Canaccord Genuity raises Enovix stock price target to $22 on AI-1 platform

Published 04/08/2025, 18:00
Canaccord Genuity raises Enovix stock price target to $22 on AI-1 platform

Investing.com - Canaccord Genuity raised its price target on Enovix Corporation (NASDAQ:ENVX) to $22.00 from $20.00 while maintaining a Buy rating on the battery technology company. Currently trading at $10.92, the stock has seen significant volatility, dropping nearly 29% in the past week. According to InvestingPro data, analysts maintain a strong Buy consensus with targets ranging from $10 to $100.

The price target increase follows Enovix’s second-quarter 2025 earnings call last week, which came after a capital raise plan through a warrant dividend and a positive pre-announcement from the company. The company maintains a healthy balance sheet, with more cash than debt and a strong current ratio of 4.37x, indicating solid short-term liquidity.

Canaccord Genuity highlighted the excitement surrounding Enovix’s new AI-1 platform, which the firm described as the first smartphone battery achieving energy density of 900 Wh/L+ while meeting demanding cell phone customer requirements, including fast charging at 3C rates and a projected cycle life of 1,000 cycles, up from 900 previously.

The research firm stated that Enovix "feels it has cracked the code" and that its cells are "ready for prime time," despite acknowledging that management still needs to receive an official order from a leading smartphone OEM and must prove its manufacturing process can scale.

The new $22 price target is based on Canaccord’s discounted cash flow analysis, which uses approximately 14% weighted average cost of capital and 5% terminal growth, with the increase reflecting an improved average selling price outlook and other model adjustments. With revenue expected to grow 49% this year, InvestingPro analysis suggests the stock is currently undervalued, with 12 additional exclusive insights available to subscribers.

In other recent news, Enovix Corp reported its financial results for the second quarter of 2025, surpassing revenue expectations and reporting a smaller loss per share than anticipated. The company achieved a revenue of $7.5 million, significantly higher than the projected $5.57 million. Additionally, Enovix recorded an earnings per share (EPS) of -$0.13, which was better than the expected -$0.19. These results indicate a positive development for the company, reflecting a stronger financial performance than analysts had predicted. The company’s recent financial results have been a focal point for investors and analysts alike. Although there were no recent updates on mergers or acquisitions, the earnings report itself has been a major highlight. There have been no recent analyst upgrades or downgrades reported for Enovix. These developments continue to shape the outlook for Enovix in the financial markets.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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