SolarEdge Technologies (SEDG)
Market Price (11/15/2025): $36.35 | Market Cap: $2.2 BilSector: Information Technology | Industry: Semiconductor Materials & Equipment
SolarEdge Technologies (SEDG)
Market Price (11/15/2025): $36.35Market Cap: $2.2 BilSector: Information TechnologyIndustry: Semiconductor Materials & Equipment
Investment Highlights
Why It Matters
Which of these 2 stories sounds closer for this stock?
1. Generates cash flow
The stock generated 4% or more of the share price (called cash flow yield), and shows moderate 10-15% or more growth.
2. Riding a trend
Think Tesla during the pandemic of 2020 when EVs were riding a cultural high, or Nvidia in the current AI boom, or even Figma. These companies don’t have enough yield, or, enough growth, or both - however - they are riding a trend. They have momentum. These can be more volatile - they don’t have the floor of strong cash flow
| Megatrend and thematic driversMegatrends include Renewable Energy Transition, and Sustainable Infrastructure. Themes include Solar Energy Generation, Battery Storage & Grid Modernization, Show more. | Weak multi-year price returns2Y Excs Rtn is -102%, 3Y Excs Rtn is -165% | Not profitable at operating income levelOp Inc LTMOperating Income, Last Twelve Months is -471 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -45% |
| Stock price has recently run up significantly12M Rtn12 month market price return is 182% | ||
| Weak revenue growthRev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -14% | ||
| Valuation getting more expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is 104% | ||
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -30% | ||
| High stock price volatilityVol 12M is 113% | ||
| Significant short interestShort Interest % of Basic SharesShort Interest % of Basic Shares = (Short Interest Quantity) / (Basic Shares Outstanding). A high fraction of short interest can indicate potential risk of a short squeeze. is 22% |
| Megatrend and thematic driversMegatrends include Renewable Energy Transition, and Sustainable Infrastructure. Themes include Solar Energy Generation, Battery Storage & Grid Modernization, Show more. |
| Weak multi-year price returns2Y Excs Rtn is -102%, 3Y Excs Rtn is -165% |
| Not profitable at operating income levelOp Inc LTMOperating Income, Last Twelve Months is -471 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is -45% |
| Stock price has recently run up significantly12M Rtn12 month market price return is 182% |
| Weak revenue growthRev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -14% |
| Valuation getting more expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is 104% |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -30% |
| High stock price volatilityVol 12M is 113% |
| Significant short interestShort Interest % of Basic SharesShort Interest % of Basic Shares = (Short Interest Quantity) / (Basic Shares Outstanding). A high fraction of short interest can indicate potential risk of a short squeeze. is 22% |
Market Valuation & Key Metrics
SEDG Stock
Why The Stock Moved
Qualitative Assessment
AI Generated Analysis | Feedback
Here are the key points for the movement of SolarEdge Technologies (SEDG) stock for the approximate time period from July 31, 2025, to today: **1. Strong Third Quarter 2025 Earnings Report.** SolarEdge Technologies reported its third-quarter 2025 financial results on November 5, 2025, significantly exceeding revenue estimates with $340.21 million against an estimated $336.12 million, representing an 18% increase from the previous quarter. The company also demonstrated a substantial improvement in its GAAP net loss and an increase in GAAP gross margin to 21.2% from 11.1% in the prior quarter. This positive financial performance contributed to a notable stock surge. **2. Multiple Analyst Price Target Increases.** Following the robust Q3 earnings, several analyst firms raised their price targets for SEDG. Notably, Wells Fargo & Company increased its price target from $24.00 to $42.00 on November 7, 2025, a move that helped push the stock up by approximately 10.5%. Jefferies Financial Group also boosted its price target to $33.00 from $24.00, citing improving conditions in the residential solar market and strong positioning in the commercial and industrial (C&I) segment. Other firms including Susquehanna, Citigroup, Barclays, TD Cowen, and Royal Bank of Canada also adjusted their price targets upwards in October and November 2025, indicating increased confidence in the company's valuation. **3. Commencement of International Shipments from U.S. Manufacturing.** In September 2025, SolarEdge announced that it had begun its first international shipments of U.S.-manufactured residential solar technology, specifically sending solar inverters to Australia, with further international expansion planned. This strategic move was viewed as a positive development, indicating enhanced operational capabilities and a stronger competitive position globally. **4. Expansion and Leadership in Virtual Power Plant (VPP) Programs.** By October 2025, SolarEdge achieved a significant milestone by surpassing 500 MWh of residential battery storage enrolled in Virtual Power Plant programs across 16 U.S. states, Canada, and Puerto Rico. This highlights the company's strong commitment to and leadership in innovative smart energy solutions, potentially attracting more investors and clients to its forward-thinking initiatives. **5. Strategic Collaboration with Infineon for AI Data Centers.** On November 5, 2025, SolarEdge announced a new partnership with Infineon, aiming to advance high-efficiency power infrastructure for AI data centers. This collaboration focuses on developing Solid-State Transformer technology, positioning SolarEdge for potential substantial future growth in high-capacity data management sectors and expanding its footprint into cutting-edge smart energy applications.
Show moreStock Movement Drivers
Return vs. Risk
Price Returns Compared
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| SEDG Return | 236% | -12% | 1% | -67% | -85% | 168% | -62% |
| Peers Return | 178% | 18% | 7% | 21% | -22% | 59% | 433% |
| S&P 500 Return | 16% | 27% | -19% | 24% | 23% | 15% | 109% |
Monthly Win Rates [3] | |||||||
| SEDG Win Rate | 83% | 33% | 50% | 25% | 25% | 60% | |
| Peers Win Rate | 72% | 53% | 47% | 50% | 42% | 52% | |
| S&P 500 Win Rate | 58% | 75% | 42% | 67% | 75% | 70% | |
Max Drawdowns [4] | |||||||
| SEDG Max Drawdown | -27% | -36% | -31% | -75% | -89% | -15% | |
| Peers Max Drawdown | -34% | -21% | -40% | -25% | -30% | -34% | |
| S&P 500 Max Drawdown | -31% | -1% | -25% | -1% | -2% | -15% | |
[1] Cumulative total returns since the beginning of 2020
[2] Peers: FSLR, ENPH, CSIQ, LRCX, AMAT. See SEDG Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2025 data is for the year up to 11/14/2025 (YTD)
How Low Can It Go
| Event | SEDG | S&P 500 |
|---|---|---|
| 2022 Inflation Shock | ||
| % Loss | -80.9% | -25.4% |
| % Gain to Breakeven | 423.7% | 34.1% |
| Time to Breakeven | Not Fully Recovered days | 464 days |
| 2020 Covid Pandemic | ||
| % Loss | -51.1% | -33.9% |
| % Gain to Breakeven | 104.7% | 51.3% |
| Time to Breakeven | 70 days | 148 days |
| 2018 Correction | ||
| % Loss | -51.3% | -19.8% |
| % Gain to Breakeven | 105.2% | 24.7% |
| Time to Breakeven | 226 days | 120 days |
Compare to FSLR, ENPH, CSIQ, LRCX, AMAT
In The Past
SolarEdge Technologies's stock fell -80.9% during the 2022 Inflation Shock from a high on 11/15/2021. A -80.9% loss requires a 423.7% gain to breakeven.
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Asset Allocation
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Latest Trefis Analyses
Trade Ideas
Select past ideas related to SEDG. For more, see Trefis Trade Ideas.
| Date | Ticker | Company | Category | Trade Strategy | 6M Fwd Rtn | 12M Fwd Rtn | 12M Max DD |
|---|---|---|---|---|---|---|---|
| 10312025 | ZBRA | Zebra Technologies | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | -10.7% | -10.7% | -10.7% |
| 10312025 | ACN | Accenture | Dip Buy | DB | P/E OPMDip Buy with Low PE and High MarginBuying dips for companies with tame PE and meaningfully high operating margin | -2.0% | -2.0% | -3.5% |
| 10312025 | ADBE | Adobe | Dip Buy | DB | P/E OPMDip Buy with Low PE and High MarginBuying dips for companies with tame PE and meaningfully high operating margin | -2.7% | -2.7% | -3.9% |
| 10312025 | TXN | Texas Instruments | Monopoly | MY | Getting CheaperMonopoly-Like with P/S DeclineLarge cap with monopoly-like margins or cash flow generation and getting cheaper based on P/S multiple | -1.3% | -1.3% | -1.3% |
| 10242025 | MRVL | Marvell Technology | Monopoly | MY | Getting CheaperMonopoly-Like with P/S DeclineLarge cap with monopoly-like margins or cash flow generation and getting cheaper based on P/S multiple | 2.8% | 2.8% | 0.0% |
| 10312020 | SEDG | SolarEdge Technologies | Quality | Q | Momentum | UpsideQuality Stocks with Momentum and UpsideBuying quality stocks with strong momentum but still having room to run | 2.3% | 37.6% | -20.8% |
| 11302019 | SEDG | SolarEdge Technologies | Quality | Q | Momentum | UpsideQuality Stocks with Momentum and UpsideBuying quality stocks with strong momentum but still having room to run | 73.9% | 253.2% | -14.9% |
| Date | Ticker | Company | Category | Trade Strategy | 6M Fwd Rtn | 12M Fwd Rtn | 12M Max DD |
|---|---|---|---|---|---|---|---|
| 10312025 | ZBRA | Zebra Technologies | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | -10.7% | -10.7% | -10.7% |
| 10312025 | ACN | Accenture | Dip Buy | DB | P/E OPMDip Buy with Low PE and High MarginBuying dips for companies with tame PE and meaningfully high operating margin | -2.0% | -2.0% | -3.5% |
| 10312025 | ADBE | Adobe | Dip Buy | DB | P/E OPMDip Buy with Low PE and High MarginBuying dips for companies with tame PE and meaningfully high operating margin | -2.7% | -2.7% | -3.9% |
| 10312025 | TXN | Texas Instruments | Monopoly | MY | Getting CheaperMonopoly-Like with P/S DeclineLarge cap with monopoly-like margins or cash flow generation and getting cheaper based on P/S multiple | -1.3% | -1.3% | -1.3% |
| 10242025 | MRVL | Marvell Technology | Monopoly | MY | Getting CheaperMonopoly-Like with P/S DeclineLarge cap with monopoly-like margins or cash flow generation and getting cheaper based on P/S multiple | 2.8% | 2.8% | 0.0% |
| 10312020 | SEDG | SolarEdge Technologies | Quality | Q | Momentum | UpsideQuality Stocks with Momentum and UpsideBuying quality stocks with strong momentum but still having room to run | 2.3% | 37.6% | -20.8% |
| 11302019 | SEDG | SolarEdge Technologies | Quality | Q | Momentum | UpsideQuality Stocks with Momentum and UpsideBuying quality stocks with strong momentum but still having room to run | 73.9% | 253.2% | -14.9% |
Research & Analysis
Invest in Strategies
Wealth Management
Peer Comparisons for SolarEdge Technologies
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 92.22 |
| Mkt Cap | 15.4 |
| Rev LTM | 5,131 |
| Op Inc LTM | 784 |
| FCF LTM | 140 |
| FCF 3Y Avg | 112 |
| CFO LTM | 278 |
| CFO 3Y Avg | 640 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 11.0% |
| Rev Chg 3Y Avg | 2.3% |
| Rev Chg Q | 8.2% |
| QoQ Delta Rev Chg LTM | 2.0% |
| Op Mgn LTM | 21.9% |
| Op Mgn 3Y Avg | 17.9% |
| QoQ Delta Op Mgn LTM | 0.9% |
| CFO/Rev LTM | 12.7% |
| CFO/Rev 3Y Avg | 24.4% |
| FCF/Rev LTM | 10.2% |
| FCF/Rev 3Y Avg | 4.4% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 15.4 |
| P/S | 4.4 |
| P/EBIT | 17.6 |
| P/E | 20.4 |
| P/CFO | 23.7 |
| Total Yield | 4.1% |
| Dividend Yield | 0.0% |
| FCF Yield 3Y Avg | 0.7% |
| D/E | 0.1 |
| Net D/E | -0.0 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | 0.9% |
| 3M Rtn | 33.1% |
| 6M Rtn | 53.1% |
| 12M Rtn | 65.0% |
| 3Y Rtn | 25.0% |
| 1M Excs Rtn | 0.1% |
| 3M Excs Rtn | 22.7% |
| 6M Excs Rtn | 40.0% |
| 12M Excs Rtn | 55.9% |
| 3Y Excs Rtn | -47.9% |
Comparison Analyses
Segment Financials
Revenue by Segment
| $ Mil | 2024 | 2023 | 2022 | 2021 | 2020 |
|---|---|---|---|---|---|
| Solar | 2,816 | 2,921 | 1,787 | 1,357 | 1,337 |
| All other | 160 | 112 | 176 | 103 | 89 |
| Revenues from finance component | 1 | 1 | 0 | ||
| Energy Storage | 76 | ||||
| Adjustment of intersegment revenues | -1 | ||||
| Total | 2,977 | 3,110 | 1,964 | 1,459 | 1,426 |
| $ Mil | 2024 | 2023 | 2022 | 2021 | 2020 |
|---|---|---|---|---|---|
| Solar | 365 | 487 | 369 | 256 | 294 |
| Other unallocated income (expenses) | -1 | 3 | -1 | -4 | -5 |
| Amortization and depreciation of acquired assets | -8 | -9 | -11 | -9 | -9 |
| Impairment and disposal by abandonment of long-lived assets | -31 | -119 | |||
| Restructuring and other exit activities | -60 | -4 | |||
| All other | -74 | -31 | -47 | -37 | -17 |
| Stock based compensation expenses | -150 | -146 | -103 | -67 | -60 |
| Energy Storage | -14 | ||||
| Intersegment profit | -0 | ||||
| Legal settlement | 5 | -5 | |||
| Cost of products adjustments | -2 | ||||
| Sale of SolarEdge Automation Machines’ subsidiary | -5 | ||||
| Total | 40 | 166 | 207 | 143 | 190 |
Returns Analyses
Earnings Returns History
Expand for More| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 11/5/2025 | 28.9% | 40.5% | |
| 8/7/2025 | -5.3% | 2.6% | 33.5% |
| 5/6/2025 | 11.2% | 48.3% | 35.2% |
| 2/19/2025 | 15.9% | 10.6% | 0.3% |
| 11/6/2024 | 1.4% | -17.5% | -12.9% |
| 8/7/2024 | -3.1% | -5.2% | -17.4% |
| 5/8/2024 | -8.5% | -10.8% | -19.6% |
| 1/22/2024 | 4.0% | -0.4% | 22.2% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 14 | 9 | 12 |
| # Negative | 10 | 15 | 12 |
| Median Positive | 8.9% | 14.4% | 19.0% |
| Median Negative | -14.3% | -10.8% | -17.4% |
| Max Positive | 28.9% | 48.3% | 47.1% |
| Max Negative | -27.3% | -26.8% | -39.9% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 9302025 | 11062025 | 10-Q 9/30/2025 |
| 6302025 | 8072025 | 10-Q 6/30/2025 |
| 3312025 | 5082025 | 10-Q 3/31/2025 |
| 12312024 | 2252025 | 10-K 12/31/2024 |
| 9302024 | 11072024 | 10-Q 9/30/2024 |
| 6302024 | 8072024 | 10-Q 6/30/2024 |
| 3312024 | 5092024 | 10-Q 3/31/2024 |
| 12312023 | 2262024 | 10-K 12/31/2023 |
| 9302023 | 11062023 | 10-Q 9/30/2023 |
| 6302023 | 8072023 | 10-Q 6/30/2023 |
| 3312023 | 5082023 | 10-Q 3/31/2023 |
| 12312022 | 2222023 | 10-K 12/31/2022 |
| 9302022 | 11082022 | 10-Q 9/30/2022 |
| 6302022 | 8042022 | 10-Q 6/30/2022 |
| 3312022 | 5042022 | 10-Q 3/31/2022 |
| 12312021 | 2222022 | 10-K 12/31/2021 |
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