As of Thursday close, Shoals Technologies Group Inc.’s (NASDAQ:SHLS) stock was down -$0.51, moving down -2.08 percent to $24.00. The average number of shares traded per day over the past five days has been 3,295,480 shares. 1 time new highs have been achieved over the past 5 days, with a -$2.24 fall in that time frame. In the last twenty days, the average volume was 2,332,040, while in the previous 50 days, it was 2,146,360.
Since last month, SHLS stock retreated -1.28%. Shares of the company fell to $22.34 on 07/07/23, the lowest level in the past month. A 52-week high of $32.43 was reached on 01/24/23 after having rallying from a 52-week low of $17.32. Since the beginning of this year, SHLS’s stock price has dropped by -2.72% or -$0.67, and marked a new high 7 times. However, the stock has declined by -25.99% since its 52-week high.
SHLS stock investors should be aware that Shoals Technologies Group Inc. (SHLS) stock had its last reported insider trading activity 49 days ago on Jun 16. Peetz Mehgan, the General Counsel of the company, disposed of 7,279 shares for $24.78 on Jun 16. It resulted in a $180,374 divestment by the insider. TOLNAR JEFFERY sold 1,415 shares at an average price of $22.79 on Apr 03. The insider now owns 64,629 shares following the transaction. On Mar 15, President TOLNAR JEFFERY sold 3,575 shares at $19.73 apiece. The transaction was valued at $70,535.
Valuation Metrics
Right now, Shoals Technologies Group Inc. (SHLS) has a P/E ratio of about 44.04. The stock’s beta is 2.04. Besides these, the trailing price-to-sales (P/S) ratio of 11.13, the price-to-book (PB) ratio of 6.94, and the price-to-cash flow ratio of 57.18 may also be considered.
Financial Health
In the three months ended June 29, Shoals Technologies Group Inc.’s quick ratio stood at 1.70, while its current ratio was 2.80, showing that the company is able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending June 29 was 0.46, and the total debt-to-equity ratio was 0.47. On the profitability front, the trailing twelve-month gross margin is 42.10% percent. In the year ended June 29, EBITDA margin amounted to 23.52%, whereas operating margins totaled 22.70%. Based on annual data, SHLS earned $131.31 million in gross profit and brought in $326.94 million in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 10.80%. Return on equity (ROE) for the past 12 months was 66.40%.
In Shoals Technologies Group Inc.’s quarter-end financial report for June 29, it reported total debt of $20.0 million. According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. SHLS’s revenue rose 38.35% to $105.09 million during the quarter, while net income inched up to $119.21 million. While analysts expected Shoals Technologies Group Inc. to report $0.13 quarterly earnings, the actual figure was $0.14 per share, beating the consensus estimate by 7.70%. During the quarter, the company generated $34.56 million in EBITDA. The liabilities of Shoals Technologies Group Inc. were 289.42 million at the end of its most recent quarter ended June 29, and its total debt was $214.23 million. The value of shareholders’ equity is $169.94 million.
Technical Picture
This quick technical analysis looks at Shoals Technologies Group Inc.’s (SHLS) price momentum. With a historical volatility rate of 34.50%, the RSI 9-day stood at 32.44% on 03 August.
With respect to its five-day moving average, the current Shoals Technologies Group Inc. price is down by -8.54% percent or -$2.24. At present, SHLS shares trade +5.45% above its 20-day simple moving average and +9.89% percent above its 100-day simple moving average. However, the stock is currently trading approximately -0.66% below its SMA50 and +20.06% above its SMA200.
Stochastic coefficient K was 26.62% and Stochastic coefficient D was 38.85%, while ATR was 1.45. Given the Stochastic reading of 14.73% for the 14-day period, the RSI (14) reading has been calculated as 40.66%. As of today, the MACD Oscillator reading stands at -1.09, while the 14-day reading stands at -1.30.
Analyst Ratings
Northland Capital upgraded its rating on Shoals Technologies Group Inc. (NASDAQ: SHLS) to an Outperform in a note to investors on May 09, 2023. The analysts firm previously had a Market perform rating on the stock.Shoals Technologies Group Inc. (SHLS) has been rated Overweight by analysts. According to 1 brokerage firm, SHLS is a sell, and 4 firms recommend it is a Hold. There are 1 analyst who say the stock is underweight. A total of 0 analysts rate Shoals Technologies Group Inc. stock as buy, with 10 recommending it as overweight.
With a median target price of $31.00, the current consensus forecast for the stock is $20.00 – $42.00. Based on these forecasts, analysts predict Shoals Technologies Group Inc. (SHLS) will achieve an average price target of $32.00.
