Shoals Technologies Group, Inc. () Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

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Shoals Technologies Group, Inc.

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Wolfspeed, Inc.

Array Technologies, Inc.

Why is Shoals Technologies Group, Inc. ?

The company has declared negative results in Mar'2026 after 2 consecutive positive quarters

OPERATING CASH FLOW(Y) Lowest at USD -39.94 MM
PRE-TAX PROFIT(Q) At USD 4.86 MM has Fallen at -59.9%
NET PROFIT(Q) At USD 4.95 MM has Fallen at -40.99%

With ROCE of 7.70%, it has a expensive valuation with a 1.69 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 84.04%, its profits have risen by 39.1% ; the PEG ratio of the company is 0.9

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Electrical Equipment)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Shoals Technologies Group, Inc. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Shoals Technologies Group, Inc.

84.04%

0.61

86.48%

S&P 500

19.09%

1.45

13.18%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

28.67%

EBIT Growth (5y)

13.45%

EBIT to Interest (avg)

3.77

Debt to EBITDA (avg)

3.37

Net Debt to Equity (avg)

0.19

Sales to Capital Employed (avg)

0.62

Tax Ratio

41.60%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

11.84%

ROE (avg)

60.95%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.85

EV to EBIT

22.01

EV to EBITDA

17.68

EV to Capital Employed

1.69

EV to Sales

2.61

PEG Ratio

0.86

Dividend Yield

ROCE (Latest)

7.70%

ROE (Latest)

5.60%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

14What is working for the Company

NET PROFIT(HY)

At USD 13.07 MM has Grown at 73.5%

NET SALES(Q)

At USD 140.56 MM has Grown at 18.28%

-19What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD -39.94 MM

PRE-TAX PROFIT(Q)

At USD 4.86 MM has Fallen at -59.9%

NET PROFIT(Q)

At USD 4.95 MM has Fallen at -40.99%

RAW MATERIAL COST(Y)

Grown by 15.56% (YoY

DEBT-EQUITY RATIO (HY)

Highest at 36.18 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 3.33 times

INTEREST(Q)

Highest at USD 2.9 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 8.41 %

EPS(Q)

Lowest at USD -0

Here's what is working for Shoals Technologies Group, Inc.

Net Sales

At USD 140.56 MM has Grown at 18.28%

over average net sales of the previous four periods of USD 118.83 MM

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Depreciation

Highest at USD 4.1 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Shoals Technologies Group, Inc.

Pre-Tax Profit

At USD 4.86 MM has Fallen at -59.9%

over average net sales of the previous four periods of USD 12.13 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 4.95 MM has Fallen at -40.99%

over average net sales of the previous four periods of USD 8.39 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Operating Cash Flow

Lowest at USD -39.94 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Interest

At USD 2.9 MM has Grown at 15.61%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Interest

Highest at USD 2.9 MM

in the last five periods and Increased by 15.61% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Operating Profit Margin

Lowest at 8.41 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

EPS

Lowest at USD -0

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)

Debt-Equity Ratio

Highest at 36.18 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 3.33 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Raw Material Cost

Grown by 15.56% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales