EnerSys (ENS, Financial) has announced its anticipated revenue for the first quarter to be between $830 million and $870 million, falling short of the previous consensus of $906.9 million. According to CFO Andrea Funk, the company remains optimistic about managing its operations effectively despite a changing macroeconomic landscape. The forecast reflects expected seasonal softness in the Motive Power and Transportation sectors, compounded by short-term macroeconomic challenges. Additionally, the company plans to absorb short-term impacts from stranded tariffs during this period.
Although EnerSys is withholding full-year guidance due to shifting policies and demand normalization, it believes the first quarter will be its lowest point for the fiscal year. The company anticipates its full-year adjusted operating earnings growth, excluding benefits from section 45X, to surpass revenue growth. Revenue is expected to benefit from strong demand for maintenance-free offerings and growth in Aerospace, Defense, and Data Center markets. EnerSys remains on track to meet its fiscal 2027 earnings targets, driven by strong performance in adjusted operating margin, EBITDA, and EPS, with potential upside from reinvestment of excess cash flow.
Despite immediate hurdles, the need for advanced power solutions is increasing, positioning EnerSys favorably for sustained success. Following a record-breaking fourth quarter, the company remains confident in its ability to enhance margins, boost revenue, and deliver long-term value to shareholders.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 5 analysts, the average target price for EnerSys (ENS, Financial) is $111.42 with a high estimate of $121.00 and a low estimate of $95.08. The average target implies an upside of 16.67% from the current price of $95.50. More detailed estimate data can be found on the EnerSys (ENS) Forecast page.
Based on the consensus recommendation from 7 brokerage firms, EnerSys's (ENS, Financial) average brokerage recommendation is currently 2.1, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for EnerSys (ENS, Financial) in one year is $98.02, suggesting a upside of 2.64% from the current price of $95.5. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the EnerSys (ENS) Summary page.
