JPMorgan raises Nextracker stock target to $65, keeps Overweight rating

On Thursday, JPMorgan maintained its Overweight rating on Nextracker Inc (NASDAQ:NXT) and increased the price target from $61.00 to $65.00, with analyst targets now ranging from $31 to $69. The adjustment follows Nextracker’s F4Q results, which exceeded expectations, with a book-to-bill ratio once again surpassing 1.0x. According to InvestingPro data, seven analysts have recently revised their earnings upward for the upcoming period, reflecting growing confidence in the company’s prospects. The company’s fiscal year 2026 guidance was above revenue and EPS forecasts but slightly below the consensus for EBITDA at the mid-point. This guidance also accounts for the impact of a recent acquisition, which complicates direct comparisons.

Nextracker has continued to expand its business through strategic acquisitions, with the latest one allowing the company to extend its offerings to include EBOS (Electrical Balance of System). This move follows two foundational acquisitions made last year. Nextracker anticipates that by 2030, non-tracker revenue could grow to represent one-third of the total revenue. The company’s expansion strategy is supported by its strong financial health, earning an "EXCELLENT" rating on InvestingPro’s comprehensive assessment, with particularly high scores in profitability and growth metrics.

The firm’s strong free cash flow (FCF) of over $500 million supports these acquisitions and its growth strategy. JPMorgan has updated its estimates based on these developments and the company’s solid performance, which includes an impressive 18.4% revenue growth and a healthy FCF yield of 8%. The investment firm highlights Nextracker’s consistent execution in a challenging market and continues to recommend the stock as a top pick within its coverage area. For deeper insights into Nextracker’s financial health and growth prospects, including 12 additional exclusive ProTips, check out the comprehensive research report available on InvestingPro.

In other recent news, Nextracker Inc. reported impressive financial results for Q4 2025, surpassing market expectations with an earnings per share (EPS) of $1.29, compared to the forecasted $0.73. The company also exceeded revenue expectations, reporting $924 million against the anticipated $766.4 million. Nextracker’s full-year revenue reached $3 billion, marking an 18% increase from fiscal 2024. The company has projected revenue between $3.2 billion and $3.4 billion for fiscal 2026, with adjusted EBITDA expected to range from $700 million to $775 million. Nextracker’s strong cash position, with $766 million and no debt, supports its strategic growth initiatives, including the recent acquisition of BenTech Corporation. This acquisition is part of Nextracker’s strategy to expand its solar power platform by integrating electrical balance of systems (eBOS) solutions. The company has maintained its position as a market leader, with a backlog significantly over $4.5 billion, and continues to see strong demand in both domestic and international markets.

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