Contrasting Solar Enertech (OTCMKTS:SOEN) and SolarEdge Technologies (NASDAQ:SEDG)

Solar Enertech (OTCMKTS:SOEN) and SolarEdge Technologies (NASDAQ:SEDG) are both oils/energy companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, institutional ownership, valuation, earnings, dividends, analyst recommendations and risk.

Risk & Volatility

Solar Enertech has a beta of 55.06, indicating that its share price is 5,406% more volatile than the S&P 500. Comparatively, SolarEdge Technologies has a beta of 1.59, indicating that its share price is 59% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations and price targets for Solar Enertech and SolarEdge Technologies, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Solar Enertech	0	0	0	0	0.00
SolarEdge Technologies	6	19	3	0	1.89

SolarEdge Technologies has a consensus price target of $27.70, suggesting a potential upside of 88.73%. Given SolarEdge Technologies’ stronger consensus rating and higher probable upside, analysts clearly believe SolarEdge Technologies is more favorable than Solar Enertech.

Valuation and Earnings

This table compares Solar Enertech and SolarEdge Technologies”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Solar Enertech	N/A	N/A	N/A	N/A	N/A
SolarEdge Technologies	$2.98 billion	0.28	$34.33 million	($8.99)	-1.63

SolarEdge Technologies has higher revenue and earnings than Solar Enertech.

Profitability

This table compares Solar Enertech and SolarEdge Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Solar Enertech	N/A	N/A	N/A
SolarEdge Technologies	-33.86%	-18.00%	-9.59%

Insider & Institutional Ownership

95.1% of SolarEdge Technologies shares are held by institutional investors. 0.7% of SolarEdge Technologies shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

SolarEdge Technologies beats Solar Enertech on 6 of the 10 factors compared between the two stocks.

About Solar Enertech

Solar EnerTech Corp. operates as a photovoltaic (PV) solar energy cell manufacturing company. Its principal products include monocrystalline silicon and polycrystalline silicon solar cells and modules. The company’s solar cells convert sunlight to electricity through the PV effect. It also designs and produces advanced PV modules for various applications, such as standard panels for solar power stations, roof panels, solar arrays, and modules incorporated directly into exterior walls. The company markets its products primarily to solar panel installers, who incorporate those modules into their power generating systems that are sold to end-customers located in Europe, Australia, North America, and China. It markets its solar cells and modules under the SolarE brand name. The company was formerly known as Safer Residence Corporation and changed its name to Solar EnerTech Corp. in April 2006. Solar EnerTech Corp. was incorporated in 2004 is headquartered in Mountain View, California.

About SolarEdge Technologies

SolarEdge Technologies, Inc., together with its subsidiaries, designs, develops, manufactures, and sells direct current (DC) optimized inverter systems for solar photovoltaic (PV) installations in the United States, Germany, the Netherlands, Italy, rest of Europe, and internationally. It operates in two segments, Solar and Energy Storage. The Solar segment offers power optimizers, inverters, batteries, storage solutions, electric vehicle chargers, smart tracking solutions, and smart energy management software products; Monitoring platform, a cloud-based monitoring platform, which collects power, voltage, current, and system data sent from inverters and power optimizers; and MySolarEdge app, that enables system owners to track their real-time system production and household energy consumption. This segment also provides Designer platform, an web-based tool that helps solar professionals to plan, build, and validate residential and commercial systems; Mapper application for registering the physical layout of new PV sites installed with DC optimized inverter systems; SetApp application that activates and configurate inverters; and grid services. The Energy Storage segment provides lithium-ion cells and containerized battery systems (BESS) solutions for commercial, industrial, and utility markets; modules and racks; purpose-built components and solutions, and hardware and software tools; and pre and post sales engineering support for designing, building, and managing battery and system solutions. The company offers e-mobility products, automated machines, and UPS products; and pre-sales support, ongoing trainings, and technical support and after installation services. It sells its products through solar installers and distributors, electrical equipment wholesalers, and PV module manufacturers, as well as engineering, procurement, and construction firms. SolarEdge Technologies, Inc. was incorporated in 2006 and is headquartered in Herzliya, Israel.