Stock Analysis on Net

SolarEdge Technologies Inc. (NASDAQ:SEDG)

This company has been moved to the archive! The financial data has not been updated since February 22, 2023.

Analysis of Profitability Ratios 

Microsoft Excel

Profitability Ratios (Summary)

SolarEdge Technologies Inc., profitability ratios

Microsoft Excel
Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Return on Sales
Gross profit margin 27.16% 32.04% 31.62% 33.62% 34.06%
Operating profit margin 5.34% 10.55% 9.77% 13.32% 14.88%
Net profit margin 3.02% 8.61% 9.62% 10.28% 13.75%
Return on Investment
Return on equity (ROE) 4.31% 12.91% 12.92% 18.06% 22.91%
Return on assets (ROA) 2.20% 5.85% 5.76% 9.81% 13.36%

Based on: 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).

Profitability ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. SolarEdge Technologies Inc. gross profit margin ratio improved from 2020 to 2021 but then deteriorated significantly from 2021 to 2022.
Operating profit margin A profitability ratio calculated as operating income divided by revenue. SolarEdge Technologies Inc. operating profit margin ratio improved from 2020 to 2021 but then deteriorated significantly from 2021 to 2022.
Net profit margin An indicator of profitability, calculated as net income divided by revenue. SolarEdge Technologies Inc. net profit margin ratio deteriorated from 2020 to 2021 and from 2021 to 2022.

Profitability ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders’ equity. SolarEdge Technologies Inc. ROE deteriorated from 2020 to 2021 and from 2021 to 2022.
ROA A profitability ratio calculated as net income divided by total assets. SolarEdge Technologies Inc. ROA improved from 2020 to 2021 but then deteriorated significantly from 2021 to 2022.

Gross Profit Margin

SolarEdge Technologies Inc., gross profit margin calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Selected Financial Data (US$ in thousands)
Gross profit 844,648 629,318 461,359 479,338 319,236
Revenues 3,110,279 1,963,865 1,459,271 1,425,660 937,237
Profitability Ratio
Gross profit margin1 27.16% 32.04% 31.62% 33.62% 34.06%
Benchmarks
Gross Profit Margin, Competitors2
Advanced Micro Devices Inc. 44.93% 48.25% 44.53% 42.61%
Analog Devices Inc. 62.70% 61.83% 65.87% 67.00% 68.27%
Applied Materials Inc. 46.51% 47.32% 44.72% 43.72% 45.31%
Broadcom Inc. 66.55% 61.36% 56.58% 55.24% 51.48%
First Solar Inc. 2.67% 24.97% 25.10% 17.93%
Intel Corp. 42.61% 55.45% 56.01% 58.56%
KLA Corp. 61.00% 59.93% 57.81% 59.08%
Lam Research Corp. 45.69% 46.53% 45.88% 45.15%
Micron Technology Inc. 45.18% 37.62% 30.57% 45.72%
NVIDIA Corp. 64.93% 62.34% 61.99% 61.21%
Qualcomm Inc. 57.84% 57.51% 60.67% 64.57% 54.94%
Texas Instruments Inc. 68.76% 67.47% 64.10% 63.71%

Based on: 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).

1 2022 Calculation
Gross profit margin = 100 × Gross profit ÷ Revenues
= 100 × 844,648 ÷ 3,110,279 = 27.16%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. SolarEdge Technologies Inc. gross profit margin ratio improved from 2020 to 2021 but then deteriorated significantly from 2021 to 2022.

Operating Profit Margin

SolarEdge Technologies Inc., operating profit margin calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Selected Financial Data (US$ in thousands)
Operating income 166,120 207,139 142,561 189,946 139,420
Revenues 3,110,279 1,963,865 1,459,271 1,425,660 937,237
Profitability Ratio
Operating profit margin1 5.34% 10.55% 9.77% 13.32% 14.88%
Benchmarks
Operating Profit Margin, Competitors2
Advanced Micro Devices Inc. 5.36% 22.20% 14.02% 9.37%
Analog Devices Inc. 27.29% 23.12% 26.74% 28.55% 30.35%
Applied Materials Inc. 30.20% 29.87% 25.37% 22.93% 27.80%
Broadcom Inc. 42.84% 31.03% 16.80% 15.24% 24.63%
First Solar Inc. -1.04% 20.07% 11.71% -5.28%
Intel Corp. 3.70% 24.62% 30.41% 30.62%
KLA Corp. 39.67% 35.97% 25.87% 30.41%
Lam Research Corp. 31.24% 30.64% 26.62% 25.53%
Micron Technology Inc. 31.54% 22.68% 14.01% 31.51%
NVIDIA Corp. 37.31% 27.18% 26.07% 32.47%
Qualcomm Inc. 35.88% 29.16% 26.58% 31.59% 3.26%
Texas Instruments Inc. 50.63% 48.84% 40.76% 39.79%
Operating Profit Margin, Sector
Semiconductors & Semiconductor Equipment 27.10% 28.22% 25.72% 27.91%
Operating Profit Margin, Industry
Information Technology 28.31% 28.72% 24.93% 25.33%

Based on: 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).

1 2022 Calculation
Operating profit margin = 100 × Operating income ÷ Revenues
= 100 × 166,120 ÷ 3,110,279 = 5.34%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Operating profit margin A profitability ratio calculated as operating income divided by revenue. SolarEdge Technologies Inc. operating profit margin ratio improved from 2020 to 2021 but then deteriorated significantly from 2021 to 2022.

Net Profit Margin

SolarEdge Technologies Inc., net profit margin calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Selected Financial Data (US$ in thousands)
Net income attributable to SolarEdge Technologies, Inc. 93,779 169,170 140,322 146,549 128,833
Revenues 3,110,279 1,963,865 1,459,271 1,425,660 937,237
Profitability Ratio
Net profit margin1 3.02% 8.61% 9.62% 10.28% 13.75%
Benchmarks
Net Profit Margin, Competitors2
Advanced Micro Devices Inc. 5.59% 19.24% 25.50% 5.07%
Analog Devices Inc. 22.88% 19.00% 21.79% 22.75% 24.12%
Applied Materials Inc. 25.31% 25.53% 21.04% 18.52% 19.20%
Broadcom Inc. 34.62% 24.54% 12.39% 12.05% 58.80%
First Solar Inc. -1.69% 16.03% 14.69% -3.75%
Intel Corp. 12.71% 25.14% 26.84% 29.25%
KLA Corp. 36.06% 30.04% 20.96% 25.73%
Lam Research Corp. 26.73% 26.72% 22.42% 22.70%
Micron Technology Inc. 28.24% 21.16% 12.54% 26.97%
NVIDIA Corp. 36.23% 25.98% 25.61% 35.34%
Qualcomm Inc. 29.27% 26.94% 22.09% 18.07% -21.40%
Texas Instruments Inc. 43.68% 42.35% 38.69% 34.88%
Net Profit Margin, Sector
Semiconductors & Semiconductor Equipment 25.31% 25.73% 22.99% 24.09%
Net Profit Margin, Industry
Information Technology 23.93% 25.58% 21.38% 22.17%

Based on: 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).

1 2022 Calculation
Net profit margin = 100 × Net income attributable to SolarEdge Technologies, Inc. ÷ Revenues
= 100 × 93,779 ÷ 3,110,279 = 3.02%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Net profit margin An indicator of profitability, calculated as net income divided by revenue. SolarEdge Technologies Inc. net profit margin ratio deteriorated from 2020 to 2021 and from 2021 to 2022.

Return on Equity (ROE)

SolarEdge Technologies Inc., ROE calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Selected Financial Data (US$ in thousands)
Net income attributable to SolarEdge Technologies, Inc. 93,779 169,170 140,322 146,549 128,833
Total SolarEdge Technologies, Inc. stockholders’ equity 2,176,366 1,310,039 1,085,757 811,670 562,408
Profitability Ratio
ROE1 4.31% 12.91% 12.92% 18.06% 22.91%
Benchmarks
ROE, Competitors2
Advanced Micro Devices Inc. 2.41% 42.18% 42.66% 12.06%
Analog Devices Inc. 7.54% 3.66% 10.17% 11.64% 13.61%
Applied Materials Inc. 53.51% 48.08% 34.21% 32.94% 48.44%
Broadcom Inc. 50.62% 26.99% 12.40% 10.92% 45.99%
First Solar Inc. -0.76% 7.86% 7.22% -2.26%
Intel Corp. 7.90% 20.83% 25.79% 27.16%
KLA Corp. 237.04% 61.53% 45.65% 44.21%
Lam Research Corp. 73.35% 64.85% 43.53% 46.89%
Micron Technology Inc. 17.41% 13.34% 6.89% 17.59%
NVIDIA Corp. 36.65% 25.64% 22.91% 44.33%
Qualcomm Inc. 71.81% 90.88% 85.54% 89.35% -524.14%
Texas Instruments Inc. 60.02% 58.27% 60.90% 56.33%
ROE, Sector
Semiconductors & Semiconductor Equipment 22.31% 25.40% 24.08% 26.08%
ROE, Industry
Information Technology 38.36% 42.36% 35.12% 36.53%

Based on: 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).

1 2022 Calculation
ROE = 100 × Net income attributable to SolarEdge Technologies, Inc. ÷ Total SolarEdge Technologies, Inc. stockholders’ equity
= 100 × 93,779 ÷ 2,176,366 = 4.31%

2 Click competitor name to see calculations.

Profitability ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders’ equity. SolarEdge Technologies Inc. ROE deteriorated from 2020 to 2021 and from 2021 to 2022.

Return on Assets (ROA)

SolarEdge Technologies Inc., ROA calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Selected Financial Data (US$ in thousands)
Net income attributable to SolarEdge Technologies, Inc. 93,779 169,170 140,322 146,549 128,833
Total assets 4,265,949 2,892,060 2,437,109 1,494,624 964,472
Profitability Ratio
ROA1 2.20% 5.85% 5.76% 9.81% 13.36%
Benchmarks
ROA, Competitors2
Advanced Micro Devices Inc. 1.95% 25.46% 27.78% 5.66%
Analog Devices Inc. 5.46% 2.66% 5.69% 6.37% 7.31%
Applied Materials Inc. 24.41% 22.80% 16.19% 14.22% 18.64%
Broadcom Inc. 15.69% 8.91% 3.90% 4.04% 24.46%
First Solar Inc. -0.54% 6.32% 5.60% -1.53%
Intel Corp. 4.40% 11.80% 13.65% 15.42%
KLA Corp. 26.37% 20.23% 13.11% 13.05%
Lam Research Corp. 26.78% 24.59% 15.47% 18.26%
Micron Technology Inc. 13.11% 9.96% 5.01% 12.91%
NVIDIA Corp. 22.07% 15.05% 16.15% 31.15%
Qualcomm Inc. 26.39% 21.93% 14.60% 13.31% -14.88%
Texas Instruments Inc. 32.16% 31.48% 28.91% 27.84%
ROA, Sector
Semiconductors & Semiconductor Equipment 12.50% 13.52% 11.70% 13.08%
ROA, Industry
Information Technology 14.99% 15.62% 12.12% 12.78%

Based on: 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).

1 2022 Calculation
ROA = 100 × Net income attributable to SolarEdge Technologies, Inc. ÷ Total assets
= 100 × 93,779 ÷ 4,265,949 = 2.20%

2 Click competitor name to see calculations.

Profitability ratio Description The company
ROA A profitability ratio calculated as net income divided by total assets. SolarEdge Technologies Inc. ROA improved from 2020 to 2021 but then deteriorated significantly from 2021 to 2022.