Critical Survey: SolarEdge Technologies (NASDAQ:SEDG) versus Quantum Solar Power (OTCMKTS:QSPW)

Quantum Solar Power (OTCMKTS:QSPW) and SolarEdge Technologies (NASDAQ:SEDG) are both energy companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, dividends, institutional ownership, risk, valuation, earnings and analyst recommendations.

Valuation & Earnings

This table compares Quantum Solar Power and SolarEdge Technologies”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Quantum Solar Power	N/A	N/A	N/A	N/A	N/A
SolarEdge Technologies	$901.46 million	2.02	-$1.81 billion	($9.67)	-3.15

Quantum Solar Power has higher earnings, but lower revenue than SolarEdge Technologies.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Quantum Solar Power and SolarEdge Technologies, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Quantum Solar Power	0	0	0	0	0.00
SolarEdge Technologies	9	19	0	0	1.68

SolarEdge Technologies has a consensus target price of $24.45, indicating a potential downside of 19.69%. Given Quantum Solar Power’s higher probable upside, research analysts plainly believe Quantum Solar Power is more favorable than SolarEdge Technologies.

Profitability

This table compares Quantum Solar Power and SolarEdge Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Quantum Solar Power	N/A	N/A	N/A
SolarEdge Technologies	-53.65%	-77.21%	-17.55%

Insider & Institutional Ownership

95.1% of SolarEdge Technologies shares are held by institutional investors. 0.7% of SolarEdge Technologies shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

About Quantum Solar Power

Quantum Solar Power Corp., a development stage company, develops and commercializes solar power technology in Canada. It is involved in the research, development, and marketing of solar power generation devices utilizing its Next Generation Device technology for photovoltaic devices that do not use silicon or other rare earth elements. The company was formerly known as Quantum Ventures, Inc. and changed its name to Quantum Solar Power Corp. in June 2008. Quantum Solar Power Corp. was founded in 2004 and is based in Vancouver, Canada.

About SolarEdge Technologies

SolarEdge Technologies, Inc., together with its subsidiaries, designs, develops, manufactures, and sells direct current (DC) optimized inverter systems for solar photovoltaic (PV) installations in the United States, Germany, the Netherlands, Italy, rest of Europe, and internationally. It operates in two segments, Solar and Energy Storage. The Solar segment offers power optimizers, inverters, batteries, storage solutions, electric vehicle chargers, smart tracking solutions, and smart energy management software products; Monitoring platform, a cloud-based monitoring platform, which collects power, voltage, current, and system data sent from inverters and power optimizers; and MySolarEdge app, that enables system owners to track their real-time system production and household energy consumption. This segment also provides Designer platform, an web-based tool that helps solar professionals to plan, build, and validate residential and commercial systems; Mapper application for registering the physical layout of new PV sites installed with DC optimized inverter systems; SetApp application that activates and configurate inverters; and grid services. The Energy Storage segment provides lithium-ion cells and containerized battery systems (BESS) solutions for commercial, industrial, and utility markets; modules and racks; purpose-built components and solutions, and hardware and software tools; and pre and post sales engineering support for designing, building, and managing battery and system solutions. The company offers e-mobility products, automated machines, and UPS products; and pre-sales support, ongoing trainings, and technical support and after installation services. It sells its products through solar installers and distributors, electrical equipment wholesalers, and PV module manufacturers, as well as engineering, procurement, and construction firms. SolarEdge Technologies, Inc. was incorporated in 2006 and is headquartered in Herzliya, Israel.