Hansen, Mueller Industries director, sells $105,710 in stock
Investing.com - TD Cowen has raised its price target on Nextracker Inc (NASDAQ:NXT) to $88.00 from $65.00 while maintaining a Hold rating on the stock, citing strong quarterly performance and backlog growth. The stock, which has delivered an impressive 178% return over the past year, currently trades at $99.07, near its 52-week high of $93.90. According to InvestingPro analysis, the company appears to be trading above its Fair Value.
The solar tracking company reported impressive revenue growth driven by continued demand in the United States and expanding business in Europe. With a robust gross margin of 33.9% and revenue growth of 13.3%, Nextracker maintained solid performance despite tariff impacts, partially offset by benefits from the Inflation Reduction Act’s 45X manufacturing credits.
Nextracker’s backlog continued to grow, reaching over $5 billion, and the company exited the quarter with $845 million in cash, demonstrating strong financial flexibility. InvestingPro data shows the company maintains a healthy current ratio of 2.16 and holds more cash than debt on its balance sheet. The firm also announced a new joint venture with Abuayyan Holding in Saudi Arabia, expanding its international presence.
TD Cowen noted that Nextracker’s upcoming November 12 Investor Day will likely highlight the company’s expansion of total addressable market supported by recent acquisitions, with some elements expected to be gross margin accretive at scale while others remain more nascent and potentially dilutive.
The investment firm identified continued tariff pressures and an increased international mix as potential negatives that could weigh on margins, with some second-half fiscal 2026 margin pressure expected due to Section 232 tariffs and international business mix.
In other recent news, Nextracker Inc. reported impressive financial results for its fiscal second quarter of 2026, surpassing market expectations. The company achieved an earnings per share of $1.19, nearly doubling the forecast of $0.63, and generated revenue of $905 million, exceeding projections by 33.24%. RBC Capital responded to these strong results by raising its price target for Nextracker to $93 from $92, maintaining an Outperform rating. BMO Capital also increased its price target to $93 from $89, highlighting the company’s robust bookings of approximately $1.2 billion and a total backlog exceeding $5 billion. Wolfe Research set a higher price target of $116, citing Nextracker’s market leadership in solar trackers and its strategic position for growth in utility-scale solar projects. Wolfe Research emphasized the company’s independent row tracker design as a key differentiator, which enhances project economics by reducing operating and maintenance expenses. These developments reflect positive analyst sentiment towards Nextracker’s financial performance and market position.
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