SolarEdge Q3 Results Miss Expectations; Analysts Warn Of Cash Flow Challenges And Need For Cost Cuts

SolarEdge Technologies, Inc. (NASDAQ:SEDG) shares are trading relatively flat on Thursday.

Yesterday, the company reported third-quarter results, with revenues of $260.9 million, down 2% from $265.4 million in the prior quarter and down 64% from $725.3 million in the same quarter last year.

Revenues from the solar segment were $247.5 million, down 63% from $676.9 million in the same quarter last year.

Here are the analysts’ takes on the earnings results:

Piper Sandler analyst Kashy Harrison downgraded the stock to Underweight from Neutral, lowering the price forecast to $9 from $17.

The analyst sees cash flow challenges ahead due to normal DSOs/DPOs, weak sales, rising U.S. manufacturing costs, European issues, and the Tesla threat.

The analyst suggests a capital raise and major cost cuts are necessary for survival. Harrison widens the FY24 loss estimate per share to $(21.08) from $(7.20).

Truist Securities ...

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