SolarEdge IPO

SolarEdge deals in the solar electronics industry. It is a solar  microinverter company, that optimizes the power from solar panels. The company designs inverters that maximize power generation at the individual PV module level, while lowering the cost of energy. The company has presence in residential, commercial and utility markets. SolarEdge occupies an important place in the solar industry, as it optimizes the power from each solar panel while minimizing the cost. The industry cannot work on the panels itself, it needs some sort of power management. Hence the products designed by SolarEdge are very useful for module manufacturers, installers, and system owners. The company began its commercial shipments in 2010 and has already shipped approximately 1.3 GW of inverters in more than 70 countries.

Recently the company raised $126 million in its IPO. It sold 7 million share at $18 each. A lot of solar companies are listing their IPOs. There is news of SunRun going public too this year. SolarEdge has been listed on the NASDAQ with ticker symbol “SEDG“. The stock last traded at $24.51 and has a market capitalization of ~$952 million. The stock has climbed up 18%, since its listing on March 27, 2015.  The competitors for SolarEdge in the industry are Enphase Energy (ENPH), Tigo Energy, SolarBridge Technologies. SolarEdge’s revenues grew 68% annually in the last year. The company has a lot of potential, with the solar industry expected to grow by leaps and bounds. I think it deserves to be in one’s portfolio, given the growth of the industry and the company’s intelligent product portfolio.

Source: Google Finance