UPDATE: Jefferies Raises PT on Enphase Energy on Impressive Margins

In a report published Wednesday, Jefferies reiterated its Buy rating on Enphase Energy ENPH, and raised its price target from $5.00 to $7.00. Jefferies noted, “ENPH reported upside to rev and came in at the high end of GM guidance and 1Q13 GM guidance of 26-28% was well ahead of our expectations. The company is managing costs to achieve profitability ahead of buying growth, which we believe is a positive. With breakeven expectations at ~$80M, we see profitability in 3Q13 and sustained annual profitability in 2014.” Enphase Energy closed on Tuesday at $5.05.