Breaking Down Array Technologies: 12 Analysts Share Their Views

Array Technologies ARRY has been analyzed by 12 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $23.67, a high estimate of $31.00, and a low estimate of $15.00. A 18.38% drop is evident in the current average compared to the previous average price target of $29.00.

Understanding Analyst Ratings: A Comprehensive Breakdown

The standing of Array Technologies among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Array Technologies. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Array Technologies compared to the broader market.
• Price Targets: Gaining insights, analysts provide estimates for the future value of Array Technologies's stock. This comparison reveals trends in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Array Technologies's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

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Delving into Array Technologies's Background

Array Technologies Inc manufacturer of ground-mounting systems used in solar energy projects. The company's product is an integrated system of steel supports, electric motors, gearboxes and electronic controllers referred to as a single-axis tracker that move solar panels throughout the day to maintain an optimal orientation to the sun, which increases their energy production. Its operations are in the United States, Australia, Spain, Brazil and Rest of the World with the United States deriving the majority of the revenue.

Key Indicators: Array Technologies's Financial Health

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Negative Revenue Trend: Examining Array Technologies's financials over 3 months reveals challenges. As of 30 September, 2023, the company experienced a decline of approximately -31.96% in revenue growth, reflecting a decrease in top-line earnings. When compared to others in the Industrials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 2.89%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Array Technologies's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 3.58% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 0.56%, the company showcases effective utilization of assets.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 2.51, caution is advised due to increased financial risk.

The Significance of Analyst Ratings Explained

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

This article was generated by Benzinga's automated content engine and reviewed by an editor.