Enphase Energy, Inc. (ENPH)

From July 2025 to January 2026, Enphase Energy's stock experienced a notable decline, with the share price decreasing by 47.23% to $35.22 as of January 9, 2026. This downturn was attributed to soft guidance, the impact of tariffs on profit margins, and the anticipated expiration of federal solar tax credits at the end of 2025. The company's Q3 2025 revenue forecast was also lower than previous periods. Despite these challenges, the company reported shipping approximately 1.77 million microinverters and a record 195.0 megawatt hours (MWh) of IQ Batteries in Q3 2025. There was also news in December 2025 regarding the rollout of the IQ EV Charger 2 in the U.S.

Demand for Enphase Energy's products and services is influenced by the inherent seasonality of solar energy production. Solar energy systems generally produce more energy during summer months, while winter months typically see lower energy generation. Macroeconomic conditions, such as high interest rates, have also affected demand, particularly in the U.S. market. The impending expiration of federal solar tax credits at the end of 2025 is also a factor that could influence consumer purchasing decisions. However, supportive policies like the Inflation Reduction Act (IRA) offer tax credits and rebates that can help stimulate demand.

Enphase Energy, Inc. designs, develops, manufactures, and sells home energy solutions for the solar photovoltaic industry. The company's core business revolves around its pioneering microinverter systems, which convert direct current (DC) generated by individual solar panels into alternating current (AC). The company's major products include solar microinverters designed to maximize energy production and offer grid-forming capabilities, battery energy storage systems that provide backup power and energy independence, EV charging stations for residential and commercial use, monitoring and software solutions for real-time monitoring and management of energy, and services such as design, proposal, permitting, and lead generation.

Enphase Energy is headquartered in Fremont, California, U.S., and has a significant global presence, operating in the United States and internationally. It has shipped microinverters to 2.5 million solar systems in over 140 countries, with operations across North America, Europe, and Asia-Pacific. In Q4 2024, 79% of its revenue originated from the U.S. and 21% from international markets, though European revenue saw a 7% increase in Q1 2025.

Enphase Energy maintains a strong brand reputation, recognized as a well-established brand with a significant market share in the residential solar segment. It is widely regarded as the world leader in the microinverter market and a pioneer in solar energy innovation. Enphase has also received the National Electrical Manufacturers Association (NEMA) standard certificate for its microinverters, highlighting its commitment to high reliability standards.

Enphase Energy's ownership structure is predominantly held by institutional investors, with 982 institutional owners holding a total of 131,323,864 shares. Major institutional shareholders include BlackRock, Inc., Vanguard Group Inc, Susquehanna International Group, Llp, State Street Corp, D. E. Shaw & Co., Inc., and UBS Group AG. Daniel S. Loeb is identified as the largest individual shareholder, owning 14.32 million shares, representing 10.94% of the company. Insiders collectively own approximately 3.12% of the stock.