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Q1 Earnings Outperformers: Fluence Energy (NASDAQ:FLNC) And The Rest Of The Renewable Energy Stocks


Jabin Bastian /
2024/07/02 3:45 am EDT

Quarterly earnings results are a good time to check in on a company’s progress, especially compared to its peers in the same sector. Today we are looking at Fluence Energy (NASDAQ:FLNC) and the best and worst performers in the renewable energy industry.

Renewable energy companies are buoyed by the secular trend of green energy that is upending traditional power generation. Those who innovate and evolve with this dynamic market can win share while those who continue to rely on legacy technologies can see diminishing demand, which includes headwinds from increasing regulation against “dirty” energy. Additionally, these companies are at the whim of economic cycles, as interest rates can impact the willingness to invest in renewable energy projects.

The 9 renewable energy stocks we track reported a slower Q1; on average, revenues missed analyst consensus estimates by 2%. Stocks, especially growth stocks where cash flows further in the future are more important to the story, had a good end of 2023. But the beginning of 2024 has seen more volatile stock performance due to mixed inflation data, and renewable energy stocks have had a rough stretch, with share prices down 5.9% on average since the previous earnings results.

Fluence Energy (NASDAQ:FLNC)

Founded in 2018, Fluence Energy (NASDAQ:FLNC) specializes in developing advanced battery systems that store renewable energy efficiently and reliably.

Fluence Energy reported revenues of $623.1 million, down 10.7% year on year, topping analysts' expectations by 10.4%. It was a mixed quarter for the company, with a miss of analysts' earnings estimates.

Fluence Energy Total Revenue

Fluence Energy scored the biggest analyst estimates beat of the whole group. The stock is down 19.3% since the results and currently trades at $16.44.

Is now the time to buy Fluence Energy? Access our full analysis of the earnings results here, it's free.

Best Q1: Nextracker (NASDAQ:NXT)

Used in numerous power plants around the world, Nextracker (NASDAQ:NXT) provides solar tracker systems, which are advanced systems that help solar panels follow the sun.

Nextracker reported revenues of $736.5 million, up 42.1% year on year, outperforming analysts' expectations by 7.7%. It was a strong quarter for the company, with an impressive beat of analysts' volume estimates.

Nextracker Total Revenue

Nextracker achieved the fastest revenue growth among its peers. The stock is up 8.6% since the results and currently trades at $46.75.

Is now the time to buy Nextracker? Access our full analysis of the earnings results here, it's free.

Weakest Q1: Plug Power (NASDAQ:PLUG)

Powering forklifts for Walmart’s distribution centers, Plug Power (NASDAQ:PLUG) provides hydrogen fuel cells used to power electric motors.

Plug Power reported revenues of $120.3 million, down 42.8% year on year, falling short of analysts' expectations by 23.7%. It was a weak quarter for the company, with a miss of analysts' earnings estimates.

Plug Power had the weakest performance against analyst estimates and slowest revenue growth in the group. The stock is down 9.4% since the results and currently trades at $2.28.

Read our full analysis of Plug Power's results here.

Shoals (NASDAQ:SHLS)

Started in Huntsville, Alabama, Shoals (NASDAQ:SHLS) designs and manufactures products that make solar energy systems work more efficiently.

Shoals reported revenues of $90.81 million, down 13.6% year on year, falling short of analysts' expectations by 3.7%. It was a decent quarter for the company, with an impressive beat of analysts' earnings estimates.

The stock is down 30.1% since the results and currently trades at $6.14.

Read our full, actionable report on Shoals here, it's free.

EnerSys (NYSE:ENS)

Supplying batteries that power equipment as big as mining rigs, EnerSys (NYSE:ENS) manufactures various kinds of batteries for a range of industries.

EnerSys reported revenues of $910.7 million, down 8% year on year, surpassing analysts' expectations by 2%. It was a solid quarter for the company, with an impressive beat of analysts' volume estimates and a decent beat of analysts' earnings estimates.

The stock is up 4.4% since the results and currently trades at $101.62.

Read our full, actionable report on EnerSys here, it's free.

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