29.52 USD
-2.42 (-7.58%)
30.26 USD
+0.74 (+2.51%)
We assign a fundamental rating of 2 out of 10 to SEDG. SEDG was compared to 112 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the profitability and financial health of SEDG have multiple concerns. SEDG is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
SEDG had negative earnings in the past year.
SEDG had a positive operating cash flow in the past year.
Of the past 5 years SEDG 4 years were profitable.
The reported operating cash flow has been mixed in the past 5 years: SEDG reported negative operating cash flow in multiple years.
1.2 Ratios
SEDG's Return On Assets of -26.26% is on the low side compared to the rest of the industry. SEDG is outperformed by 83.04% of its industry peers.
With a Return On Equity value of -122.19%, SEDG is not doing good in the industry: 90.18% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -26.26% | ||
| ROE | -122.19% | ||
| ROIC | N/A |
ROA(3y)-21.91%
ROA(5y)-10.83%
ROE(3y)-89.6%
ROE(5y)-48.59%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
SEDG's Gross Margin of 0.00% is on the low side compared to the rest of the industry. SEDG is outperformed by 91.07% of its industry peers.
SEDG does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 0% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
SEDG does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, SEDG has more shares outstanding
SEDG has more shares outstanding than it did 5 years ago.
The debt/assets ratio for SEDG is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.10, we must say that SEDG is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of SEDG (0.10) is worse than 76.79% of its industry peers.
The Debt to FCF ratio of SEDG is 9.91, which is on the high side as it means it would take SEDG, 9.91 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of SEDG (9.91) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.78 indicates that SEDG is somewhat dependend on debt financing.
SEDG's Debt to Equity ratio of 0.78 is on the low side compared to the rest of the industry. SEDG is outperformed by 80.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 9.91 | ||
| Altman-Z | 0.1 |
ROIC/WACCN/A
WACC11.47%
2.3 Liquidity
A Current Ratio of 2.28 indicates that SEDG has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.28, SEDG is doing worse than 66.96% of the companies in the same industry.
SEDG has a Quick Ratio of 1.60. This is a normal value and indicates that SEDG is financially healthy and should not expect problems in meeting its short term obligations.
SEDG has a worse Quick ratio (1.60) than 72.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.28 | ||
| Quick Ratio | 1.6 |
3. Growth
3.1 Past
SEDG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 71.01%, which is quite impressive.
Looking at the last year, SEDG shows a decrease in Revenue. The Revenue has decreased by -2.57% in the last year.
The Revenue has been decreasing by -8.76% on average over the past years.
EPS 1Y (TTM)71.01%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%97.98%
Revenue 1Y (TTM)-2.57%
Revenue growth 3Y-22.86%
Revenue growth 5Y-8.76%
Sales Q2Q%30.38%
3.2 Future
Based on estimates for the next years, SEDG will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.40% on average per year.
Based on estimates for the next years, SEDG will show a quite strong growth in Revenue. The Revenue will grow by 13.72% on average per year.
EPS Next Y88.26%
EPS Next 2Y41.99%
EPS Next 3Y27.89%
EPS Next 5Y17.4%
Revenue Next Year28.11%
Revenue Next 2Y21.58%
Revenue Next 3Y18.46%
Revenue Next 5Y13.72%
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for SEDG. In the last year negative earnings were reported.
SEDG is valuated quite expensively with a Price/Forward Earnings ratio of 81.16.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SEDG indicates a slightly more expensive valuation: SEDG is more expensive than 62.50% of the companies listed in the same industry.
SEDG is valuated expensively when we compare the Price/Forward Earnings ratio to 23.69, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 81.16 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, SEDG is valued a bit cheaper than the industry average as 67.86% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 47.03 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
SEDG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SEDG's earnings are expected to grow with 27.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y41.99%
EPS Next 3Y27.89%
5. Dividend
5.1 Amount
SEDG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
29.52
-2.42 (-7.58%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners108.15%
Inst Owner Change15.06%
Ins Owners1.23%
Ins Owner Change0.12%
Market Cap1.77B
Revenue(TTM)1.02B
Net Income(TTM)-586.23M
Analysts50.59
Price Target31.16 (5.56%)
Short Float %20.61%
Short Ratio3.04
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.82%
Min EPS beat(2)7.47%
Max EPS beat(2)20.17%
EPS beat(4)3
Avg EPS beat(4)-19.5%
Min EPS beat(4)-109.32%
Max EPS beat(4)20.17%
EPS beat(8)4
Avg EPS beat(8)-112.18%
EPS beat(12)7
Avg EPS beat(12)-77.38%
EPS beat(16)7
Avg EPS beat(16)-64.05%
Revenue beat(2)1
Avg Revenue beat(2)1.41%
Min Revenue beat(2)-0.78%
Max Revenue beat(2)3.59%
Revenue beat(4)3
Avg Revenue beat(4)2.55%
Min Revenue beat(4)-0.78%
Max Revenue beat(4)5.66%
Revenue beat(8)4
Avg Revenue beat(8)0.31%
Revenue beat(12)4
Avg Revenue beat(12)-0.71%
Revenue beat(16)5
Avg Revenue beat(16)-0.72%
PT rev (1m)20.25%
PT rev (3m)54.07%
EPS NQ rev (1m)5.16%
EPS NQ rev (3m)20.91%
EPS NY rev (1m)7.42%
EPS NY rev (3m)9.29%
Revenue NQ rev (1m)-0.4%
Revenue NQ rev (3m)-4.53%
Revenue NY rev (1m)-1.15%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 81.16 | ||
| P/S | 1.73 | ||
| P/FCF | 47.03 | ||
| P/OCF | 27.6 | ||
| P/B | 3.68 | ||
| P/tB | 4.19 | ||
| EV/EBITDA | N/A |
EPS(TTM)-5.78
EYN/A
EPS(NY)0.36
Fwd EY1.23%
FCF(TTM)0.63
FCFY2.13%
OCF(TTM)1.07
OCFY3.62%
SpS17.05
BVpS8.02
TBVpS7.05
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -26.26% | ||
| ROE | -122.19% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 0% | ||
| FCFM | 3.68% |
ROA(3y)-21.91%
ROA(5y)-10.83%
ROE(3y)-89.6%
ROE(5y)-48.59%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 9.91 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 73.26% | ||
| Cap/Sales | 2.59% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.28 | ||
| Quick Ratio | 1.6 | ||
| Altman-Z | 0.1 |
F-Score5
WACC11.47%
ROIC/WACCN/A
Cap/Depr(3y)284.9%
Cap/Depr(5y)325.84%
Cap/Sales(3y)8.21%
Cap/Sales(5y)8.19%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)71.01%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%97.98%
EPS Next Y88.26%
EPS Next 2Y41.99%
EPS Next 3Y27.89%
EPS Next 5Y17.4%
Revenue 1Y (TTM)-2.57%
Revenue growth 3Y-22.86%
Revenue growth 5Y-8.76%
Sales Q2Q%30.38%
Revenue Next Year28.11%
Revenue Next 2Y21.58%
Revenue Next 3Y18.46%
Revenue Next 5Y13.72%
EBIT growth 1Y65.24%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year86.64%
EBIT Next 3Y28.98%
EBIT Next 5Y18.68%
FCF growth 1Y133.01%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-10.03%
OCF growth 3YN/A
OCF growth 5YN/A
SOLAREDGE TECHNOLOGIES INC / SEDG FAQ
What is the ChartMill fundamental rating of SOLAREDGE TECHNOLOGIES INC (SEDG) stock?
ChartMill assigns a fundamental rating of 2 / 10 to SEDG.
Can you provide the valuation status for SOLAREDGE TECHNOLOGIES INC?
ChartMill assigns a valuation rating of 2 / 10 to SOLAREDGE TECHNOLOGIES INC (SEDG). This can be considered as Overvalued.
Can you provide the profitability details for SOLAREDGE TECHNOLOGIES INC?
SOLAREDGE TECHNOLOGIES INC (SEDG) has a profitability rating of 1 / 10.
Can you provide the expected EPS growth for SEDG stock?
The Earnings per Share (EPS) of SOLAREDGE TECHNOLOGIES INC (SEDG) is expected to grow by 88.26% in the next year.