NOT FOR DISTRIBUTION
Header cover image

Market Cap

US$5.5b

Last Updated

2021/04/19 22:05 UTC

Data Sources

Company Financials +

Executive Summary

Shoals Technologies Group, Inc. provides electrical balance of system (EBOS) solutions for solar energy projects in the United States. More Details


Snowflake Analysis

Exceptional growth potential with acceptable track record.

Share Price & News

How has Shoals Technologies Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SHLS is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 12% a week.

Volatility Over Time: Insufficient data to determine SHLS's volatility change over the past year.


Market Performance


7 Day Return

-7.9%

SHLS

-0.4%

US Electrical

1.3%

US Market


1 Year Return

n/a

SHLS

94.1%

US Electrical

53.8%

US Market

Return vs Industry: Insufficient data to determine how SHLS performed against the US Electrical industry.

Return vs Market: Insufficient data to determine how SHLS performed against the US Market.


Shareholder returns

SHLSIndustryMarket
7 Day-7.9%-0.4%1.3%
30 Day-0.2%1.6%5.1%
90 Dayn/a3.2%8.9%
1 Yearn/a97.7%94.1%56.6%53.8%
3 Yearn/a74.9%65.1%64.4%53.6%
5 Yearn/a99.8%83.2%120.4%95.7%

Long-Term Price Volatility Vs. Market

How volatile is Shoals Technologies Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Shoals Technologies Group undervalued compared to its fair value and its price relative to the market?

147.43x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SHLS ($33.07) is trading above our estimate of fair value ($20.06)

Significantly Below Fair Value: SHLS is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: SHLS is poor value based on its PE Ratio (157x) compared to the US Electrical industry average (30.8x).

PE vs Market: SHLS is poor value based on its PE Ratio (157x) compared to the US market (22.4x).


Price to Earnings Growth Ratio

PEG Ratio: SHLS is poor value based on its PEG Ratio (3.3x)


Price to Book Ratio

PB vs Industry: SHLS has negative assets, so we can't compare its PB Ratio to the US Electrical industry average.


Future Growth

How is Shoals Technologies Group forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

47.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SHLS's forecast earnings growth (47.4% per year) is above the savings rate (2%).

Earnings vs Market: SHLS's earnings (47.4% per year) are forecast to grow faster than the US market (17.9% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SHLS's revenue (26.1% per year) is forecast to grow faster than the US market (9.3% per year).

High Growth Revenue: SHLS's revenue (26.1% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SHLS's Return on Equity is forecast to be very high in 3 years time (71.2%).


Past Performance

How has Shoals Technologies Group performed over the past 5 years?

34.1%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: SHLS has high quality earnings.

Growing Profit Margin: SHLS's current net profit margins (19.2%) are higher than last year (17.4%).


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if SHLS's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Insufficient data to compare SHLS's past year earnings growth to its 5-year average.

Earnings vs Industry: SHLS earnings growth over the past year (34.1%) exceeded the Electrical industry -8.9%.


Return on Equity

High ROE: SHLS's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Financial Health

How is Shoals Technologies Group's financial position?


Financial Position Analysis

Short Term Liabilities: SHLS has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: SHLS has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: SHLS has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: SHLS's has negative shareholder equity, so we do not need to check if its debt has reduced over time.

Debt Coverage: SHLS's debt is not well covered by operating cash flow (15.1%).

Interest Coverage: SHLS's interest payments on its debt are well covered by EBIT (11.4x coverage).


Balance Sheet


Dividend

What is Shoals Technologies Group current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate SHLS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate SHLS's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if SHLS's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SHLS's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SHLS's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.3yrs

Average management tenure


CEO

Jason Whitaker (40 yo)

1.25yrs

Tenure

US$2,101,351

Compensation

Mr. Jason R. Whitaker serves as Chief Executive Officer and Director at Shoals Technologies Group, Inc. since January 2020 and serves as President since September 2017 and served as Chief Technology Office...


CEO Compensation Analysis

Compensation vs Market: Jason's total compensation ($USD2.10M) is below average for companies of similar size in the US market ($USD6.51M).

Compensation vs Earnings: Jason's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: SHLS's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

Experienced Board: SHLS's board of directors are not considered experienced ( 0.1 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: SHLS only recently listed within the past 12 months.


Top Shareholders

Company Information

Shoals Technologies Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Shoals Technologies Group, Inc.
  • Ticker: SHLS
  • Exchange: NasdaqGM
  • Founded: 1996
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Market Cap: US$5.510b
  • Shares outstanding: 166.61m
  • Website: https://www.shoals.com

Number of Employees


Location

  • Shoals Technologies Group, Inc.
  • 1400 Shoals Way
  • Portland
  • Tennessee
  • 37148
  • United States

Listings


Biography

Shoals Technologies Group, Inc. provides electrical balance of system (EBOS) solutions for solar energy projects in the United States. It offers EBOS components, such as cable assemblies, inline fuses, com...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/19 22:05
End of Day Share Price2021/04/19 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.