Shoals Technologies Group (NASDAQ:SHLS) Trading Down 7.7% – Should You Sell?

Shoals Technologies Group, Inc. (NASDAQ:SHLS) dropped 7.7% during trading on Tuesday . The company traded as low as $8.48 and last traded at $8.5540. Approximately 677,403 shares changed hands during trading, a decline of 81% from the average daily volume of 3,598,636 shares. The stock had previously closed at $9.27.

Wall Street Analysts Forecast Growth

SHLS has been the subject of several analyst reports. UBS Group boosted their target price on Shoals Technologies Group from $9.00 to $12.00 and gave the stock a “buy” rating in a report on Wednesday, November 5th. Zacks Research cut shares of Shoals Technologies Group from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, November 19th. The Goldman Sachs Group raised their target price on shares of Shoals Technologies Group from $8.00 to $11.00 and gave the company a “buy” rating in a research note on Wednesday, November 5th. Needham & Company LLC began coverage on shares of Shoals Technologies Group in a report on Wednesday, October 22nd. They issued a “buy” rating and a $12.00 target price on the stock. Finally, Morgan Stanley restated an “equal weight” rating and set a $9.50 price target (down from $11.00) on shares of Shoals Technologies Group in a report on Tuesday, December 16th. Eleven investment analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, Shoals Technologies Group currently has a consensus rating of “Moderate Buy” and an average price target of $9.44.

Shoals Technologies Group Trading Up 6.7%

The company has a current ratio of 2.19, a quick ratio of 1.53 and a debt-to-equity ratio of 0.21. The stock has a market capitalization of $1.62 billion, a P/E ratio of 48.30, a P/E/G ratio of 0.77 and a beta of 1.70. The business’s fifty day simple moving average is $8.64 and its two-hundred day simple moving average is $7.79.

Shoals Technologies Group (NASDAQ:SHLS) last posted its quarterly earnings data on Tuesday, November 4th. The company reported $0.12 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.12. Shoals Technologies Group had a net margin of 7.66% and a return on equity of 8.50%. The company had revenue of $135.80 million for the quarter, compared to the consensus estimate of $131.37 million. As a group, analysts forecast that Shoals Technologies Group, Inc. will post 0.29 earnings per share for the current year.

Insider Activity at Shoals Technologies Group

In other Shoals Technologies Group news, CFO Dominic Bardos sold 4,170 shares of the firm’s stock in a transaction that occurred on Friday, December 5th. The stock was sold at an average price of $7.83, for a total value of $32,651.10. Following the completion of the sale, the chief financial officer owned 412,289 shares in the company, valued at approximately $3,228,222.87. This trade represents a 1.00% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 1.67% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. Massachusetts Financial Services Co. MA acquired a new stake in Shoals Technologies Group during the fourth quarter worth $424,000. Trium Capital LLP lifted its holdings in shares of Shoals Technologies Group by 24.2% during the 4th quarter. Trium Capital LLP now owns 108,794 shares of the company’s stock worth $925,000 after acquiring an additional 21,175 shares during the period. Cidel Asset Management Inc. lifted its holdings in shares of Shoals Technologies Group by 6.4% during the 4th quarter. Cidel Asset Management Inc. now owns 107,906 shares of the company’s stock worth $917,000 after acquiring an additional 6,509 shares during the period. Harbor Capital Advisors Inc. boosted its position in shares of Shoals Technologies Group by 85.0% during the 4th quarter. Harbor Capital Advisors Inc. now owns 108,838 shares of the company’s stock valued at $925,000 after acquiring an additional 50,001 shares in the last quarter. Finally, USA Financial Formulas bought a new stake in Shoals Technologies Group in the fourth quarter valued at about $49,000.

About Shoals Technologies Group

Shoals Technologies Group, Inc is a leading provider of electrical balance-of-system (BOS) solutions for the solar energy industry. The company designs, engineers and manufactures a comprehensive portfolio of products, including junction boxes, combiner boxes, cable assemblies, power distribution units and monitoring systems. These components are critical to interconnecting photovoltaic modules, optimizing energy output and ensuring safe, reliable performance across solar installations.

Founded in 1996 and headquartered in Portland, Tennessee, Shoals has grown its manufacturing and operations footprint to serve customers around the globe.