Needham & Company Cuts Price Target on Enphase Energy (ENPH) After Meeting with Management

Needham & Company reiterated a Strong Buy rating on Enphase Energy (NASDAQ: ENPH), and cut the price target to $10.00 (from $13.00), after meeting with management. Analyst Edwin Mok came away from the meeting having noted downside risks associated with the UK subsidy reduction and some delay in timing of the product roadmap.

Mok commented, "We came away from our meeting with ENPH CFO Kris Sennesael having noted downside risks associated with the UK subsidy reduction and some delay in timing of the product roadmap. On the other hand, commentary suggests cost reduction plans remain intact and price decline in 2H15 is in line with expectations. Additionally, we remain confident on ENPH's growth with share wins and expanded product offerings. Therefore, despite lowering our estimates, we maintain our view that the stock is substantially undervalued, with our reduced Price Target of $10 still more than double the current price level. Maintain our Strong Buy."

For an analyst ratings summary and ratings history on Enphase Energy click here. For more ratings news on Enphase Energy click here.

Shares of Enphase Energy closed at $4.42 yesterday.

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