** Shares of renewable energy firm SolarEdge Technologies
decline ~9% to $52.42 premarket
** SEDG forecasts Q2 revenue to be between $250 mln and $280 mln, below LSEG estimates of $295.29 mln
** Company expects Q2 adjusted gross margin to be within the range of negative 4% to 0%
WEAK UNDERLYING DEMAND
** SolarEdge's results and outlook reflect continued challenges from elevated channel inventory and weaker demand with lower optimizer pricing in Europe implemented, says brokerage TD Cowen
** TD Cowen cuts PT on SEDG to $80 from $85, maintains "buy" rating
** ROTH MKM ("neutral", PT: $55) continues to see a challenged inventory situation in EU and believes weak underlying demand could cause inventory challenges to persist through 2025
** RBC Capital Markets ("sector perform", PT: $71) says the pace of demand and inventory normalization continues to be pushed further out
** "We believe shares will continue to trade at trough levels until more firm signals of a demand recovery emerge and provide greater visibility for a margin recovery" - RBC
(Reporting by Arunima Kumar in Bengaluru)
((Arunima.Kumar@thomsonreuters.com; Twitter:
;))
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