Enphase Energy, Inc. (ENPH) Stock Analysis — Fair Value, Risk & Moat Rating
NGM · Technology · Solar
Is Enphase Energy, Inc. a safe investment right now?
Enphase Energy, Inc.'s Altman Z-Score of 2.15 places it in the gray zone. Our fair value estimate is $38.45 (Watch Zone). Moat rating: 3.7/5 stars.
Could Enphase Energy, Inc. go bankrupt? Altman Z-Score analysis
Z-Score of 2.15 places the company in the gray zone (1.8-3.0), warranting closer scrutiny.
- Below 1.8 — Distress Zone (high bankruptcy risk)
- 1.8 to 3.0 — Gray Zone (elevated uncertainty)
- Above 3.0 — Safe Zone (financially healthy)
What drives ENPH's Z-Score?
| Component | Formula | Value | Weight | Contribution |
|---|---|---|---|---|
| A · Working Capital / Total Assets | WC / TA | 0.3831 | 1.2 | 0.46 |
| B · Retained Earnings / Total Assets | RE / TA | -0.0581 | 1.4 | -0.08 |
| C · EBIT / Total Assets | EBIT / TA | 0.0596 | 3.3 | 0.2 |
| D · Market Cap / Total Liabilities | MCap / TL | 1.9234 | 0.6 | 1.15 |
| E · Revenue / Total Assets | Rev / TA | 0.4197 | 1.0 | 0.42 |
How has ENPH's financial health changed over time?
| Year | Z-Score | Zone |
|---|---|---|
| 2022 | 3.13 | Safe |
| 2023 | 3.05 | Safe |
| 2024 | 2.21 | Gray |
| 2025 | 2.15 | Gray |
Source: Calculated from ENPH's latest 10-K filing on SEC EDGAR.
What is Enphase Energy, Inc. actually worth?
How we calculated this
| Input | Value | Source |
|---|---|---|
| Predicted EPS (α) | $1.65 | Proprietary blend of reported actuals + analyst consensus, weighted by α |
| Last Year EPS | $1.29 | Annual report (SEC EDGAR) |
| Analyst Consensus EPS (This Year) | $2.19 | 28 analysts consensus |
| Trailing P/E | 27.4x | Current market pricing |
| Fair P/E (β discount) | 23.3x | Trailing PE adjusted by value discount factor β, hard-capped |
| Earnings Trend (γ) | Accelerating | Directional signal: predicted vs trailing EPS |
Wall Street Reference: Analyst consensus target price is $45.50 (28 analysts). This is shown for reference only and is not used in our valuation model.
Source: Earnings data from SEC EDGAR filings. Market data via Yahoo Finance.
Does Enphase Energy, Inc. have a durable competitive advantage?
Moat rating: 3.7/5.
What makes up ENPH's moat score?
ROIC Stability
ROIC variability over the past decade. Score: 4/5.
Gross Margin Trend
Gross margin trajectory over the past decade. Score: 4/5.
Switching Costs
Estimated customer lock-in based on margin level. Score: 3/5.
How stable is ENPH's return on invested capital?
| Year | ROIC | Trend |
|---|---|---|
| 2022 | 21.8% | — |
| 2023 | 22.9% | Rising |
| 2024 | 6.0% | Declining |
| 2025 | 9.1% | Rising |
Source: ROIC calculated from SEC EDGAR filings.
Is Enphase Energy, Inc.'s dividend safe?
Enphase Energy, Inc.'s key financial metrics
| Metric | Latest | 1Y Ago | 3Y Ago | Trend |
|---|---|---|---|---|
| Revenue | $1.5B | $1.3B | $2.3B | Declining |
| Net Income | $0.2B | $0.1B | $0.4B | Declining |
| Free Cash Flow | $0.1B | $0.5B | $0.7B | Declining |
| Gross Margin | 46.6% | 47.3% | 41.8% | Rising |
Recent events that affect our ENPH analysis
ENPH earnings report scheduled
Upcoming report. Consensus EPS estimate: $0.45. Revenue estimate: $282.4M. Our current Fair Value: $38.45 — a significant beat or miss could shift this estimate.
ENPH analyst consensus: 38% bullish (12 of 32 analysts)
4 Strong Buy, 8 Buy, 16 Hold, 2 Sell, 2 Strong Sell. Consensus target: $45.50 (28.7% upside). Compare with our independent Fair Value: $38.45.
ENPH filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ENPH filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
ENPH beat EPS estimates by 21.4%
Reported EPS: $0.71 vs estimate $0.58. Earnings strength supports our Fair Value of $38.45 (8.7% above current price).
ENPH filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ENPH filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ENPH beat EPS estimates by 96.2%
Reported EPS: $0.50 vs estimate $0.25. Earnings strength supports our Fair Value of $38.45 (8.7% above current price).
ENPH filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
ENPH filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ENPH beat EPS estimates by 28.8%
Reported EPS: $0.28 vs estimate $0.22. Earnings strength supports our Fair Value of $38.45 (8.7% above current price).
ENPH filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
ENPH filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ENPH filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ENPH filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ENPH missed EPS estimates by 6.0%
Reported EPS: $0.68 vs estimate $0.72. Our Fair Value of $38.45 may face downward pressure if the trend continues.
ENPH filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
ENPH filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
ENPH filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
ENPH beat EPS estimates by 24.7%
Reported EPS: $0.94 vs estimate $0.75. Earnings strength supports our Fair Value of $38.45 (8.7% above current price).
ENPH filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
Common questions about Enphase Energy, Inc.
What is Enphase Energy, Inc. stock price today?
Enphase Energy, Inc. (ENPH) stock price is $35.36 as of the latest market close, traded on the NASDAQ exchange.
What does Enphase Energy, Inc. do?
Enphase Energy, Inc., together with its subsidiaries, designs, develops, manufactures, and sells home energy solutions for the solar photovoltaic industry in the United States and internationally. It offers semiconductor-based microinverter that converts energy at the individual solar module level and combines with its proprietary networking and software technologies to provide energy monitoring and control. It also provides microinverter units and related accessories; IQ Battery and related accessories; IQ PowerPack 1500 and related accessories; IQ Combiner, IQ Gateway, and IQ Energy Router; cloud-based monitoring service; and electric vehicle charging solutions, as well as design, proposal, permitting, installation and solar appointment generation services, and Enphase Care services.
What is Enphase Energy, Inc. market cap?
Enphase Energy, Inc. has a market capitalization of $4.66B, classifying it as a mid-cap stock in the Technology sector.
What sector and industry is ENPH in?
Enphase Energy, Inc. operates in the Technology sector, specifically within the Solar industry. It trades on the NASDAQ under the ticker symbol ENPH.
Is ENPH stock overvalued or undervalued?
Based on our valuation model, Enphase Energy, Inc. trades 8.0% below our fair value estimate — potentially undervalued.
- FairValueLabs Fair Value: $38.45
- Current Price: $35.36
- Valuation Zone: Watch Zone
What is ENPH stock forecast and analyst target price?
Based on 28 Wall Street analysts, the consensus price target for Enphase Energy, Inc. is $45.50, implying upside of 28.7% from the current price.
- Analyst High Target: $85.00
- Analyst Low Target: $27.00
Note: Analyst targets are shown for reference and are not used in our valuation model.
Is Enphase Energy, Inc. revenue and earnings growing?
Here are the analyst consensus growth estimates for Enphase Energy, Inc.:
- Revenue growth (current year est.): -15.0%
- EPS growth (current year est.): -25.9%
- Revenue growth (next year est.): 9.5%
- EPS growth (next year est.): 22.6%
What are Enphase Energy, Inc.'s key financial metrics?
| Metric | Latest | Trend |
|---|---|---|
| Revenue | $1.5B | Declining |
| Net Income | $0.2B | Declining |
| Free Cash Flow | $0.1B | Declining |
| Gross Margin | 46.6% | Rising |
What is ENPH's P/E ratio?
The price-to-earnings ratio measures how much investors pay per dollar of earnings:
- Trailing P/E (last 12 months): 27.4x
- Forward P/E (next 12 months est.): 13.2x
- FairValueLabs Fair P/E: 23.3x
How volatile is ENPH stock?
Enphase Energy, Inc. has a beta of 1.38, meaning it is somewhat more volatile than the broader market. A beta above 1.0 indicates higher price swings relative to the S&P 500, while below 1.0 suggests more stability.
How much cash and debt does Enphase Energy, Inc. have?
Enphase Energy, Inc.'s balance sheet shows:
- Total Cash: $1.51B
- Total Debt: $1.24B
- Net Cash Position: $269.1M
A positive net cash position means the company holds more cash than debt, reducing financial risk.
What is Enphase Energy, Inc.'s free cash flow?
Enphase Energy, Inc. generated $37.6M in trailing twelve-month free cash flow (from $136.5M in operating cash flow). Free cash flow represents the cash available for dividends, buybacks, and debt reduction after all capital expenditures.
Does Enphase Energy, Inc. pay a dividend?
Enphase Energy, Inc. does not currently pay a regular dividend to shareholders. The company may be reinvesting all profits back into growth, or it may have suspended its dividend.
Is Enphase Energy, Inc. at risk of going bankrupt?
Enphase Energy, Inc.'s Altman Z-Score is 2.15, placing it in the gray zone (1.8–3.0) — some financial uncertainty. The Z-Score uses five balance sheet ratios to predict bankruptcy probability within two years.
Does Enphase Energy, Inc. have a durable competitive advantage?
Enphase Energy, Inc. scores 3.7/5 stars (Solid moat · eroding) in our moat analysis:
- ROIC Stability: 4/5
- Gross Margin Trend: 4/5
- Switching Costs: 3/5
A score above 3.5 suggests meaningful pricing power and a defensible market position.
What is ENPH's return on equity (ROE)?
Enphase Energy, Inc.'s return on equity is 17.9%. ROE measures how efficiently a company generates profits from shareholder equity. An ROE above 15% is generally considered strong, while below 10% may signal inefficiency.
How do I buy ENPH stock?
ENPH shares can be purchased through any brokerage account that provides access to the NASDAQ. Common steps:
- Open an account with a broker (e.g., Fidelity, Schwab, Interactive Brokers)
- Search for ticker symbol ENPH
- Place a market or limit order for your desired number of shares
This is not investment advice. Always do your own research before buying any stock.
Is ENPH a value stock or speculative?
FairValueLabs classifies Enphase Energy, Inc. as Value Investment. It exhibits consistent profitability, reasonable valuation, and financial stability — characteristics of a traditional value investment.
Who is the CEO of Enphase Energy, Inc.?
The current CEO of Enphase Energy, Inc. is Mr. Badrinarayanan Kothandaraman.
What is ENPH's earnings per share (EPS)?
Earnings per share measures the company's profit allocated to each outstanding share:
- Trailing EPS (last 12 months): $1.29
- Forward EPS (next 12 months est.): $2.68
- Analyst consensus EPS (this year): $2.19
- Analyst consensus EPS (next year): $2.69
Other Technology companies analyzed by FairValueLabs
FairValueLabs Disclaimer
All valuations, scores, ratings, and classifications on this page are produced by the FairValueLabs internal valuation system. They do not represent actual market value, guaranteed outcomes, or professional investment advice. These are analytical estimates for educational and research purposes only.
This is not financial advice. All data is sourced from SEC EDGAR public filings. Always consult a qualified financial advisor before making investment decisions.
Last updated: Apr 22, 2026. Data sources: SEC EDGAR (financial statements), Yahoo Finance (market data, analyst consensus). Data may not reflect the most recent quarter.
ENPH analysis methodology: How we calculate fair value, Z-Scores, and moat ratings