Enphase Energy, Inc. (ENPH) designs, develops, manufactures, and sells home energy solutions for the solar photovoltaic industry in the U.S. and internationally, notes Louis Navellier, editor of Navellier Growth.

Enphase is the premier company if you want to install solar panels and a powerwall. The company sells a semiconductor-based microinverter, which converts energy at the individual solar module level, and combines with its proprietary networking and software technologies to provide energy monitoring and control services.

The company ironically boomed in California, because its users could set their Enphase Energy system to sell excess electricity from their powerwalls back to the electric grid, to make it look like they were not home in an attempt to try to avoid California's 13.3% state income tax. Enphase Energy is now a major firm helping utilities install commercial solar facilities and battery backup systems.  

California and Hawaii dominate the company's business, but Enphase Energy is quickly expanding throughout the U.S. and internationally. Since the Biden Administration is pushing solar energy and battery backup systems, Enphase Energy's business outlook remains bright.

The company’s third quarter revenue rose 19.7% to $634.7 million compared to $530.2 million in the same quarter a year ago. During the same period the company’s earnings rose 48.1% to $114.8 million or 80 cents per share compared to $77 million or 54 cents per share. Excluding extraordinary items, Enphase Energy’s operating earnings were $1.25 per share.

The analyst community was expecting revenue of $617 million and operating earnings of 77 cents per share, so the company posted a 2.9% revenue surprise and a 62.3% earnings surprise! The stock is a good buy.

Subscribe to Navellier Growth here…