Energy stocks haven’t been so hot lately.
It was the S&P 500 Index’s worst-performing sector in 2018 and 2019. Now, this year’s oil crash threatens to add even more pain to the struggling industry.
However, one high-tech energy company is thriving amongst the chaos. It’s an energy storage pioneer, Enphase Energy Inc. (Nasdaq: ENPH).
After losing 58% of its value during the market crash, ENPH skyrocketed 140% in a matter of weeks.
ENPH Bottomed on March 18 … Then Took Off
Ian King recommended the stock on February 21, noting that the solar power firm grew its year-over-year revenue by 97% in the fourth quarter of 2019.
I asked Ian about it this week, and he credits ENPH’s outperformance last year for its sudden comeback, explaining that “strong stocks going into the sell-off seem to be leading the market higher.”
What’s Next for Enphase Energy
ENPH reported its first-quarter earnings on Tuesday, easily beating analysts’ expectations.
Revenue soared 105% year-over-year.
The stock jumped 19% the day after the positive news was announced. And it looks like ENPH’s rally will continue as the demand for home energy storage keeps growing.
According to Ian, “the trend of cheaper solar installations plus an installed battery doesn’t seem to be going away.”
In fact, California residential energy storage installations are forecast to quadruple in 2020:
And on Tuesday’s earnings call, Chief Executive Officer Badri Kothandaraman announced that the company is on track to start shipping its new Enphase Encharge battery storage systems next month.
That means ENPH has a bright future ahead. So despite its recent surge, it’s still a buy.
In Smart Profits Daily, we’ll continue to keep an eye on the exciting developments going on in the energy sector.
Assistant Managing Editor, Banyan Hill Publishing
P.S. Home energy storage is a tipping-point trend that Ian has zeroed in on in his Automatic Fortunes service. This incredible new technology could help you make huge profits in the next few years. To find out more about Ian’s strategy for trading cutting-edge tech stocks, click here.