SolarEdge downgraded to Underperform from Hold at Jefferies

Jefferies analyst Julien Dumoulin-Smith downgraded SolarEdge to Underperform from Hold with a price target of $17, down from $27. Given “significant headwinds” in Europe from “persistently high” inventory levels and Chinese competition, as well as “stiff competition” in U.S., there is more downside to the stock as estimates are revised lower, the analyst tells investors in a research note. The firm says uncertainty around SolarEdge’s CEO and backdrop on succession are concerns as well. The company’s pricing pressure is not priced into the shares, contends Jefferies.