Enphase Energy downgraded to Perform from Outperform at Oppenheimer

Oppenheimer downgraded Enphase Energy to Perform from Outperform without a price target following the Q3 report. While Enphase is making the correct choice to aggressively manage channel inventories and pricing stability demonstrates the resilience of its platform, broader market dynamics remain mixed, the analyst tells investors in a research note. Even with higher electricity prices as a tailwind, consumer concerns on the economy and prospect for persistently elevated interest rates suggest that a “spring recovery in demand is not yet certain,” says the firm. Oppenheimer notes that Q1 has historically been seasonally weak versus Q4 given consumer spending patterns and weather impact. The firm downgraded the shares and is looking to February/March sell-through as an early indication for an inflection higher, saying it is “premature to make that call” now.