Stock Analysis on Net

Enphase Energy Inc. (NASDAQ:ENPH)

This company has been moved to the archive! The financial data has not been updated since February 9, 2024.

Price to Operating Profit (P/OP) 
since 2012

Microsoft Excel

Calculation

Enphase Energy Inc., P/OP, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).

1 US$

2 Data adjusted for splits and stock dividends.

3 Closing price as at the filing date of Enphase Energy Inc. Annual Report.


The analysis of the financial data over the indicated periods reveals significant fluctuations and an overall improvement in company performance metrics.

Share Price
The share price exhibits notable volatility across the years. Initially, it increased from $4.88 in 2013 to $13.61 in 2015, followed by a sharp decline, reaching lows near $1.37 in 2017. However, beginning in 2018, there was a substantial upward trend, peaking at $212.57 in 2023 before declining to $122.47 in 2024. This pattern indicates periods of both market uncertainty and strong investor confidence in later years.
Operating Profit per Share (OPPS)
Operating profit per share remained negative from 2013 through 2018, with varying degrees of losses ranging from -$0.76 to -$0.41. Starting in 2019, the company moved into positive territory, with OPPS increasing steadily from $0.01 to $3.28 by 2023 and maintaining that level in 2024. This suggests a transition from operating losses to sustainable profitability over the observation period.
Price to Operating Profit (P/OP) Ratio
The P/OP ratio was not available for early years but becomes significant from 2019 onward. Initially very high at 615.35 in 2019, it underwent a sharp decline to 37.3 by 2024. This dramatic decrease reflects the combination of increasing operating profits and fluctuating share prices, indicating the market's improved valuation of the company's earning capabilities and reduced perceived risk over time.

In summary, while the company faced operational challenges and market volatility in its earlier years, it demonstrated a clear and consistent improvement in operating profitability starting in 2019. This improvement, coupled with a remarkable increase in share price, albeit with some recent pullback, signals enhanced market confidence. The reduction in the P/OP ratio further supports the notion that the company's earnings have grown more robust relative to its market valuation, highlighting better alignment between share price and operating performance in recent years.


Comparison to Competitors

Enphase Energy Inc., P/OP, long-term trends, comparison to competitors

Microsoft Excel

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).