Why Enphase Energy Shares Plunged Friday
A preliminary earnings announcement is slamming solar energy stocks Friday morning. Shares of Enphase Energy (NASDAQ: ENPH) -- a leading solar technology system provider -- plunged as much as 16% and remained lower by 13.6% as of 10:30 a.m. ET.
The early earnings warning came from peer SolarEdge Technologies, whose stock was hit even harder, down 28% at that time.
Investors have known that the current high-interest-rate environment in the U.S. continues to be a headwind for solar installation growth. SolarEdge warned investors last night that it will miss its own third-quarter guidance for revenue, operating income, and gross margin. But it surprised the market when it warned that it is experiencing "substantial unexpected" cancellations from its European distributors.
Source Fool.com
