Shoals Technologies Group Inc (NASDAQ: SHLS)’s stock price has plunge by 1.69relation to previous closing price of 8.29. Nevertheless, the company has seen a -3.33% plunge in its stock price over the last five trading sessions. Seeking Alpha reported 2024-04-16 that Shoals Technologies is a proxy investment for the solar and EV industry, providing EBOS solutions for solar installations and EV charging infrastructure. The solar market is expected to grow at a CAGR of 16%, while the EV market is projected to reach $951.9 billion by 2030. SHLS has shown strong financial performance, with a 49.5% increase in revenue in FY23 and a solid balance sheet with increasing cash and reduced long-term debt.
Is It Worth Investing in Shoals Technologies Group Inc (NASDAQ: SHLS) Right Now?
The price-to-earnings ratio for Shoals Technologies Group Inc (NASDAQ: SHLS) is above average at 34.01x, Company’s 36-month beta value is 1.87.Analysts have differing opinions on the stock, with 0 analysts rating it as a “buy,” 0 as “overweight,” 0 as “hold,” and 0 as “sell.”
The public float for SHLS is 164.11M, and currently, short sellers hold a 15.49% ratio of that floaft. The average trading volume of SHLS on April 23, 2024 was 4.05M shares.
SHLS’s Market Performance
SHLS stock saw a decrease of -3.33% in the past week, with a monthly decline of -33.67% and a quarterly a decrease of -39.22%. The volatility ratio for the week is 4.48%, and the volatility levels for the last 30 days are 5.31% for Shoals Technologies Group Inc (SHLS). The simple moving average for the past 20 days is -17.23% for SHLS’s stock, with a -48.76% simple moving average for the past 200 days.
Analysts’ Opinion of SHLS
Many brokerage firms have already submitted their reports for SHLS stocks, with TD Cowen repeating the rating for SHLS by listing it as a “Outperform.” The predicted price for SHLS in the upcoming period, according to TD Cowen is $22 based on the research report published on February 29, 2024 of the current year 2024.
RBC Capital Mkts, on the other hand, stated in their research note that they expect to see SHLS reach a price target of $20. The rating they have provided for SHLS stocks is “Outperform” according to the report published on February 14th, 2024.
Barclays gave a rating of “Equal Weight” to SHLS, setting the target price at $15 in the report published on January 22nd of the current year.
SHLS Trading at -32.36% from the 50-Day Moving Average
After a stumble in the market that brought SHLS to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -70.25% of loss for the given period.
Volatility was left at 5.31%, however, over the last 30 days, the volatility rate increased by 4.48%, as shares sank -30.45% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -45.40% lower at present.
During the last 5 trading sessions, SHLS fell by -3.33%, which changed the moving average for the period of 200-days by -62.96% in comparison to the 20-day moving average, which settled at $10.00. In addition, Shoals Technologies Group Inc saw -45.75% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at SHLS starting from Peetz Mehgan, who sale 3,160 shares at the price of $13.04 back on Mar 08 ’24. After this action, Peetz Mehgan now owns 105,201 shares of Shoals Technologies Group Inc, valued at $41,206 using the latest closing price.
TOLNAR JEFFERY, the President of Shoals Technologies Group Inc, sale 2,750 shares at $13.04 during a trade that took place back on Mar 08 ’24, which means that TOLNAR JEFFERY is holding 96,391 shares at $35,860 based on the most recent closing price.
Stock Fundamentals for SHLS
Current profitability levels for the company are sitting at:
- 0.16 for the present operating margin
- 0.34 for the gross margin
The net margin for Shoals Technologies Group Inc stands at 0.08. The total capital return value is set at 0.1. Equity return is now at value 9.56, with 5.51 for asset returns.
Based on Shoals Technologies Group Inc (SHLS), the company’s capital structure generated 0.25 points at debt to capital in total, while cash flow to debt ratio is standing at 0.5. The debt to equity ratio resting at 0.34. The interest coverage ratio of the stock is 3.28.
Currently, EBITDA for the company is 89.56 million with net debt to EBITDA at 1.81. When we switch over and look at the enterprise to sales, we see a ratio of 3.27. The receivables turnover for the company is 3.32for trailing twelve months and the total asset turnover is 0.57. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.45.
Conclusion
In a nutshell, Shoals Technologies Group Inc (SHLS) has experienced a bad performance in recent times. The stock has received mixed “buy” and “hold” ratings from analysts. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
