Solaredge: UBS maintains Neutral rating, raises PT to $30 from $20.

Solaredge: UBS maintains Neutral rating, raises PT to $30 from $20.

UBS Group AG has maintained a neutral rating on SolarEdge Technologies (SEDG) while raising its price target to $30 from $20, according to a recent regulatory filing [1]. The Swiss bank's decision comes after SolarEdge reported its second-quarter 2025 results, which showed an increase in sales and a reduced net loss. The company's revenue guidance for the coming quarter was also positive, with projections ranging from $315 million to $355 million.

The bank's revised price target reflects a more optimistic view of SolarEdge's prospects, particularly its growing demand for integrated solar, storage, and EV solutions. The Schaeffler partnership, which aims to roll out around 2,300 electric vehicle charging points across European sites, is seen as a significant catalyst for the company's commercial segment growth [1].

However, UBS also noted that persistent margin pressure and ongoing losses remain key risks for the company. The bank's analysts expect SolarEdge to achieve $1.7 billion in revenue and $13.2 million in earnings by 2028, assuming a 20.7% annual revenue growth rate and an earnings increase of about $1.71 billion from current earnings of -$1.7 billion [1].

The fair value estimates for SolarEdge range significantly, with community fair value estimates ranging from $19.63 to $109.67 per share [1]. UBS's revised price target of $30 suggests that the bank believes the company's recent performance and partnerships are likely to drive growth and profitability, despite the ongoing challenges.

References:
[1] https://simplywall.st/stocks/us/semiconductors/nasdaq-sedg/solaredge-technologies/news/solaredge-technologies-sedg-rises-205-after-q2-sales-beat-an