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ARRY vs SEDG
Revenue, margins, valuation, and 5-year total return — side by side.
Solar
ARRY vs SEDG — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | ||
|---|---|---|
| Industry | Solar | Solar |
| Market Cap | $1.24B | $2.47B |
| Revenue (TTM) | $1.21B | $1.28B |
| Net Income (TTM) | $-67M | $-364M |
| Gross Margin | 22.4% | 18.2% |
| Operating Margin | 4.5% | -18.6% |
| Forward P/E | 11.6x | 642.6x |
| Total Debt | $766M | $423M |
| Cash & Equiv. | $244M | $540M |
ARRY vs SEDG — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
| Stock | Oct 20 | May 26 | Return |
|---|---|---|---|
| Array Technologies,… (ARRY) | 100 | 22.0 | -78.0% |
| SolarEdge Technolog… (SEDG) | 100 | 15.8 | -84.2% |
Price return only. Dividends and distributions are not included.
Quick Verdict: ARRY vs SEDG
Each card shows where this stock fits in a portfolio — not just who wins on paper.
ARRY carries the broadest edge in this set and is the clearest fit for growth exposure.
- Rev growth 40.2%, EPS growth 62.6%, 3Y rev CAGR -7.8%
- 40.2% revenue growth vs SEDG's 31.4%
- Lower P/E (11.6x vs 642.6x)
SEDG is the clearest fit if your priority is income & stability and long-term compounding.
- beta 2.03
- 82.2% 10Y total return vs ARRY's -77.7%
- Lower volatility, beta 2.03, Low D/E 99.1%, current ratio 2.17x
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | 40.2% revenue growth vs SEDG's 31.4% | |
| Value | Lower P/E (11.6x vs 642.6x) | |
| Quality / Margins | -5.6% margin vs SEDG's -28.6% | |
| Stability / Safety | Beta 2.03 vs ARRY's 2.32, lower leverage | |
| Dividends | Tie | Neither stock pays a meaningful dividend |
| Momentum (1Y) | +182.6% vs ARRY's +57.7% | |
| Efficiency (ROA) | -4.4% ROA vs SEDG's -19.8%, ROIC 9.0% vs -29.5% |
ARRY vs SEDG — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
Segment breakdown not available.
ARRY vs SEDG — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
Income & Cash Flow (Last 12 Months)
Evenly matched — ARRY and SEDG each lead in 3 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
SEDG and ARRY operate at a comparable scale, with $1.3B and $1.2B in trailing revenue. ARRY is the more profitable business, keeping -5.6% of every revenue dollar as net income compared to SEDG's -28.6%. On growth, SEDG holds the edge at +41.5% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | ||
|---|---|---|
| RevenueTrailing 12 months | $1.2B | $1.3B |
| EBITDAEarnings before interest/tax | $95M | -$225M |
| Net IncomeAfter-tax profit | -$67M | -$364M |
| Free Cash FlowCash after capex | $58M | $78M |
| Gross MarginGross profit ÷ Revenue | +22.4% | +18.2% |
| Operating MarginEBIT ÷ Revenue | +4.5% | -18.6% |
| Net MarginNet income ÷ Revenue | -5.6% | -28.6% |
| FCF MarginFCF ÷ Revenue | +4.8% | +6.1% |
| Rev. Growth (YoY)Latest quarter vs prior year | -26.1% | +41.5% |
| EPS Growth (YoY)Latest quarter vs prior year | -7.0% | +100.0% |
Valuation Metrics
ARRY leads this category, winning 5 of 5 comparable metrics.
Valuation Metrics
| Metric | ||
|---|---|---|
| Market CapShares × price | $1.2B | $2.5B |
| Enterprise ValueMkt cap + debt − cash | $1.8B | $2.4B |
| Trailing P/EPrice ÷ TTM EPS | -11.13x | -5.89x |
| Forward P/EPrice ÷ next-FY EPS est. | 11.64x | 642.56x |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | 13.41x | — |
| Price / SalesMarket cap ÷ Revenue | 0.97x | 2.09x |
| Price / BookPrice ÷ Book value/share | 4.76x | 5.68x |
| Price / FCFMarket cap ÷ FCF | 15.58x | 30.57x |
Profitability & Efficiency
SEDG leads this category, winning 5 of 9 comparable metrics.
Profitability & Efficiency
ARRY delivers a -20.6% return on equity — every $100 of shareholder capital generates $-21 in annual profit, vs $-80 for SEDG. SEDG carries lower financial leverage with a 0.99x debt-to-equity ratio, signaling a more conservative balance sheet compared to ARRY's 2.94x. On the Piotroski fundamental quality scale (0–9), SEDG scores 7/9 vs ARRY's 5/9, reflecting strong financial health.
| Metric | ||
|---|---|---|
| ROE (TTM)Return on equity | -20.6% | -79.6% |
| ROA (TTM)Return on assets | -4.4% | -19.8% |
| ROICReturn on invested capital | +9.0% | -29.5% |
| ROCEReturn on capital employed | +8.2% | -19.2% |
| Piotroski ScoreFundamental quality 0–9 | 5 | 7 |
| Debt / EquityFinancial leverage | 2.94x | 0.99x |
| Net DebtTotal debt minus cash | $522M | -$116M |
| Cash & Equiv.Liquid assets | $244M | $540M |
| Total DebtShort + long-term debt | $766M | $423M |
| Interest CoverageEBIT ÷ Interest expense | -2.42x | -2.12x |
Total Returns (Dividends Reinvested)
Evenly matched — ARRY and SEDG each lead in 3 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in ARRY five years ago would be worth $3,204 today (with dividends reinvested), compared to $1,897 for SEDG. Over the past 12 months, SEDG leads with a +182.6% total return vs ARRY's +57.7%. The 3-year compound annual growth rate (CAGR) favors ARRY at -24.2% vs SEDG's -48.2% — a key indicator of consistent wealth creation.
| Metric | ||
|---|---|---|
| YTD ReturnYear-to-date | -16.1% | +29.5% |
| 1-Year ReturnPast 12 months | +57.7% | +182.6% |
| 3-Year ReturnCumulative with dividends | -56.5% | -86.1% |
| 5-Year ReturnCumulative with dividends | -68.0% | -81.0% |
| 10-Year ReturnCumulative with dividends | -77.7% | +82.2% |
| CAGR (3Y)Annualised 3-year return | -24.2% | -48.2% |
Risk & Volatility
SEDG leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
SEDG is the less volatile stock with a 2.03 beta — it tends to amplify market swings less than ARRY's 2.32 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. SEDG currently trades 75.6% from its 52-week high vs ARRY's 66.4% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | ||
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 2.32x | 2.03x |
| 52-Week HighHighest price in past year | $12.23 | $53.75 |
| 52-Week LowLowest price in past year | $4.92 | $13.73 |
| % of 52W HighCurrent price vs 52-week peak | +66.4% | +75.6% |
| RSI (14)Momentum oscillator 0–100 | 57.4 | 52.8 |
| Avg Volume (50D)Average daily shares traded | 6.0M | 3.6M |
Analyst Outlook
Insufficient data to determine a leader in this category.
Analyst Outlook
Wall Street rates ARRY as "Buy" and SEDG as "Hold". Consensus price targets imply 12.9% upside for ARRY (target: $9) vs -13.6% for SEDG (target: $35).
| Metric | ||
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Hold |
| Price TargetConsensus 12-month target | $9.17 | $35.09 |
| # AnalystsCovering analysts | 28 | 48 |
| Dividend YieldAnnual dividend ÷ price | — | — |
| Dividend StreakConsecutive years of raises | 1 | — |
| Dividend / ShareAnnual DPS | — | — |
| Buyback YieldShare repurchases ÷ mkt cap | 0.0% | 0.0% |
SEDG leads in 2 of 6 categories (Profitability & Efficiency, Risk & Volatility). ARRY leads in 1 (Valuation Metrics). 2 tied.
ARRY vs SEDG: Frequently Asked Questions
9 questions · data-driven answers · updated daily
01Is ARRY or SEDG a better buy right now?
For growth investors, Array Technologies, Inc.
(ARRY) is the stronger pick with 40. 2% revenue growth year-over-year, versus 31. 4% for SolarEdge Technologies, Inc. (SEDG). Analysts rate Array Technologies, Inc. (ARRY) a "Buy" — based on 28 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which is the better long-term investment — ARRY or SEDG?
Over the past 5 years, Array Technologies, Inc.
(ARRY) delivered a total return of -68. 0%, compared to -81. 0% for SolarEdge Technologies, Inc. (SEDG). Over 10 years, the gap is even starker: SEDG returned +82. 2% versus ARRY's -77. 7%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
03Which is safer — ARRY or SEDG?
By beta (market sensitivity over 5 years), SolarEdge Technologies, Inc.
(SEDG) is the lower-risk stock at 2. 03β versus Array Technologies, Inc. 's 2. 32β — meaning ARRY is approximately 14% more volatile than SEDG relative to the S&P 500. On balance sheet safety, SolarEdge Technologies, Inc. (SEDG) carries a lower debt/equity ratio of 99% versus 3% for Array Technologies, Inc. — giving it more financial flexibility in a downturn.
04Which is growing faster — ARRY or SEDG?
By revenue growth (latest reported year), Array Technologies, Inc.
(ARRY) is pulling ahead at 40. 2% versus 31. 4% for SolarEdge Technologies, Inc. (SEDG). On earnings-per-share growth, the picture is similar: SolarEdge Technologies, Inc. grew EPS 78. 2% year-over-year, compared to 62. 6% for Array Technologies, Inc.. Over a 3-year CAGR, ARRY leads at -7. 8% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
05Which has better profit margins — ARRY or SEDG?
Array Technologies, Inc.
(ARRY) is the more profitable company, earning -4. 1% net margin versus -34. 2% for SolarEdge Technologies, Inc. — meaning it keeps -4. 1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: ARRY leads at 6. 6% versus -24. 1% for SEDG. At the gross margin level — before operating expenses — ARRY leads at 21. 2%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
06Is ARRY or SEDG more undervalued right now?
On forward earnings alone, Array Technologies, Inc.
(ARRY) trades at 11. 6x forward P/E versus 642. 6x for SolarEdge Technologies, Inc. — 630. 9x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for ARRY: 12. 9% to $9. 17.
07Which pays a better dividend — ARRY or SEDG?
None of the stocks in this comparison currently pay a material dividend.
All are effectively zero-yield and should be held for capital appreciation rather than income.
08Is ARRY or SEDG better for a retirement portfolio?
For long-horizon retirement investors, SolarEdge Technologies, Inc.
(SEDG) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding. Array Technologies, Inc. (ARRY) carries a higher beta of 2. 32 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (SEDG: +82. 2%, ARRY: -77. 7%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
09What are the main differences between ARRY and SEDG?
Both stocks operate in the Energy sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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