Janney upgrades Enphase Energy to Buy after 40% decline from peak

As previously reported, Janney Montgomery Scott analyst Sean Milligan upgraded Enphase Energy (ENPH) to Buy from Neutral with a $282 fair value estimate, which represents about 42% upside. Since the firm initiated coverage on the stock on February 2, shares have declined by about 13% while the firm’s view of the relative value has increased by about 18% as public installers have spoken positively about market trends, confirming similar comments Enphase made on their Q4 earnings call. Enphase management also detailed the expected financial impact from 45x ITCs in the coming years, said the firm, which sees expectations regarding softness in domestic residential solar markets as "priced in" with the shares trading at a slight discount to closest competitor Solaredge Technologies (SEDG).