Israeli energy company SolarEdge is now the country’s most valuable publicly traded firm. The producer of alternative energy resources now has a market cap is higher than any other Israeli firm offered on a New York exchange.
Globes reports that SolarEdge (Nasdaq: SEDG) now has a market cap of $17.8 billion, more than the $17.7 billion held by Israel’s long time biggest company the cybersecurity firm Check Point (Nasdaq: CHKP). Check Point was one of the earliest major exits for Startup Nation when it held its IPO back in 1996.
It also surpassed healthcare company NovoCure (Nasdaq: NVCR) which has a market cap of about $16.8 billion. Its stock is currently trading at about 165. Nice Systems is the only other Israeli firm with a market cap above $15billion.
SolarEdge’s stock went up 9.9% on Wednesday alone. It and other alternative energies companies are booming right now in part because of the election of Joe Biden as President of the United States. He is expected to return to a promotion of alternative power development like solar energy as was the policy of the last Democratic President Barack Obama.
And with the official declaration of the final results of yesterday’s Georgia Senate runoff elections, the Democrats will now control both houses of the U.S. Congress. Both seats were taken by democrats and the party supports the promotion of alternative energies.
Up the value of your @SolarEdgePV install by $11-$13K, while meeting one of residential’s biggest demands. Connect our Smart EV Charger back to your customer’s HD-Wave or Energy Hub inverter and enable them to drive on sunshine. Read:https://t.co/h5zkVbmyas #residentialsolar pic.twitter.com/ex48Z3fJQa
— SolarEdge (@SolarEdgePV) January 4, 2021
Founded in 2006, SolarEdge is a global leader in smart energy technology. The company states that it creates smart energy solutions that “power our lives and drive future progress.”
SolarEdge developed the DC optimized inverter solution that changed the way power is harvested and managed in photovoltaic (PV) systems. The SolarEdge intelligent inverter solution maximizes power generation while lowering the cost of energy produced by the PV system, for improved RoI.
The company says that it addresses a broad range of energy market segments through its diversified product offering, including residential, commercial and large scale PV, battery storage and backup solutions, EV charging, home energy management, grid services and virtual power plants, and uninterrupted power supply (UPS) solutions.
The Motley Fool recently explained why SolarEdge has surged. For one, the stimulus package passed last year by the Congress offered a renewal of the investment tax credit (ITC) for solar power. Solar projects that begin construction in 2020 through 2022 are eligible for a 26% ITC.
In December JPMorgan and Piper Sandler both raised their expectations for the company’s stock by a third setting its price target to as high as $325 per share. This led to SolarEdge stock soaring by 17% while at the same time the S&P 500 composite rose by only 2%.