WallStSmart

SolarEdge Technologies Inc (SEDG)vsShoals Technologies Group Inc (SHLS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

SolarEdge Technologies Inc generates 149% more annual revenue ($1.18B vs $475.33M). SHLS leads profitability with a 7.1% profit margin vs -34.2%. SHLS appears more attractively valued with a PEG of 0.61. SHLS earns a higher WallStSmart Score of 70/100 (B-).

SEDG

Hold

45

out of 100

Grade: D

Growth: 7.3Profit: 2.0Value: 4.0Quality: 5.8
Piotroski: 6/9Altman Z: 0.17

SHLS

Strong Buy

70

out of 100

Grade: B-

Growth: 8.7Profit: 5.5Value: 7.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for SEDG.

SHLSSignificantly Overvalued (-21.2%)

Margin of Safety

-21.2%

Fair Value

$8.08

Current Price

$6.91

$1.17 premium

UndervaluedFair: $8.08Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SEDG2 strengths · Avg: 10.0/10
Revenue GrowthGrowth
70.9%10/10

Revenue surging 70.9% year-over-year

EPS GrowthGrowth
660.0%10/10

Earnings expanding 660.0% YoY

SHLS4 strengths · Avg: 8.5/10
Revenue GrowthGrowth
38.6%10/10

Revenue surging 38.6% year-over-year

PEG RatioValuation
0.618/10

Growing faster than its price suggests

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

EPS GrowthGrowth
21.0%8/10

Earnings expanding 21.0% YoY

Areas to Watch

SEDG4 concerns · Avg: 1.8/10
PEG RatioValuation
4.612/10

Expensive relative to growth rate

Return on EquityProfitability
-74.7%2/10

ROE of -74.7% — below average capital efficiency

Altman Z-ScoreHealth
0.172/10

Distress zone — elevated risk

Profit MarginProfitability
-34.2%1/10

Currently unprofitable

SHLS4 concerns · Avg: 3.3/10
P/E RatioValuation
34.5x4/10

Premium valuation, high expectations priced in

Market CapQuality
$1.16B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
5.8%3/10

ROE of 5.8% — below average capital efficiency

Profit MarginProfitability
7.1%3/10

7.1% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : SEDG

The strongest argument for SEDG centers on Revenue Growth, EPS Growth. Revenue growth of 70.9% demonstrates continued momentum.

Bull Case : SHLS

The strongest argument for SHLS centers on Revenue Growth, PEG Ratio, Price/Book. Revenue growth of 38.6% demonstrates continued momentum. PEG of 0.61 suggests the stock is reasonably priced for its growth.

Bear Case : SEDG

The primary concerns for SEDG are PEG Ratio, Return on Equity, Altman Z-Score.

Bear Case : SHLS

The primary concerns for SHLS are P/E Ratio, Market Cap, Return on Equity.

Key Dynamics to Monitor

SHLS carries more volatility with a beta of 1.76 — expect wider price swings.

SEDG is growing revenue faster at 70.9% — sustainability is the question.

SEDG generates stronger free cash flow (43M), providing more financial flexibility.

Monitor SOLAR industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SHLS scores higher overall (70/100 vs 45/100) and 38.6% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

SolarEdge Technologies Inc

TECHNOLOGY · SOLAR · USA

SolarEdge Technologies, Inc. designs, develops and sells optimized direct current (DC) inverter systems for solar photovoltaic (PV) installations worldwide. The company is headquartered in Herzliya, Israel.

Shoals Technologies Group Inc

TECHNOLOGY · SOLAR · USA

Shoals Technologies Group, Inc. provides Electric Balance System (EBOS) solutions for solar energy projects in the United States. The company is headquartered in Portland, Tennessee.

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