Analyst Ratings January 28, 2026

UBS Lifts Nextpower Price Target to $140, Citing Leadership in Solar Trackers and Strong Demand

Analyst maintains Buy rating as earnings beat, backlog gains and strategic expansion bolster bullish outlook

By Sofia Navarro NXT
UBS Lifts Nextpower Price Target to $140, Citing Leadership in Solar Trackers and Strong Demand
NXT

UBS increased its price target on Nextpower (NXT) to $140 from $125 and kept a Buy rating, citing the company’s leading position in solar trackers, strong customer relationships and its shift toward a broader electric hardware platform. The upgrade follows robust quarterly results and additional positive analyst actions from JPMorgan and KeyBanc, reflecting momentum across bookings, backlog and revenue growth.

Key Points

  • UBS raised its price target on Nextpower to $140 from $125 and maintained a Buy rating, citing leadership in solar trackers and strong customer relationships.
  • Nextpower reported Q3 FY2026 EPS of $1.10 and revenue of $909 million, both above expectations, and the company reported a book-to-bill ratio above 1.0 and a record backlog.
  • Other analysts followed with positive actions: JPMorgan raised its price target to $125 with an Overweight rating; KeyBanc upgraded to Overweight with a $142 price target, highlighting multi-year growth visibility and platform diversification.

UBS has raised its price target on Nextpower (NASDAQ:NXT) to $140.00 from $125.00 while retaining a Buy rating on the stock. The firm pointed to Nextpower’s market leadership in solar trackers and deep customer relationships as central reasons for the change in valuation. Trading at $105.91 at the time of the update, Nextpower has delivered a 167.31% return over the trailing 12 months.

UBS framed Nextpower as a top pick within the clean energy sector, aligning the buy recommendation with the company’s recent financial performance. The company reported revenue growth of 30.02% and carries an overall financial health score of 3.73, rated "GREAT" under InvestingPro’s evaluation metrics.

The research note emphasized Nextpower’s ongoing evolution from a pure-play solar tracker manufacturer into a diversified electric hardware supplier - a strategic shift that expands the company’s product set beyond its established core business. UBS said this transition supports a thesis that Nextpower can consistently deliver results, and that the market should, in UBS’s view, award the company higher-than-peer multiples because many competitors in the sector have shown historically inconsistent performance.

UBS also adjusted its adjusted EBITDA forecasts for Nextpower, citing fourth-quarter 2025 results and what it described as improved visibility into industry demand growth. The firm now projects adjusted EBITDA of $915 million for 2026, $1,194 million for 2027, and $1,375 million for 2028.

Those estimates come amid strong reported operational results. Nextpower posted third-quarter results for fiscal 2026 that topped consensus expectations. The company recorded earnings per share of $1.10 versus a forecast of $0.70, while revenue reached $909 million compared with an anticipated $745.13 million.

Following the quarterly beat, other sell-side firms also took action. JPMorgan increased its price target on Nextpower from $110.00 to $125.00 while maintaining an Overweight rating. JPMorgan noted a book-to-bill ratio greater than 1.0 and a record backlog, attributing momentum to strength in the U.S. market, record bookings in Europe, and expansion into two additional countries.

KeyBanc Capital Markets upgraded Nextpower from Sector Weight to Overweight and set a price target of $142.00. KeyBanc’s upgrade cited a favorable risk-reward profile underpinned by visible multi-year growth drivers and a platform that extends beyond traditional solar trackers.

Taken together, the UBS revision and the actions by JPMorgan and KeyBanc underscore a period of significant positive momentum for Nextpower, driven by above-consensus quarterly results, accelerating backlog and analyst confidence in the company’s strategic repositioning within the clean energy hardware market.

Risks

  • Valuation sensitivity tied to sector volatility - UBS notes many competitors have historically inconsistent performance, which could affect relative multiples and investor sentiment in the clean energy equipment sector.
  • Dependence on continued industry demand - UBS’s revised adjusted EBITDA forecasts for 2026-2028 reflect fourth-quarter 2025 results and current visibility into demand growth; changes in that demand could alter these projections.
  • Concentration of growth drivers - momentum cited in the U.S. market and record bookings in Europe underpin the current backlog; any slowdown in these regions or in the company’s international expansion could impact near-term results.

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