EnerSys (ENS)
NYSE:ENS
Want to see ENS full AI Analyst Report?
Top Page
EnerSys
(NYSE:ENS)
Select Model
Select Model
Rating:79Outperform
Price Target:
$270.00
▲(35.68% Upside)
Action:Reiterated
Date:05/29/26
The score is driven primarily by strong financial health (significant balance-sheet de-risking and robust 2026 free cash flow) and solid technical uptrend signals. The main offsets are moderate valuation with a low dividend yield, and near-term execution risks highlighted on the earnings call—margin pressure, pockets of demand softness, and reliance on 45X benefits for reported results.
Positive Factors
De‑risked balance sheet
A dramatic debt reduction and very low leverage materially improve financial flexibility, enabling durable capacity for buybacks, targeted M&A, and investment in product commercialization. This reduces refinancing risk and helps the company better withstand demand cyclicality over the next 2–6 months and beyond.
Negative Factors
Margin pressure and profit softness
Recent margin erosion reflects tariff, freight and cost headwinds that compressed operating leverage even as revenue grew. Sustained margin pressure would weaken intrinsic profitability and could limit funding for growth initiatives or force higher pricing, which risks demand over time.
Read all positive and negative factors
Positive Factors
Negative Factors
De‑risked balance sheet
A dramatic debt reduction and very low leverage materially improve financial flexibility, enabling durable capacity for buybacks, targeted M&A, and investment in product commercialization. This reduces refinancing risk and helps the company better withstand demand cyclicality over the next 2–6 months and beyond.
Read all positive factors
EnerSys (ENS) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$8.70B
Dividend Yield0.67%
Average Volume (3M)427.45K
Price to Earnings (P/E)29.0
Beta (1Y)1.15
Revenue Growth3.70%
EPS Growth-14.17%
CountryUS
Employees10,797
SectorIndustrials
Sector Strength72
IndustryElectrical Equipment & Parts
Share Statistics
EPS (TTM)7.84
Shares Outstanding36,517,773
10 Day Avg. Volume583,163
30 Day Avg. Volume427,449
Financial Highlights & Ratios
PEG Ratio-1.55
Price to Book (P/B)3.41
Price to Sales (P/S)1.73
P/FCF Ratio13.91
Enterprise Value/Market Cap1.04
Enterprise Value/Revenue2.42
Enterprise Value/Gross Profit8.27
Enterprise Value/Ebitda17.75
Forecast
1Y Price Target
$257.50Price Target Upside29.40% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering5
EPS Forecast (FY)12.03
Revenue Forecast (FY)$3.91B
EnerSys Business Overview & Revenue Model
Company Description
EnerSys provides various stored energy solutions for industrial applications worldwide. It operates in three segments: Energy Systems, Motive Power, and Specialty. The company offers uninterruptible power systems applications for computer and comp...
How the Company Makes Money
EnerSys makes money primarily by selling stored-energy products and related services to industrial and infrastructure customers. A core revenue stream is the manufacture and sale of batteries and battery systems (including both lead-acid and lithi...
EnerSys Earnings Call Summary
Earnings Call Date:May 20, 2026
(Q4-2026)
| % Change Since: |
Next Earnings Date:Aug 12, 2026
Earnings Call Sentiment Positive
The call presented multiple material operating and financial achievements: record adjusted EPS (both including and excluding 45X), all‑time high full‑year revenue of $3.8 billion, strong free cash flow, reduced net debt and low leverage, meaningful cost and footprint actions with projected savings, and improving order trends (Q4 book-to-bill 1.1x). Offsetting these positives were ongoing volume softness (notably in Motive Power and transportation), gross margin pressure from tariffs/freight and inflation (~$20M impact), short‑term geopolitical cost pressures, and some reliance on IRC 45X tax benefits for headline results. Management articulated clear operational actions, buybacks, and product commercialization roadmaps with cautious optimism for recovery across key end markets. On balance, the highlights and company progress outweigh the challenges.Positive Updates
Record Adjusted EPS and Strong Earnings
Q4 record adjusted diluted EPS of $3.19, up 7% year-over-year; excluding IRC 45X benefit adjusted EPS was $1.96, up 5% year-over-year. Full year adjusted diluted EPS was $10.56 (+4% year-over-year); excluding 45X full-year adjusted EPS was a record $6.41 (+$0.82 vs prior year).
Negative Updates
Volume Weakness and Organic Decline
Q4 organic volume decreased 6% year-over-year (total net sales up only 1% in Q4 due to +4% price/mix and +3% FX offsetting volume decline). Company cited softness in electric forklift and transportation markets.
Read all updates
Q4-2026 Updates
Positive
Negative
Record Adjusted EPS and Strong Earnings
Q4 record adjusted diluted EPS of $3.19, up 7% year-over-year; excluding IRC 45X benefit adjusted EPS was $1.96, up 5% year-over-year. Full year adjusted diluted EPS was $10.56 (+4% year-over-year); excluding 45X full-year adjusted EPS was a record $6.41 (+$0.82 vs prior year).
Read all positive updates
Company Guidance
For Q1 FY2027 EnerSys guided net sales of $915 million to $955 million and adjusted diluted EPS of $2.80 to $2.90 per share (which incorporates $42 million to $47 million of IRC 45X tax-credit benefits to cost of sales); excluding 45X they expect adjusted diluted EPS of $1.61 to $1.71. For fiscal 2027 the company expects adjusted operating earnings growth (excluding 45X) to outpace revenue growth, a full‑year adjusted tax rate (as adjusted before 45X) of about 21.5%–23.5%, and capital expenditures of roughly $70 million. Management cited a strong balance sheet and liquidity (cash $440M, net debt $684M, leverage ~1.1x, $876M buyback authorization) and pointed to FY26 results (net sales $3.8B, adjusted diluted EPS $10.56 / $6.41 excluding 45X, and free cash flow $468M) as the base from which they expect the FY27 improvements to be delivered.EnerSys Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
88
Very Positive
Cash Flow
81
Very Positive
| Breakdown | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 3.75B | 3.62B | 3.58B | 3.71B | 3.36B |
| Gross Profit | 1.10B | 1.09B | 982.89M | 840.14M | 749.97M |
| EBITDA | 511.46M | 558.57M | 434.16M | 361.32M | 307.59M |
| Net Income | 293.56M | 363.74M | 269.10M | 175.81M | 143.91M |
Balance Sheet | |||||
| Total Assets | 4.00B | 3.97B | 3.47B | 3.62B | 3.74B |
| Cash, Cash Equivalents and Short-Term Investments | 438.68M | 343.13M | 333.32M | 346.67M | 402.49M |
| Total Debt | 1.19B | 1.20B | 914.26M | 1.09B | 1.37B |
| Total Liabilities | 2.09B | 2.05B | 1.71B | 2.01B | 2.24B |
| Stockholders Equity | 1.91B | 1.92B | 1.75B | 1.60B | 1.49B |
Cash Flow | |||||
| Free Cash Flow | 467.52M | 139.26M | 370.59M | 191.17M | -139.63M |
| Operating Cash Flow | 547.60M | 260.30M | 457.03M | 279.94M | -65.58M |
| Investing Cash Flow | -87.88M | -336.39M | -92.48M | -44.80M | -69.23M |
| Financing Cash Flow | -380.70M | 90.27M | -370.56M | -270.45M | 98.43M |
EnerSys Technical Analysis
Neutral
199.00
Price Trends
210.53
Positive
190.72
Positive
158.70
Positive
Market Momentum
6.25
Positive
51.12
Neutral
59.68
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ENS, the sentiment is Neutral. The current price of 199 is below the 20-day moving average (MA) of 232.14, below the 50-day MA of 210.53, and above the 200-day MA of 158.70, indicating a neutral trend. The MACD of 6.25 indicates Positive momentum. The RSI at 51.12 is Neutral, neither overbought nor oversold. The STOCH value of 59.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ENS.
EnerSys Risk Analysis
EnerSys disclosed 39 risk factors in its most recent earnings report. EnerSys reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
EnerSys Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
84 Outperform | $10.93B | 55.44 | 28.61% | 0.32% | 4.50% | 7.18% | |
79 Outperform | $8.70B | 28.97 | 15.60% | 0.67% | 3.70% | -14.17% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
57 Neutral | $1.29B | 6.83 | 116.90% | 6.02% | 2.71% | 266.27% | |
55 Neutral | $1.82B | -9.23 | -0.28% | ― | 49.88% | 27.54% | |
52 Neutral | $2.74B | -5.05 | 41.50% | ― | 725.76% | 20.97% | |
51 Neutral | $5.02B | -2.66 | -139.28% | ― | 15.19% | 42.87% |
* Industrials Sector Average
ENS
EnerSys
227.08
140.90
163.50%
ENR
Energizer Holdings
19.44
-1.70
-8.04%
PLUG
Plug Power
3.22
2.25
231.44%
POWL
Powell Industries
284.87
221.38
348.68%
EOSE
Eos Energy Enterprises
7.08
3.24
84.38%
ENVX
Enovix
7.28
-1.03
-12.39%
EnerSys Corporate Events
Business Operations and StrategyExecutive/Board Changes
EnerSys Realigns Operations Into Three New Business Segments
Positive
May 28, 2026
On May 28, 2026, EnerSys announced a major realignment of its operating structure, consolidating its former four segments into three new reportable units: Network Infrastructure Solutions, Industrial Mobility Solutions and Precision Power Solutio...
Business Operations and StrategyStock BuybackDividendsFinancial Disclosures
EnerSys Posts Record Results and Declares Quarterly Dividend
Positive
May 20, 2026
EnerSys reported fourth quarter and full-year fiscal 2026 results on May 20, 2026, with net sales for the quarter rising 1% to $988 million and full-year sales reaching a record $3.75 billion, up 4% from fiscal 2025. Despite GAAP diluted EPS decli...
Business Operations and Strategy
EnerSys Restructures Operations, Shifts Production to Missouri
Negative
Mar 25, 2026
On March 25, 2026, EnerSys announced a strategic restructuring of its manufacturing footprint, closing its legacy lead‑acid battery plant in Tijuana, Mexico and shifting most of that output to its advanced Thin Plate Pure Lead facility in Sp...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.