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Solaredge Technologies, Inc.. (SEDG) Stock Fundamental Analysis & AI Rating 2026

SEDG Nasdaq Semiconductors & Related Devices DE CIK: 0001419612
Recently Updated • Analysis: Apr 15, 2026 • SEC Data: 2025-12-31
STRONG SELL
87% Conf
Pending
Analysis scheduled

📊 SEDG Key Takeaways

Revenue: $1.2B
Net Margin: -34.2%
Free Cash Flow: $80.8M
Current Ratio: 2.17x
Debt/Equity: 0.78x
EPS: $-6.88
AI Rating: STRONG SELL with 87% confidence
Solaredge Technologies, Inc.. (SEDG) receives a STRONG SELL rating with 87% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $1.2B, net profit margin of -34.2%, and return on equity (ROE) of -94.8%, Solaredge Technologies, Inc.. demonstrates mixed fundamentals in the Technology sector. Below is our complete SEDG stock analysis for 2026.

Is Solaredge Technologies, Inc.. (SEDG) a Good Investment?

Claude

SolarEdge is in severe financial distress with operating losses of $301.7M and net losses of $405.4M on $1.2B revenue, indicating fundamental business model deterioration. While positive free cash flow ($80.8M) and strong liquidity ($455.1M cash) provide near-term runway, the -25.5% operating margin and inability to cover interest costs from operations signal critical operational challenges requiring immediate restructuring.

Why Buy Solaredge Technologies, Inc.. Stock? SEDG Key Strengths

Claude
  • + Positive free cash flow of $80.8M despite net losses indicates working capital management
  • + Strong liquidity position with $455.1M cash and 2.17x current ratio
  • + Moderate leverage at 0.78x debt-to-equity provides debt capacity for operational improvements

SEDG Stock Risks: Solaredge Technologies, Inc.. Investment Risks

Claude
  • ! Operating loss of $301.7M demonstrates core business unprofitability and broken unit economics
  • ! Gross margin of only 16.6% is extremely low for semiconductor sector, indicating pricing power or cost structure issues
  • ! Interest coverage ratio of -261.0x means operations cannot service debt; dependency on cash reserves unsustainable
  • ! Negative ROE of -94.8% and ROA of -18.6% show value destruction

Key Metrics to Watch

Claude
  • * Gross margin recovery and path to positive operating income
  • * Cash burn rate relative to operating cash flow sustainability
  • * Operating margin improvement toward breakeven threshold

Solaredge Technologies, Inc.. (SEDG) Financial Metrics & Key Ratios

Revenue
$1.2B
Net Income
$-405.4M
EPS (Diluted)
$-6.88
Free Cash Flow
$80.8M
Total Assets
$2.2B
Cash Position
$455.1M

💡 AI Analyst Insight

Strong liquidity with a 2.17x current ratio provides a solid financial cushion.

SEDG Profit Margin, ROE & Profitability Analysis

Gross Margin 16.6%
Operating Margin -25.5%
Net Margin -34.2%
ROE -94.8%
ROA -18.6%
FCF Margin 6.8%

SEDG vs Technology Sector: How Solaredge Technologies, Inc.. Compares

How Solaredge Technologies, Inc.. compares to Technology sector averages

Net Margin
SEDG -34.2%
vs
Sector Avg 18.0%
SEDG Sector
ROE
SEDG -94.8%
vs
Sector Avg 22.0%
SEDG Sector
Current Ratio
SEDG 2.2x
vs
Sector Avg 2.5x
SEDG Sector
Debt/Equity
SEDG 0.8x
vs
Sector Avg 0.5x
SEDG Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Solaredge Technologies, Inc.. Stock Overvalued? SEDG Valuation Analysis 2026

Based on fundamental analysis, Solaredge Technologies, Inc.. shows some fundamental concerns relative to the Technology sector in 2026.

Return on Equity
-94.8%
Sector avg: 22%
Net Profit Margin
-34.2%
Sector avg: 18%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.78x
Sector avg: 0.5x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

Solaredge Technologies, Inc.. Balance Sheet: SEDG Debt, Cash & Liquidity

Current Ratio
2.17x
Quick Ratio
1.48x
Debt/Equity
0.78x
Debt/Assets
0.0%
Interest Coverage
-260.97x
Long-term Debt
$331.6M

SEDG Revenue & Earnings Growth: 5-Year Financial Trend

SEDG 5-year financial data: Year 2021: Revenue $2.0B, Net Income $146.5M, EPS $2.90. Year 2022: Revenue $3.1B, Net Income $140.3M, EPS $2.66. Year 2023: Revenue $3.1B, Net Income $169.2M, EPS $3.06. Year 2024: Revenue $3.1B, Net Income $441.7M, EPS $1.65. Year 2025: Revenue $3.0B, Net Income $34.3M, EPS $0.60.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Solaredge Technologies, Inc..'s revenue has grown significantly by 52% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.60 reflects profitable operations.

SEDG Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
6.8%
Free cash flow / Revenue

SEDG Quarterly Earnings & Performance

Quarterly financial performance data for Solaredge Technologies, Inc.. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $235.4M -$50.1M $-0.84
Q2 2025 $265.4M -$98.5M $-2.13
Q1 2025 $204.4M -$98.5M $-1.70
Q3 2024 $260.9M -$61.2M $-1.08
Q2 2024 $265.4M $119.5M $2.03
Q1 2024 $204.4M $138.4M $2.35
Q3 2023 $725.3M $15.1M $0.43
Q2 2023 $727.8M $15.1M $0.26

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Solaredge Technologies, Inc.. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
$104.3M
Cash generated from operations
Capital Expenditures
$23.5M
Investment in assets
Dividends
None
No dividend program

SEDG SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Solaredge Technologies, Inc.. (CIK: 0001419612)

📋 Recent SEC Filings

Date Form Document Action
Mar 23, 2026 10-K/A zk2634863.htm View →
Mar 10, 2026 8-K zk2634519.htm View →
Feb 25, 2026 10-K zk2634374.htm View →
Feb 18, 2026 8-K zk2634401.htm View →
Jan 5, 2026 4 xslF345X05/zk2533790.xml View →

Frequently Asked Questions about SEDG

What is the AI rating for SEDG?

Solaredge Technologies, Inc.. (SEDG) has an AI rating of STRONG SELL with 87% confidence, based on fundamental analysis of SEC EDGAR filings.

What are SEDG's key strengths?

Claude: Positive free cash flow of $80.8M despite net losses indicates working capital management. Strong liquidity position with $455.1M cash and 2.17x current ratio.

What are the risks of investing in SEDG?

Claude: Operating loss of $301.7M demonstrates core business unprofitability and broken unit economics. Gross margin of only 16.6% is extremely low for semiconductor sector, indicating pricing power or cost structure issues.

What is SEDG's revenue and growth?

Solaredge Technologies, Inc.. reported revenue of $1.2B.

Does SEDG pay dividends?

Solaredge Technologies, Inc.. does not currently pay dividends.

Where can I find SEDG SEC filings?

Official SEC filings for Solaredge Technologies, Inc.. (CIK: 0001419612) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is SEDG's EPS?

Solaredge Technologies, Inc.. has a diluted EPS of $-6.88.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is SEDG a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, Solaredge Technologies, Inc.. has a STRONG SELL rating with 87% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is SEDG stock overvalued or undervalued?

Valuation metrics for SEDG: ROE of -94.8% (sector avg: 22%), net margin of -34.2% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.

Should I buy SEDG stock in 2026?

Our dual AI analysis gives Solaredge Technologies, Inc.. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is SEDG's free cash flow?

Solaredge Technologies, Inc..'s operating cash flow is $104.3M, with capital expenditures of $23.5M. FCF margin is 6.8%.

How does SEDG compare to other Technology stocks?

Vs Technology sector averages: Net margin -34.2% (avg: 18%), ROE -94.8% (avg: 22%), current ratio 2.17 (avg: 2.5).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 15, 2026 | Data as of: 2025-12-31 | Powered by Claude AI