ONGOING DEADLINE ALERT: Faruqi & Faruqi, LLP Investigates Claims on Behalf of Investors of Enphase Energy

Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In Enphase Energy To Contact Him Directly To Discuss Their Options If you purchased or acquired securities in Enphase Energy between April 25, 2023 and October 22, 2024 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310). [You may also click here for additional information] NEW YORK, Jan. 30, 2025 /PRNewswire/ -- Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Enphase Energy, Inc. ("Enphase" or the "Company") (NASDAQ: ENPH) and reminds investors of the February 11, 2025 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company. Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com. As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that the defendants systematically overstated the Company's ability to maintain its pricing levels and market share for microinverter products in Europe in the face of competition from low-cost, Chinese alternatives. On April 25, 2023, when the Company announced its first quarter 2023 financial results. Among other things, Enphase reported an approximately 25% year-over-year increase in European revenue. During the accompanying quarterly investor earnings call held that same day, Defendant Badrinarayanan Kothandaraman, the Company's President and Chief Executive Officer, touted that Enphase's "European business is growing rapidly," with "sell-through of our microinverters in Europe reach[ing] an all time high" in the quarter. When asked specifically about competition in Europe from Chinese manufacturers and the risk of margin erosion caused by price deflation from those competitors, Defendant Raghuveer Belur, a Company co-founder and the Company's Senior Vice President and Chief Products Officer, dismissed such concerns, stating that "[c]ompetition is strong everywhere" and is "nothing new [in Europe]," while Defendant Kothandaraman claimed that Enphase does not "see any drop in [it's] pricing." Then on October 26, 2023, the Company reported an approximately 34% quarter-over-quarter decline in European revenue in the third quarter of 2023 due to "softening in demand." During the accompanying quarterly investor earnings call held that same day, Defendant Kothandaraman was adamant that the Company would not adjust its pricing strategies, despite countervailing competitive market forces, emphasizing that "there's no broad-based pricing adjustment from us." In response to the decline in European revenue and Defendant Kothandaraman's unwillingness to consider pricing adjustments, analysts at BofA Securities reiterated their underperform rating on the stock and criticized the Company for refusing to cut prices to pursue market share, as "competitive risks" endured in Europe. On this news, the price of Enphase common stock declined $14.09 per share, or nearly 15%, from a close of $96.18 per share on October 26, 2023, to close at $82.09 per share on October 27, 2023. Finally, on October 22, 2024, the Company announced its third quarter 2024 financial results and revealed an approximately 15% quarter-over-quarter decline in European revenue due to "further softening in European demand." During the accompanying quarterly investor earnings call held that same day, Defendant Kothandaraman was again asked whether, in light of the Company's weakness in Europe, Enphase would alter its pricing strategy. While he acknowledged that the Company had occasionally made customer-specific price concessions, Defendant Kothandaraman reiterated that "we are not dropping pricing anywhere," despite prevailing competitive headwinds. In response to Enphase's continued poor performance in Europe, Guggenheim downgraded Enphase stock to a sell rating from a neutral rating and explained that Enphase is "losing share to Chinese competitors who are willing to sell at less than half [Enphase]'s level." On this news, the price of Enphase common stock declined $13.76 per share, or nearly 15%, from a close of $92.23 per share on October 22, 2024, to close at $78.47 per share on October 23, 2024. The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not. Faruqi & Faruqi, LLP also encourages anyone with information regarding Enhpase's conduct to contact the firm, including whistleblowers, former employees, shareholders and others. To learn more about the Enphase Energy class action, go to www.faruqilaw.com/ENPH or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310). Follow us for updates on LinkedIn, on X, or on Facebook. Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner. SOURCE Faruqi & Faruqi, LLP

ONGOING DEADLINE ALERT: Faruqi & Faruqi, LLP Investigates Claims on Behalf of Investors of Enphase Energy

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