Should I Buy SolarEdge Stock in 2025? NZ Guide & Analysis

What is SolarEdge?

How much is the SolarEdge stock?

The price of SolarEdge stock is declining this week. As of now, SolarEdge (SEDG) trades at $16.60 USD, marking a 1.89% drop over the last 24 hours and a 0.63% decrease for the week.

The stock features a beta of 1.64, signalling higher volatility compared to the broader market. This level of volatility means that price swings may be more pronounced, making it important for NZ investors to assess their risk tolerance before considering an investment.

Our full analysis on the SolarEdge stock

After a thorough review of SolarEdge Technologies’ latest financial statements, an in-depth assessment of its stock performance over the last three years, and the integration of advanced proprietary analytics leveraging financial metrics, technical indicators, sector data, and competitive benchmarking, a compelling narrative begins to emerge. This multi-faceted evaluation points to a business at a dynamic inflection point in the solar technology sector, presenting distinctive recovery potential following a period of significant challenge and adjustment. So, why might SolarEdge once again represent a strategic entry point into the renewable energy landscape as we approach 2025?

Recent Performance and Market Context

SolarEdge Technologies (NASDAQ: SEDG) currently trades at $16.60 as of 30 May 2025, reflecting a measured pace of recovery and resilience, particularly after a turbulent year. While the stock has faced a sharp correction—down 65.8% over the past twelve months—the preceding six months have seen a stabilisation, with a 5.06% advance from recent lows. This stabilisation, while modest, is noteworthy against a backdrop of cyclical sector challenges and evolving regulatory conditions.

Notably, recent quarterly results saw revenues of $196.2 million, exceeding consensus estimates, with a robust $189 million generated from the core solar segment and more than $114 million from the US market alone. Operational momentum has been further reinforced by a return to positive free cash flow ($25.5 million in Q4 2024), despite pressure on margins—a rare strength for solar technology peers amid sector-wide recalibration.

On the macro front, the underlying narrative for renewable energy remains highly constructive, and this is especially relevant for New Zealand investors attuned to global clean energy transitions. Legislative developments in the US and anticipated increases in tariffs on imported solar components from Southeast Asia are poised to recalibrate supply chains and create new operating leverage for in-market leaders like SolarEdge. The appointment of Asaf Alperovitz as CFO and the company’s ongoing restructuring efforts further underscore a sharpened focus on operational discipline and strategic repositioning.

Technical Analysis

Technical signals, when viewed through a medium-term lens, suggest SolarEdge may be transitioning from a protracted downtrend into a consolidation phase—often a precursor to upward moves in cyclical tech equities.

• Relative Strength Index (RSI): The current 14-day RSI sits at 51.35, a neutral level that highlights neither overbought nor oversold conditions. Historically, this has marked key turning points for SolarEdge, preceding trend reversals or volatility contractions.
• MACD: The Moving Average Convergence Divergence (MACD) indicator is mildly positive at 1.01. While a recent MACD “death cross” was observed, pointing to short-term caution, it often signals a phase where downside pressure is largely priced in.
• Support/Resistance: Strong technical support is apparent around $10.24—the 52-week low—while immediate resistance resides at $18.88, corresponding to the short-term moving average. A decisive push above this resistance could trigger significant momentum-driven buying.
• Trend Structure: Price action over recent months has indicated higher lows and tightening trading ranges, suggesting building accumulation and a likely base formation. Should bullish sector news coincide with upward technical shifts, such setups have historically preceded robust rallies in the solar technology space.

For traders and longer-term investors alike, these technical underpinnings appear to reinforce the notion of a low-risk accumulation zone—particularly for those seeking entry ahead of potential sector catalysts.

Fundamental Analysis

From a fundamental standpoint, SolarEdge embodies the characteristics of a turnaround candidate in an innovative, essential industry. The company reported total 2024 revenues of $901.5 million (down from $2.98 billion in 2023) amid industry headwinds, but recent quarters demonstrate positive cash flow, strategic cash preservation, and ongoing investment in R&D—a testament to management's resilience during sector dislocation.

Despite recent losses (EPS at -$3.52, compared to an expected -$1.50 in Q4 2024), the underlying trajectory suggests a progressive stabilisation of operations, with cost restructuring already underway and margins expected to improve into 2025 and beyond. Forward projections and a positive free cash flow profile set SolarEdge apart among peers.

SolarEdge’s valuation, while not directly quantifiable via traditional earnings ratios (as the firm is currently loss-making), may appear attractive on a price-to-sales (P/S) basis, considering the scale of its installed base, global brand, and influential market share. The business continues to lead in the deployment of DC-optimised inverter systems and cloud monitoring platforms—cornerstones for next-generation distributed energy systems. The drive into adjacent markets, such as energy storage and e-mobility, provides further medium-term optionality.

Volume and Liquidity

The average daily trading volume—4.25 million shares over the past 65 days—signals sustained institutional and retail interest, even in the face of elevated volatility (beta at 1.64). This liquidity not only eases the process of dynamic portfolio repositioning but also enables sharper valuation realignment as market sentiment evolves.

SolarEdge’s free float (approximately 57.61 million shares out of 59.04 million outstanding) is robust, supporting a healthy market for both short- and longer-term investors. A liquid float provides added flexibility for those seeking to capitalise on technical moves or to build conviction positions on emerging bullish momentum.

Catalysts and Positive Outlook

Several tangible catalysts position SolarEdge for a more constructive 2025:

• Operational Restructuring: Management is executing an ambitious cost reduction programme, having announced over 400 additional job reductions. This is expected to markedly improve the bottom line in the coming quarters.
• Path to Profitability: The company forecasts a return to operational profitability as restructuring efforts filter through and industry demand normalises.
• Favorable Regulatory Shifts: The potential for further US tariffs on solar imports from Asia strengthens SolarEdge’s competitive position domestically, encouraging upstream solar manufacturing, and creating a more favourable pricing environment.
• Innovation Leadership: SolarEdge remains at the technological frontier of DC-optimised inverter solutions, and its advanced cloud monitoring and smart energy management platforms are critical for the future distributed energy grid—a space poised for exponential growth.
• Strategic Diversification: Expansion into energy storage, electric vehicle (EV) solutions, and system monitoring enhances SolarEdge’s addressable market and mitigates reliance on traditional solar segment revenues.
• Sustainability & ESG: Against a global backdrop of decarbonisation commitments, SolarEdge's ESG profile and capabilities are increasingly valued by major funds and institutional asset managers, particularly in markets aligned with New Zealand’s own sustainability policy directions.

Investment Strategies

Investors considering entry into SolarEdge may recognise several compelling avenues, depending on appetite and horizon:

• Short-Term: For active traders and those seeking to time rebounds, the current price action close to long-term support, in conjunction with a neutral RSI and stabilising momentum, suggests an advantageous moment to initiate positions, especially ahead of potential positive sector news or earnings surprises.
• Medium-Term: As restructuring gains traction and year-on-year comparables flatten, there is strong potential for a fundamental rerating as confidence returns to both the business and the sector at large. Medium-term investors could find the current range an attractive base from which to participate in the turnaround.
• Long-Term: Investors with a 2-3 year time frame could view SolarEdge as a rare value opportunity within the global renewable technology sector. Upside potential is anchored by its proven innovation, brand equity, and secular tailwinds driven by the world’s push toward carbon neutrality and energy independence. For those seeking to diversify global equity portfolios from New Zealand, SolarEdge offers meaningful exposure to a pivotal growth industry.

Establishing a position near the bottom of the technical range or ahead of key corporate catalysts—such as the publication of the next quarterly results or further restructuring updates—positions investors optimally for asymmetric upside.

Is It the Right Time to Buy SolarEdge?

SolarEdge’s fundamentals—bolstered by sector leadership, operational cash flow, and aggressive strategic repositioning—suggest that the current environment may represent an excellent opportunity for investors attuned to both value and innovation. The stock trades near key technical supports and shows early signs of reversal, with several imminent catalysts on the horizon, including cost efficiencies, sectoral regulatory shifts, and product expansion.

With renewed financial discipline, strong liquidity, and a suite of advanced technologies in high-growth segments, SolarEdge appears poised to rebound robustly as the solar sector consolidates and demand trends stabilise into 2025. Forward-looking investors may well find that the risks associated with recent sector volatility are now balanced by a deeply attractive risk/reward profile and a multiplicity of growth drivers.

In the context of global energy transition and sustainability imperatives—major investment themes for New Zealand and beyond—SolarEdge provides a rare blend of innovation exposure and recovery potential, making it a technology stock that truly deserves close consideration as part of a forward-thinking portfolio. This inflection point, underscored by tangible restructuring progress and favourable sectoral winds, may mark the start of a new, bullish chapter for SolarEdge in the years to come.

How to buy SolarEdge stock in New Zealand?

Buying SolarEdge Technologies (SEDG) stock online is both straightforward and secure for New Zealand investors, thanks to regulated brokers offering digital platforms. Whether you prefer simple “spot” share ownership or more active trading through CFDs (Contracts for Difference), you can access the US-listed SolarEdge stock in just a few clicks and manage your positions easily. Spot buying means you hold the actual shares, while CFD trading allows for leveraged bets on price moves without owning the asset. To find suitable platforms, check our NZ broker comparison table further down the page for detailed options.

Spot Buying

With cash (or “spot”) buying, you directly purchase SolarEdge shares on the NASDAQ and become a shareholder. This traditional approach means the shares are held in your name; you benefit if the price rises, but also bear any market losses. NZ brokers typically charge a fixed commission per order — for example, $3–$8 NZD per transaction.

Important Example

Example: If SolarEdge trades at $16.60 USD (approx. $27.40 NZD), a NZ$1,000 investment (after factoring in a brokerage fee of about $5) enables you to buy roughly 36 SolarEdge shares.
✔️ Gain scenario: If the share price rises by 10%, your investment grows to NZ$1,100.
Result: That’s a gross gain of NZ$100, or +10%.

Trading via CFD

CFD (Contract for Difference) trading lets you speculate on SolarEdge’s price moves without physically owning the shares. CFDs offer leverage, so you can control a larger position with less upfront capital. Rather than a flat fee, you pay a spread (the small difference between buy/sell prices) and, if your position stays open overnight, a daily financing cost.

Important Example

Example: With NZ$1,000 and 5x leverage, your market exposure reaches NZ$5,000.
✔️ Gain scenario: If SolarEdge rises by 8%, your CFD position gains 8% × 5 = 40%.
Result: That’s NZ$400 profit on your NZ$1,000 outlay (fees not included).

Final Advice

Before you invest in SolarEdge, always compare each broker’s fees, trading conditions, and regulatory protections. Your choice should reflect your investment goals — from long-term growth as a shareholder, to short-term opportunities via CFDs. For a detailed comparison of brokers offering US shares to NZ residents, see our table further down the page.

Our 7 tips for buying SolarEdge stock

The latest news about SolarEdge

SolarEdge’s latest financials indicate a revenue decline but free cash flow turned positive in Q4 2024. SolarEdge Technologies reported a 17% quarter-on-quarter drop in revenue for Q4 2024, with sales totaling $196.2M, but managed to generate a positive free cash flow of $25.5M. While the company’s earnings per share significantly missed expectations due to challenging market conditions, the positive cash flow signals prudent liquidity management as restructuring progresses. This is a constructive sign for investors, including those in New Zealand, where energy sector participants closely monitor international solar technology leaders for benchmarking and supply chain resilience.

SolarEdge’s restructuring plan and cost reduction efforts provide a roadmap for improved operational results. The company has intensified its restructuring, recently announcing 400 additional job cuts to streamline operations and cut costs with the aim of restoring operational profitability. For New Zealand’s growing renewable sector, this demonstrates SolarEdge’s commitment to weathering the industry downturn and could signal increased focus and efficiency, which may positively affect local installers or distributors depending on SolarEdge solutions.

Potential benefits from US tariffs on Southeast Asian solar imports may indirectly support SolarEdge’s global competitiveness. Recent US policy measures propose tariffs on solar imports from Southeast Asia, offering an advantage to firms with robust non-Asian manufacturing or diversified technology. While these regulatory changes are centered on the US market, their effect on SolarEdge’s cost structure and sales channels may bolster global supply stability—a factor considered relevant by New Zealand energy importers and investors assessing risk and continuity in overseas supply chains.

SolarEdge’s product innovation and global expansion underline its structural strengths despite current sector headwinds. Despite financial setbacks, SolarEdge retains a technological edge as a leader in DC-optimized inverters and advanced cloud monitoring platforms, supporting its international presence across the US, Europe, and Asia. For the New Zealand solar and storage market, SolarEdge’s innovations remain vital, especially as local commercial and residential providers seek proven, scalable solutions to accelerate renewables adoption and grid integration.

Latest analyst consensus remains cautious but forecasts price stabilization, which aligns with broader renewable energy market trends in NZ. The present analyst consensus is a Hold, with 27 to 34 analysts maintaining cautious optimism and an average price target now converging in the $14.61–$17.25 range, close to the current price. This reflects expectations for stabilization after a turbulent year, tracking the global challenges in the renewable sector. In New Zealand, where investment appetite for clean energy remains strong and the government maintains ambitious decarbonization targets, SolarEdge’s capacity for resilience and recovery will be monitored as a potential positive signal for both local deployment and financial holdings.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.