Why Enphase Energy, Inc. (ENPH) Lagged Performance on Wednesday

We recently published an article titled These 10 Firms Led Lagged Performance on Wednesday. In this article, we are going to take a look at where Enphase Energy, Inc. (NASDAQ:ENPH) stands against the other stocks.

Wall Street’s major indices finished in the green territory anew on Wednesday as worries about tariff policies and the Federal Reserve’s independence tapered off following President Donald Trump’s assurance that he had no intentions of ousting Jerome Powell.

The Nasdaq surged by 2.5 percent, the S&P 500 rose by 1.67 percent, while the Dow Jones increased by 1.07 percent.

Ten companies, on the other hand, led the highest declines, booking modest losses during the trading session.

In this article, we have identified Wednesday’s 10 worst-performing stocks and detailed the reasons behind their lagging performance.

To come up with the list, we considered only the stocks with more than $2 billion in market capitalization and $5 million in trading volume.

A solar panel array stretched across a large open field, its glimmering panels reflecting the sun.

Enphase Energy, Inc. (NASDAQ:ENPH)

Enphase Energy, Inc. (NASDAQ:ENPH) saw its share prices fall by 15.65 percent on Wednesday to close at $45.07 apiece following announcements from its chief executive that the company would absorb most of the impact of the Trump administration’s tariffs on Chinese imports.

During the company’s earnings call, Enphase Energy, Inc. (NASDAQ:ENPH) CEO Badri Kothandaraman said that although the company can raise its battery prices between 6 and 8 percent this year, it plans to bear the brunt of steep duties from China, which accounts for up to 95 percent of its global battery cell supply.

“We are absorbing the impact because we think we can decouple this effect in two to three quarters,” Enphase Energy, Inc. (NASDAQ:ENPH) CEO Badri Kothandaraman said.

Following the call, RBC Capital Markets lowered its price target for Enphase Energy, Inc. (NASDAQ:ENPH) to $54 from $59 previously, while maintaining a Sector Perform rating on the stock.

Overall ENPH ranks 2nd on our list of the worst performing stocks on Wednesday. While we acknowledge the potential of ENPH as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than ENPH but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.