Stock Markets May 13, 2026 11:47 AM

Nextpower's Strong Quarter Sparks Rally Across Solar Equipment Stocks

Shares of Enphase, SolarEdge and First Solar climb after Nextpower tops estimates and raises guidance

By Avery Klein ENPH SEDG FSLR

Shares of several major solar technology companies climbed Wednesday after Nextpower reported fiscal fourth quarter 2026 results that beat analyst expectations and lifted revenue guidance for the year ahead. The stronger-than-expected report sent Nextpower shares higher and appeared to improve sentiment across the solar equipment and broader renewable energy technology complex.

Nextpower's Strong Quarter Sparks Rally Across Solar Equipment Stocks
ENPH SEDG FSLR

Key Points

  • Nextpower reported adjusted diluted EPS of $1.05 for Q4 fiscal 2026, beating the $0.93 analyst consensus - impacting solar technology and equipment stocks.
  • Quarterly revenue was $881 million versus a $827 million consensus; full-year fiscal 2026 revenue was $3.56 billion, up 20% year over year - relevant to renewable energy market forecasts.
  • Nextpower raised fiscal 2027 revenue guidance to $3.8 billion to $4.1 billion, announced an approximately $80.5 million cash acquisition and plans to invest an additional $50 million to support growth initiatives.

Shares of Enphase Energy Inc (NASDAQ:ENPH) rose 10.3% on Wednesday, while SolarEdge Technologies Inc (NASDAQ:SEDG) advanced 7.2% and First Solar Inc (NASDAQ:FSLR) increased 5.1%, as investor interest in solar technology names picked up following a robust quarterly report from Nextpower.

Nextpower shares jumped 13.6% to $140.81 after the company released its fourth quarter fiscal 2026 results, which topped Wall Street projections. The company reported adjusted diluted earnings per share of $1.05, exceeding the analyst consensus of $0.93.

Quarterly revenue came in at $881 million, above the $827 million consensus estimate. Revenue for the quarter ended March 31, 2026 also represented an increase compared with the same period a year earlier. For the full fiscal year 2026, Nextpower recorded revenue of $3.56 billion, a 20% increase year over year.

Alongside the results, Nextpower raised its fiscal 2027 revenue outlook to a range of $3.8 billion to $4.1 billion. The company announced an acquisition valued at approximately $80.5 million in cash and said it plans to invest an additional $50 million to support growth initiatives. Management indicated the acquisition should strengthen its utility-scale solar inverter capabilities and support its expansion into battery storage and data center power markets.

Nextpower ended the quarter with approximately $1.1 billion in cash and cash equivalents and reported having no debt on its balance sheet. The combination of stronger-than-expected results, a raised revenue guide, the acquisition and the cash position coincided with Nextpower stock reaching a new 52-week high during Wednesday session.

Several research firms adjusted their targets after the release. Citi increased its price target to $145 while maintaining a Buy rating. Susquehanna raised its target to $161 with a Positive rating. Baird lifted its target to $156 and kept an Outperform rating. These revisions followed the company announcement and likely contributed to the upward movement in Nextpower shares and the sector.


Sector reaction and context

The upbeat Nextpower report appeared to lift sentiment in the solar technology segment, with related equipment and module names responding positively in midweek trading. The move included gains in inverter and system technology providers as investors recalibrated expectations for demand and growth for the coming year.


Summary

Nextpower exceeded quarterly earnings and revenue estimates, raised fiscal 2027 revenue guidance, announced an approximately $80.5 million cash acquisition plus a planned $50 million investment, and reported about $1.1 billion in cash with no debt. The results and guidance revision helped drive Nextpower to a 52-week high and coincided with share-price gains at Enphase, SolarEdge and First Solar.

Risks

  • Future performance depends on execution of the announced acquisition and the planned $50 million investment, which affects Nextpower's expansion into utility-scale inverters, battery storage and data center power markets.
  • Revenue and profit outlooks remain subject to the company meeting its raised fiscal 2027 guidance, which influences investor expectations across solar technology and equipment providers.

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