Shoals Technologies Group (NASDAQ:SHLS) Trading Down 7.2% on Disappointing Earnings

Shoals Technologies Group, Inc. (NASDAQ:SHLS - Get Free Report) shares fell 7.2% during trading on Wednesday following a weaker than expected earnings announcement. The stock traded as low as $4.00 and last traded at $3.96. 4,214,938 shares changed hands during trading, a decline of 36% from the average session volume of 6,579,269 shares. The stock had previously closed at $4.27.

The company reported $0.08 earnings per share for the quarter, missing the consensus estimate of $0.09 by ($0.01). Shoals Technologies Group had a return on equity of 9.83% and a net margin of 7.78%. The company had revenue of $107.00 million for the quarter, compared to analysts' expectations of $102.16 million. During the same period in the previous year, the business posted $0.12 EPS. The business's quarterly revenue was down 17.9% on a year-over-year basis.

Analysts Set New Price Targets

Several equities analysts recently issued reports on SHLS shares. Royal Bank of Canada reduced their price objective on shares of Shoals Technologies Group from $9.00 to $7.00 and set an "outperform" rating on the stock in a research note on Wednesday. Roth Mkm dropped their target price on shares of Shoals Technologies Group from $5.00 to $4.50 and set a "neutral" rating for the company in a research report on Wednesday. Wolfe Research assumed coverage on Shoals Technologies Group in a research report on Tuesday, February 18th. They issued a "peer perform" rating on the stock. The Goldman Sachs Group reduced their target price on shares of Shoals Technologies Group from $8.00 to $7.00 and set a "buy" rating on the stock in a research report on Wednesday. Finally, TD Cowen lifted their price objective on Shoals Technologies Group from $9.50 to $11.00 and gave the stock a "buy" rating in a report on Wednesday, November 13th. Three research analysts have rated the stock with a sell rating, seven have given a hold rating and thirteen have given a buy rating to the company. According to MarketBeat, the stock presently has an average rating of "Hold" and an average price target of $8.95.

Institutional Trading of Shoals Technologies Group

Hedge funds have recently bought and sold shares of the company. Point72 Asset Management L.P. grew its holdings in Shoals Technologies Group by 460.1% in the 3rd quarter. Point72 Asset Management L.P. now owns 6,844,222 shares of the company's stock worth $38,396,000 after buying an additional 5,622,207 shares in the last quarter. Erste Asset Management GmbH acquired a new position in shares of Shoals Technologies Group during the third quarter valued at $20,191,000. Norges Bank bought a new stake in shares of Shoals Technologies Group during the fourth quarter valued at about $12,472,000. Verition Fund Management LLC lifted its holdings in Shoals Technologies Group by 938.3% in the third quarter. Verition Fund Management LLC now owns 2,251,093 shares of the company's stock worth $12,629,000 after purchasing an additional 2,034,291 shares during the period. Finally, Impax Asset Management Group plc grew its position in Shoals Technologies Group by 126.3% in the 4th quarter. Impax Asset Management Group plc now owns 3,469,360 shares of the company's stock valued at $19,083,000 after buying an additional 1,935,983 shares in the last quarter.

Shoals Technologies Group Stock Down 12.9 %

The stock has a market cap of $505.10 million, a P/E ratio of 15.15, a price-to-earnings-growth ratio of 0.52 and a beta of 1.62. The stock's 50-day moving average is $4.83 and its 200-day moving average is $5.13. The company has a current ratio of 2.08, a quick ratio of 1.36 and a debt-to-equity ratio of 0.26.

Shoals Technologies Group Company Profile

Shoals Technologies Group, Inc provides electrical balance of system (EBOS) solutions and components for solar, battery energy, and electric vehicle (EV) charging applications in the United States and internationally. The company designs, manufactures, and sells system solutions for both homerun and combine-as-you-go wiring architectures, as well as offers technical support services.