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Enphase (ENPH) Launches IQ Battery 5P in the US and Puerto Rico

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Enphase Energy, Inc. (ENPH - Free Report) recently launched IQ Battery 5P for customers in the United States and Puerto Rico. IQ Battery 5P is claimed to be the most powerful product of the company in the battery segment, surpassing all its predecessors.

Enphase has been revolutionizing the solar residential market with its state-of-the-art products. To capture the larger shares of the expanding solar market and improve customer reliability, the company constantly comes up with new and improved versions of its products. The recent launch by ENPH bears testimony to its effort to enhance its product portfolio per the evolving needs of the solar market.

Opportunities for Enphase in Battery Storage

The increased penetration of the solar energy market has propelled the demand for battery storage. Considering the expanding size of the battery storage market, ENPH’s effort to expand its battery storage product portfolio may reap a handful of returns for the company.

Per the report from Fortune Business Insights, global battery storage is expected to witness a CAGR of 16.3% over the 2022-2029 period. This should substantially benefit Enphase as the company strives to provide the most innovative technology in the battery storage segment that ensures long-term reliability and sustainability.

ENPH also has plans lined up for its fourth-generation battery, which aims to reduce energy intensity significantly. Such product-enhancing strategies by the company, including the latest one, may enhance its positioning in the battery storage market and increase its returns from the battery business.

Peer Moves

Apart from Enphase, solar majors that can enjoy the perks of the expanding solar market are as follows:

SolarEdge’s (SEDG - Free Report) Energy Storage division offers highly efficient DC-coupled batteries that store excess solar energy for powering the home when rates are high or at night. In January 2023, the division commenced the shipment of its new battery cells designed for energy storage applications being manufactured at the company’s new battery cell manufacturing unit in South Korea, Sella 2.

The long-term (three to five years) earnings growth rate of SolarEdge is 33.4%. The Zacks Consensus Estimate for SEDG’s 2023 earnings has been revised upward by 13.7% in the past 60 days.

Canadian Solar’s (CSIQ - Free Report) SolBank is a proprietary designed and manufactured energy storage battery solution for utility-scale applications. In January 2023, CSI Energy Storage signed a supply agreement with the United Kingdom’s Pulse Clean Energy to deliver 550 MWh of its SolBank energy storage products to Pulse Clean Energy.   

The Zacks Consensus Estimate for Canadian Solar’s 2023 earnings has been revised upward by 5% in the past 60 days. CSIQ shares have increased 36.7% in the past year.

SunPower’s Sunvault offers advanced battery technology that stores solar energy for maximum efficiency and allows more charge cycles than conventional storage systems. In September 2022, SunPower expanded its product portfolio by introducing 19.5 kilowatt-hour (kWh) and 39 kWh SunVault battery-storage products. In 2022, SPWR also acquired Blue Raven to address the growing demand for residential solar and battery storage.

SunPower’s long-term earnings growth rate is 26.3%. The Zacks Consensus Estimate for SPWR’s 2023 sales suggests a growth rate of 19.6% from the prior-year reported figure.

Price Movement

In the past year, shares of Enphase Energy have dropped 13.1% against the industry’s growth of 11.5%.

Zacks Investment Research
Image Source: Zacks Investment Research

Zacks Rank

Enphase Energy currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.


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