% just this week, according to data provided by S&P Global Market Intelligence. That drop has contributed to a massive 74% decline SolarEdge shares this year. That more than erased all the prior gains the ...

The Property of F i I th The Property. New pr l ri H 0 - 1 romasct Note: I have covered SolarEdge Technologies or "SolarEdge" (NASDAQ:SEDG) previously, so investors should view this as an update to my earlier article on the company. SolarEdge Technologies Q2 Earnings & Q3 Guidance: Earlier this month, SolarEdge Technologies reported Q2 2024 results largely in line with the disclosures made in conjunction with the company's $3,000 million convertible notes offering in June: | --- | --- | --- | --- | --- | -- ...

Company Overview - SolarEdge Technologies Inc (NASDAQ:SEDG) is experiencing a decline in stock price, down 5.8% to $27.17 after CEO Zvi Lando announced his resignation, with Ronen Faier, the former CFO, stepping in as interim CEO [1] - The stock has rebounded from a low of $19.81 on August 8, which was its lowest level since summer 2016, and has gained 14.9% on Friday, but is still down 57.3% over the last six months and 83.1% over the past 12 months [2] Options Trading Activity - Options traders are showing increased activity, with 6,180 calls and 3,069 puts traded today, which is four times the average intraday volume, indicating heightened interest [3] - The 10-day put/call volume ratio for SolarEdge ranks higher than 96% of readings from the last 12 months, suggesting a predominantly bullish sentiment among options traders [4]

Core Viewpoint - SolarEdge Technologies is positioned to benefit from government support and a growing demand for solar energy, despite facing supply chain disruptions and competition, leading to a recommendation of Strong Buy [2][10]. Government Support - The US government has introduced subsidies favoring domestic solar panel production, providing SolarEdge a competitive edge over Chinese imports, which dominate 80% of the global market [3][4]. - Tariff rates have been implemented to protect local manufacturers, contributing to SolarEdge's positive revenue performance in Q2 2024 despite reduced shipments [4]. Financial Performance - SolarEdge reported a revenue increase from $204.2 million in Q1 2024 to $265.2 million in Q2 2024, indicating recovery from previous operational income losses [6][10]. - The non-GAAP net profit margin improved from -6.5% in Q1 2024 to 0.2% in Q2 2024, reflecting a positive shift in earnings [10]. Market Demand and Growth - The solar energy sector is expected to grow significantly, with forecasts indicating a rise in solar power generation from 163 billion KWh in 2023 to 286 billion KWh by 2025, driven by increasing electrification and decarbonization commitments [7][8]. - Currently, only 4% of US power generation comes from solar, suggesting substantial growth potential as clean energy becomes more prioritized [8]. Competitive Landscape - SolarEdge holds a 40% market share in the global inverter market, closely competing with Enphase, which has a 48% share [9]. - SolarEdge's inverters are noted for their high efficiency (99.25%) compared to Enphase's IQ 7 series (97%), and they offer compatibility with multiple high-voltage batteries, enhancing their appeal [9]. Future Projections - The PS ratio for SolarEdge is expected to rise from slightly below 1x to between 1.7x and 2.5x, aligning more closely with competitors as the solar sector grows [10]. - With a consensus revenue forecast of around $1.1 billion for the financial year, the target price range is projected to be between $31 and $45, indicating over 20% upside potential [10].