Nextpower (NASDAQ:NXT) Issues Earnings Results

Nextpower (NASDAQ:NXT) issued its quarterly earnings data on Thursday. The company reported $1.20 EPS for the quarter, topping the consensus estimate of $1.05 by $0.15, FiscalAI reports. The business had revenue of $935.17 million during the quarter, compared to analyst estimates of $935.39 million. Nextpower had a net margin of 16.46% and a return on equity of 28.18%.

Here are the key takeaways from Nextpower’s conference call:

• Record Q1 performance: Revenue rose 8% year over year to $935 million, adjusted EBITDA reached $233 million, and backlog exceeded $5.5 billion, with more than $300 million of additional backlog from the newly acquired energy storage business.
• Nextpower raised its fiscal 2027 outlook to $4.1–$4.4 billion in revenue, $870–$930 million in adjusted EBITDA, and $4.42–$4.73 in adjusted diluted EPS. Management cited strong demand, bookings, backlog quality, and execution, while excluding any contribution from the pending Zimmermann acquisition.
• The company is expanding beyond trackers through eBOS, foundations, TrueCapture, inverters, and energy storage. eBOS is on track to generate more than $100 million of revenue this year, foundations revenue grew 50% year over year, and the UL-certified Apex inverter is expected to begin deliveries in early 2027 with more than 10 GW of U.S. capacity planned by next summer.
• Nextpower Energy Storage launched following the Prevalon acquisition, adding approximately 6 GWh of turnkey project experience and exposure to utilities, standalone storage developers, hyperscalers, and data centers. Management said storage demand is growing rapidly and highlighted Prevalon’s fast-response power stabilization systems for data centers.
• Near-term margins may be pressured as Nextpower invests in engineering, manufacturing, sales, and service capabilities for new products and integrates acquisitions. Although Q1 adjusted gross margin was 37%, it benefited from IEEPA tariff recoveries and favorable mix, while higher logistics costs were a headwind; management continues to target long-term gross margins in the low 30s and operating margins in the low 20s.

Nextpower Stock Down 7.7%

Shares of Nextpower stock traded down $7.46 on Friday, reaching $89.44. The company’s stock had a trading volume of 4,042,150 shares, compared to its average volume of 2,448,256. Nextpower has a 52 week low of $52.61 and a 52 week high of $163.13. The firm’s fifty day simple moving average is $118.31 and its two-hundred day simple moving average is $116.47. The company has a market capitalization of $13.44 billion, a price-to-earnings ratio of 23.49, a P/E/G ratio of 1.85 and a beta of 1.86.

Wall Street Analyst Weigh In

NXT has been the topic of several recent research reports. Glj Research upped their price target on Nextpower from $147.00 to $149.44 and gave the stock a “buy” rating in a research note on Wednesday, June 3rd. Guggenheim upgraded shares of Nextpower from a “neutral” rating to a “buy” rating and set a $125.00 price target for the company in a research note on Wednesday, July 15th. Barclays lifted their price target on shares of Nextpower from $142.00 to $147.00 and gave the company an “overweight” rating in a research report on Tuesday, July 7th. UBS Group reissued a “buy” rating and set a $170.00 price objective on shares of Nextpower in a research note on Friday, May 29th. Finally, Zacks Research raised shares of Nextpower from a “hold” rating to a “strong-buy” rating in a research note on Monday, July 13th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $149.70.

Insider Activity

In other Nextpower news, insider Bruce Ledesma sold 3,248 shares of the business’s stock in a transaction dated Tuesday, May 26th. The stock was sold at an average price of $134.72, for a total value of $437,570.56. Following the completion of the transaction, the insider owned 246,130 shares of the company’s stock, valued at approximately $33,158,633.60. The trade was a 1.30% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Daniel S. Shugar sold 26,077 shares of the company’s stock in a transaction dated Tuesday, May 26th. The shares were sold at an average price of $134.72, for a total transaction of $3,513,093.44. Following the transaction, the chief executive officer owned 931,419 shares in the company, valued at $125,480,767.68. This represents a 2.72% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last 90 days, insiders sold 168,574 shares of company stock valued at $22,559,770. Corporate insiders own 0.84% of the company’s stock.

Institutional Trading of Nextpower

A number of large investors have recently made changes to their positions in NXT. Amundi grew its holdings in shares of Nextpower by 156.1% in the third quarter. Amundi now owns 2,111,628 shares of the company’s stock worth $161,600,000 after acquiring an additional 1,287,071 shares during the period. Electron Capital Partners LLC lifted its holdings in Nextpower by 2,017.7% in the third quarter. Electron Capital Partners LLC now owns 566,415 shares of the company’s stock valued at $41,909,000 after acquiring an additional 539,668 shares during the period. UBS Group AG lifted its holdings in Nextpower by 49.1% in the third quarter. UBS Group AG now owns 1,107,829 shares of the company’s stock valued at $81,968,000 after acquiring an additional 364,953 shares during the period. &PARTNERS boosted its position in Nextpower by 4,406.4% in the fourth quarter. &PARTNERS now owns 261,823 shares of the company’s stock worth $22,806,000 after purchasing an additional 256,013 shares during the last quarter. Finally, Invesco Ltd. grew its stake in shares of Nextpower by 9.9% during the 3rd quarter. Invesco Ltd. now owns 2,725,449 shares of the company’s stock valued at $201,656,000 after purchasing an additional 245,412 shares during the period. 67.41% of the stock is currently owned by institutional investors.

Nextpower News Summary

Here are the key news stories impacting Nextpower this week:

• Positive Sentiment: Nextpower reported record fiscal 2026 revenue of $3.56 billion and raised its fiscal 2027 outlook, signaling continued demand and improving growth prospects. Nextpower posts record $3.56 billion FY26 revenue, raises 2027 outlook
• Positive Sentiment: Fiscal Q1 2027 adjusted earnings came in at $1.20 per share, above the $1.05 consensus estimate. Revenue reached $935.2 million, up 8.2% year over year, while gross profit increased 19.2% and operating cash flow rose 48.9% to $121.1 million. Nextpower Q1 earnings and revenues surpass estimates
• Positive Sentiment: Nextpower completed its acquisition of Zigor Corporation’s power-conversion assets and Apex Power, expanding its inverter platform and accelerating U.S. manufacturing capabilities. Nextpower completes acquisition of power conversion assets
• Positive Sentiment: Truist raised its price target to $145 and maintained a Buy rating. Susquehanna lowered its target to $157 but retained a Positive rating, leaving both targets well above the recent share price. Roth Capital also reiterated its Buy rating. Nextpower analyst price target changes
• Neutral Sentiment: Revenue was approximately $935 million, narrowly below analyst expectations of $935.4 million. The modest top-line shortfall may have contributed to the weaker market reaction despite the earnings beat.
• Negative Sentiment: Reported insider-trading data showed no insider purchases and 24 insider sales during the past six months, including sales by senior executives. While such transactions may be scheduled or compensation-related, the pattern can weigh on investor sentiment. Nextpower earnings and insider trading activity

About Nextpower

Nextpower, formerly known as Nextracker, is traded on NASDAQ under the symbol NXT and is a leading provider of advanced solar tracking solutions for utility-scale and distributed energy projects. The company specializes in the design, engineering and manufacturing of single-axis tracker systems that optimize the capture of solar energy by following the sun’s trajectory throughout the day. Nextpower’s core hardware offerings aim to enhance energy yield, reduce balance-of-system costs and simplify installation and maintenance for downstream solar developers and operators.

In addition to its tracker hardware, Nextpower provides a suite of digital software and analytics tools to maximize asset performance.