Enphase Energy Valuation
| ENPH Stock | USD 110.51 4.03 3.78% |
At this time, the firm appears to be fairly valued. Enphase Energy shows a prevailing Real Value of $111.72 per share. The current price of the firm is $110.51. Our model computes the value of Enphase Energy from reviewing the firm fundamentals such as Current Valuation of 14.08 B, profit margin of 0.19 %, and Shares Outstanding of 135.99 M as well as analyzing its technical indicators and probability of bankruptcy. In general, most investors advise purchasing undervalued instruments and trading away overvalued instruments since, at some point, asset prices and their ongoing real values will submerge. Key fundamental drivers impacting Enphase Energy's valuation include:
Price Book 16.1838 | Enterprise Value 14.1 B | Enterprise Value Ebitda 26.0149 | Price Sales 6.9467 | Forward PE 38.9105 |
Fairly Valued
Today
Please note that Enphase Energy's price fluctuation is very steady at this time. Calculation of the real value of Enphase Energy is based on 3 months time horizon. Increasing Enphase Energy's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Enphase Energy is useful when determining the fair value of the Enphase stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Enphase Energy. Since Enphase Energy is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Enphase Stock. However, Enphase Energy's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 110.51 | Real 111.72 | Target 115.32 | Hype 110.54 |
The real value of Enphase Stock, also known as its intrinsic value, is the underlying worth of Enphase Energy Company, which is reflected in its stock price. It is based on Enphase Energy's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Enphase Energy's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Enphase Energy's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Enphase Energy helps investors to forecast how Enphase stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Enphase Energy more accurately as focusing exclusively on Enphase Energy's fundamentals will not take into account other important factors: Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Enphase Energy's intrinsic value based on its ongoing forecasts of Enphase Energy's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Enphase Energy's closest peers. When choosing an evaluation method for Enphase Energy, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.
Enphase Energy Investments |
|
Enphase Valuation Trend
Knowing Enphase Energy's actual value is paramount for traders to make sound investment determinations. Enphase Energy's real value is not only important for the investor to make better decisions but also for a more accurate overall view of Enphase Energy's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Enphase Energy's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.
Enphase Market Cap
Enphase Energy is one of the top stocks in market capitalization category among related companies. Market capitalization of Information Technology industry is currently estimated at about 17.2 Billion. Enphase Energy totals roughly 14.48 Billion in market capitalization claiming about 84% of equities under Information Technology industry.Enphase Energy Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining Enphase Energy's current stock value. Our valuation model uses many indicators to compare Enphase Energy value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Enphase Energy competition to find correlations between indicators driving Enphase Energy's intrinsic value. More Info.Enphase Energy is one of the top stocks in price to earning category among related companies. It is one of the top stocks in price to book category among related companies fabricating about 0.10 of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for Enphase Energy is roughly 9.56 . The current Price To Book Ratio is estimated to decrease to 15.29. Comparative valuation analysis is a catch-all model that can be used if you cannot value Enphase Energy by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Enphase Energy's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Enphase Energy's earnings, one of the primary drivers of an investment's value.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Enphase Energy's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Enphase Energy and how it compares across the competition.
About Enphase Energy Valuation
The stock valuation mechanism determines the current worth of Enphase Energy on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Enphase Energy. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Enphase Energy based exclusively on its fundamental and basic technical indicators. By analyzing Enphase Energy's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Enphase Energy's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Enphase Energy. We calculate exposure to Enphase Energy's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Enphase Energy's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 1.1 B | 1.1 B | |
| Pretax Profit Margin | 0.22 | 0.24 | |
| Operating Profit Margin | 0.19 | 0.20 | |
| Net Profit Margin | 0.19 | 0.20 | |
| Gross Profit Margin | 0.46 | 0.49 |
8 Steps to conduct Enphase Energy's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Enphase Energy's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Enphase Energy's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Enphase Energy's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Enphase Energy's revenue streams: Identify Enphase Energy's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Enphase Energy's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Enphase Energy's growth potential: Evaluate Enphase Energy's management, business model, and growth potential.
- Determine Enphase Energy's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Enphase Energy's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Enphase Energy Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Enphase Energy does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 143.3 M | |
| Quarterly Earnings Growth Y O Y | -0.874 | |
| Forward Price Earnings | 38.9105 |
Enphase Energy Current Valuation Indicators
Valuation refers to the process of determining the present value of Enphase Energy and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Enphase we look at many different elements of the entity such as Enphase's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Enphase Energy's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Enphase Energy's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Enphase Energy, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Enphase Energy's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Enphase Energy's worth.When determining whether Enphase Energy offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Enphase Energy's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Enphase Energy Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Enphase Energy Stock: Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Enphase Energy. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in american community survey. For more detail on how to invest in Enphase Stock please use our How to Invest in Enphase Energy guide.You can also try the Correlation Analysis module to reduce portfolio risk simply by holding instruments which are not perfectly correlated.
Complementary Tools for Enphase Stock analysis
When running Enphase Energy's price analysis, check to measure Enphase Energy's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Enphase Energy is operating at the current time. Most of Enphase Energy's value examination focuses on studying past and present price action to predict the probability of Enphase Energy's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Enphase Energy's price. Additionally, you may evaluate how the addition of Enphase Energy to your portfolios can decrease your overall portfolio volatility.
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Stocks Directory Find actively traded stocks across global markets |
Is Enphase Energy's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Enphase Energy. If investors know Enphase will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Enphase Energy listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.87) | Earnings Share 3.08 | Revenue Per Share 16.798 | Quarterly Revenue Growth (0.58) | Return On Assets 0.0892 |
The market value of Enphase Energy is measured differently than its book value, which is the value of Enphase that is recorded on the company's balance sheet. Investors also form their own opinion of Enphase Energy's value that differs from its market value or its book value, called intrinsic value, which is Enphase Energy's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Enphase Energy's market value can be influenced by many factors that don't directly affect Enphase Energy's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Enphase Energy's value and its price as these two are different measures arrived at by different means. Investors typically determine if Enphase Energy is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Enphase Energy's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.