Nextracker (NASDAQ:NXT) Shares Gap Up After Strong Earnings

Nextracker Inc. (NASDAQ:NXT - Get Free Report)'s share price gapped up prior to trading on Wednesday after the company announced better than expected quarterly earnings. The stock had previously closed at $39.62, but opened at $49.90. Nextracker shares last traded at $48.98, with a volume of 3,313,926 shares.

The company reported $0.89 earnings per share for the quarter, beating the consensus estimate of $0.58 by $0.31. Nextracker had a return on equity of 559.17% and a net margin of 17.26%.

Wall Street Analysts Forecast Growth

A number of brokerages have weighed in on NXT. Susquehanna lifted their target price on Nextracker from $50.00 to $54.00 and gave the company a "positive" rating in a research report on Wednesday. Guggenheim lifted their price target on Nextracker from $50.00 to $62.00 and gave the company a "buy" rating in a report on Wednesday. TD Cowen initiated coverage on Nextracker in a report on Thursday, December 19th. They issued a "hold" rating and a $41.00 price target on the stock. UBS Group lifted their price target on Nextracker from $60.00 to $66.00 and gave the company a "buy" rating in a report on Wednesday. Finally, The Goldman Sachs Group boosted their target price on Nextracker from $54.00 to $61.00 and gave the stock a "buy" rating in a research note on Wednesday. Three analysts have rated the stock with a hold rating, nineteen have assigned a buy rating and two have assigned a strong buy rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $56.50.

Insider Activity

In related news, President Howard Wenger sold 6,066 shares of the stock in a transaction that occurred on Thursday, January 16th. The stock was sold at an average price of $45.00, for a total value of $272,970.00. Following the completion of the transaction, the president now directly owns 209,365 shares in the company, valued at approximately $9,421,425. This represents a 2.82 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Company insiders own 0.27% of the company's stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the business. Allworth Financial LP lifted its stake in Nextracker by 52.4% during the fourth quarter. Allworth Financial LP now owns 803 shares of the company's stock worth $29,000 after purchasing an additional 276 shares in the last quarter. Quarry LP lifted its stake in Nextracker by 61.5% during the third quarter. Quarry LP now owns 1,119 shares of the company's stock worth $42,000 after purchasing an additional 426 shares in the last quarter. GAMMA Investing LLC lifted its stake in Nextracker by 83.2% during the third quarter. GAMMA Investing LLC now owns 1,209 shares of the company's stock worth $45,000 after purchasing an additional 549 shares in the last quarter. Principal Securities Inc. lifted its stake in Nextracker by 41.8% during the fourth quarter. Principal Securities Inc. now owns 1,390 shares of the company's stock worth $51,000 after purchasing an additional 410 shares in the last quarter. Finally, Nisa Investment Advisors LLC lifted its stake in Nextracker by 38.4% during the fourth quarter. Nisa Investment Advisors LLC now owns 1,859 shares of the company's stock worth $68,000 after purchasing an additional 516 shares in the last quarter. 67.41% of the stock is currently owned by hedge funds and other institutional investors.

Nextracker Stock Performance

The firm has a market capitalization of $7.37 billion, a price-to-earnings ratio of 12.63 and a beta of 2.04. The company has a debt-to-equity ratio of 0.11, a current ratio of 2.21 and a quick ratio of 1.99. The firm has a 50 day moving average price of $39.20 and a 200-day moving average price of $39.00.

Nextracker Company Profile

Nextracker Inc, an energy solutions company, provides solar tracker and software solutions for utility-scale and distributed generation solar projects in the United States and internationally. The company offers tracking solutions, which includes NX Horizon, a solar tracking solution; and NX Horizon-XTR, a terrain-following tracker designed to expand the addressable market for trackers on sites with sloped, uneven, and challenging terrain.