Enphase Energy Inc (ENPH)

[abracky]

Roll out the red carpet?

Enphase Energy is looking to join Tesla as a newly profitable business in the near future. The company finally found its footing in 2018 by ramping up sales and reducing costs for its microinverters, which are a crucial component in solar module systems. It helps that solar energy is booming in the United States right now.
The U.S. generated an estimated 95,189 gigawatt-hours of electricity from solar in the 12-month period ending October 2018, according to the U.S. Energy Information Administration. That's a 101% increase from solar generation in 2016 and put the energy source on pace to deliver about 2.5% of the nation's total electricity in 2018. 
Enphase Energy capitalized on the trend with a new agreement to supply microinverters to solar module manufacturer SunPower, a deal that should generate an extra $65 million in annual revenue at a gross margin of 34% by the end of this year. That will be enough for the company to begin delivering profitable operations -- and the timing couldn't be better.



That's because Enphase Energy is getting ready to throw some elbows in the highly competitive markets for energy management and energy storage systems. The company is set to launch its new Encharge AC Battery lineup, which will include residential energy storage products of 3.3 kWh, 10 kWh, and 13.2 kWh. It currently only sells a small 1.2 kWh battery and has installed only 27 MWh of products since they hit the market in late 2016, so the new portfolio has the potential to really shake things up.