Enphase Energy Inc ( ENPH ) shares are sliding Wednesday after the company issued fourth-quarter revenue guidance below analyst expectations.

ENPH shares are retreating from recent levels. See what is happening here.

What Happened: Enphase reported financial results for the third quarter of 2025 that topped expectations, but guidance is weighing on shares on Wednesday.

Enphase said it expects fourth-quarter revenue between $310 million and $350 million, versus estimates of $381.44 million. The outlook excludes safe harbor shipments, which helped boost the company’s third-quarter’s results.

The company also guided for fourth-quarter gross margin between 40% and 43%, or 42% to 45% on an adjusted basis.

The weaker guidance comes after Enphase reported a third-quarter revenue beat of $410.4 million ($365.81 million estimate), its highest level in two years. The company shipped approximately 1.77 million microinverters, or 784.6 megawatts DC, along with a record 195 megawatt hours of IQ Batteries during the quarter.

Enphase Energy ( ENPH ) posted adjusted earnings per share of 90 cents (65 cent estimate), and generated $5.9 million in free cash flow during the period.

Following the company’s quarterly results, JPMorgan analyst Mark Strouse maintained Enphase with a Neutral rating and lowered the price target from $40 to $37. RBC Capital maintained a Sector Perform rating and cut its price target from $33 to $31.

ENPH Price Action: According to Benzinga Pro, Enphase Energy ( ENPH ) shares are trading down 12.59% at $32.09 at the time of publication on Wednesday, marking one of the stock’s larger single-session moves. It has hit a high of $33.44 and a low of $31.26 during Wednesday’s session.

Volume is well above average with 16.7 million shares traded. The stock is sitting 5.5% above its 52-week low and is currently 15.1% below its 50-day moving average.

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