SolarEdge Technologies (NASDAQ:SEDG) Announces Quarterly Earnings Results

SolarEdge Technologies (NASDAQ:SEDG) posted its earnings results on Wednesday. The semiconductor company reported ($0.14) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.19) by $0.05, FiscalAI reports. SolarEdge Technologies had a negative return on equity of 77.21% and a negative net margin of 53.65%.The firm had revenue of $333.80 million for the quarter, compared to the consensus estimate of $330.33 million. During the same quarter in the prior year, the business posted ($3.52) earnings per share. The business’s quarterly revenue was up 70.9% on a year-over-year basis.

Here are the key takeaways from SolarEdge Technologies’ conference call:

• SolarEdge delivered a financial turnaround in 2025 with Q4 non-GAAP revenue of $334M (up 70% YoY), Q4 gross margin of 23.3%, $43M free cash flow in Q4 and $77M free cash flow for the year versus negative $421M in 2024.
• Q1 2026 guidance of $290M–$320M revenue and 20%–24% non?GAAP gross margin implies continued year?over?year growth and margin expansion, and management reiterated a target of reaching EBIT profitability later in 2026 if trends hold.
• Product and go?to?market moves include the upcoming launch of the Nexis platform (March 19 in Germany), a global Single?SKU rollout and expanded U.S. manufacturing, with management expecting high?volume Nexis shipments in H2 2026 and transition largely complete by early 2027.
• Management is pursuing a large AI data?center opportunity with a solid?state transformer (aiming to convert 34.5 kV to 800 V DC at >99% efficiency) and has engaged potential partners and POCs, but does not expect material revenue before 2027 and industry ramp in 2028, so timing and scale remain uncertain.
• Near?term headwinds and one?offs include a ~$60M one?time non?cash finance expense related to closing the Kokam battery unit, a GAAP net loss (~$8M) on the e?Mobility sale, currency (strong Israeli shekel) and tariff pressures, and planned higher CapEx for SST development that could pressure margins and cash flow in the short term.

SolarEdge Technologies Price Performance

NASDAQ SEDG traded down $2.49 during trading on Wednesday, hitting $34.64. 2,473,322 shares of the company’s stock were exchanged, compared to its average volume of 2,778,486. The company has a market cap of $2.07 billion, a PE ratio of -3.58 and a beta of 1.66. The company has a current ratio of 2.28, a quick ratio of 1.60 and a debt-to-equity ratio of 0.78. The stock’s 50 day moving average price is $32.46 and its two-hundred day moving average price is $33.64. SolarEdge Technologies has a fifty-two week low of $11.00 and a fifty-two week high of $48.60.

Institutional Investors Weigh In On SolarEdge Technologies

A number of institutional investors have recently added to or reduced their stakes in the stock. Engineers Gate Manager LP lifted its position in SolarEdge Technologies by 44.7% during the 4th quarter. Engineers Gate Manager LP now owns 142,176 shares of the semiconductor company’s stock worth $4,102,000 after acquiring an additional 43,925 shares during the period. Banco Bilbao Vizcaya Argentaria S.A. raised its holdings in shares of SolarEdge Technologies by 3.0% in the 4th quarter. Banco Bilbao Vizcaya Argentaria S.A. now owns 37,768 shares of the semiconductor company’s stock worth $1,097,000 after purchasing an additional 1,104 shares during the period. Altshuler Shaham Ltd acquired a new stake in SolarEdge Technologies in the fourth quarter valued at approximately $36,000. Guggenheim Capital LLC lifted its stake in shares of SolarEdge Technologies by 9.4% in the fourth quarter. Guggenheim Capital LLC now owns 48,491 shares of the semiconductor company’s stock worth $1,399,000 after acquiring an additional 4,184 shares in the last quarter. Finally, AQR Capital Management LLC grew its position in shares of SolarEdge Technologies by 74.2% in the 4th quarter. AQR Capital Management LLC now owns 29,916 shares of the semiconductor company’s stock worth $863,000 after acquiring an additional 12,741 shares in the last quarter. Institutional investors own 95.10% of the company’s stock.

Wall Street Analysts Forecast Growth

SEDG has been the subject of several research analyst reports. Wells Fargo & Company dropped their price objective on SolarEdge Technologies from $42.00 to $33.00 and set an “equal weight” rating for the company in a research note on Friday, December 19th. Royal Bank Of Canada boosted their price target on SolarEdge Technologies from $25.00 to $34.00 and gave the stock a “sector perform” rating in a research note on Thursday, November 6th. Weiss Ratings restated a “sell (d-)” rating on shares of SolarEdge Technologies in a research note on Monday, December 29th. Barclays lifted their target price on SolarEdge Technologies from $36.00 to $39.00 and gave the stock an “equal weight” rating in a report on Thursday, January 15th. Finally, BMO Capital Markets upped their price objective on shares of SolarEdge Technologies from $19.00 to $25.00 and gave the company an “underperform” rating in a research note on Thursday, November 6th. One analyst has rated the stock with a Buy rating, sixteen have issued a Hold rating and eight have issued a Sell rating to the stock. According to data from MarketBeat, the stock has an average rating of “Reduce” and an average price target of $25.45.

About SolarEdge Technologies

SolarEdge Technologies (NASDAQ: SEDG) is a global provider of solar energy solutions focused on optimizing photovoltaic (PV) power generation. The company’s core offerings include power optimizers, inverters and cloud-based monitoring platforms designed to maximize energy output and improve safety across residential, commercial and utility-scale installations. By coupling module-level electronics with centralized inverters, SolarEdge’s technology enables real-time performance monitoring and rapid fault detection to enhance system reliability.

In recent years, SolarEdge has expanded its product portfolio beyond solar PV to include energy storage systems, electric vehicle (EV) charging solutions and smart energy management tools.