Update shared on 27 Nov 2025
Fair value Increased 2.64%Analysts have raised their price target for Array Technologies from $10.61 to $10.89, citing the success of the company's turnaround plan and improvements in U.S. market positioning.
Analyst Commentary
Recent commentary from Street research reveals a mix of optimism about Array Technologies' turnaround progress, market opportunity, and future earnings potential, while also noting several challenges and risks to the outlook.
Bullish Takeaways- Bullish analysts are raising price targets based on the company's ongoing turnaround, citing strengthened positioning and operational improvement in the U.S. market.
- Expectations for normalized EBITDA margins in the mid-to-high teens by 2026 are viewed as attainable. This outlook is supported by a growing backlog and a focus on quality customers.
- Solid bookings performance, including a recent $500 million in orders at a robust book-to-bill ratio, signals sustained demand for Array Technologies products.
- Recent coverage initiations with favorable ratings highlight optimism about management's execution on deleveraging, acquisition opportunities, and capturing industry growth over the next several years.
- Bearish analysts are concerned about risks stemming from rising tariffs, particularly new import duties on materials from India and Mexico. These factors could challenge the company's fiscal 2025 margin targets.
- Cautious commentary points to a mixed near-term earnings outlook, with weaker fourth-quarter EBITDA guidance tempering enthusiasm about recent bookings momentum.
- There are doubts about the achievability of the company's stated margin goals given the evolving competitive and regulatory environment.
What's in the News
- The White House is considering canceling an additional $12 billion in clean energy funding, which could impact major industry players including Array Technologies (Semafor).
- Array Technologies has updated its earnings guidance for the year ending December 31, 2025, forecasting revenue in the range of $1.25 billion to $1.28 billion.
- Array Technologies' DuraTrack and OmniTrack tracker systems have been verified by Intertek as fully compatible with 2,000-volt module-wired systems, highlighting the company's ability to support advanced solar technology standards.
Valuation Changes
- The consensus analyst price target has risen slightly, increasing from $10.61 to $10.89 per share.
- The discount rate has moved up marginally, changing from 11.02 percent to 11.11 percent.
- The revenue growth forecast has improved, rising from 5.47 percent to 5.78 percent.
- The net profit margin expectation has fallen, decreasing from 7.25 percent to 6.42 percent.
- The future price/earnings ratio has increased noticeably, moving from 19.84x to 22.71x.
Disclaimer
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