Shoals Technologies Group Inc. Class A Common Stock (SHLS)

FairStock Score: 45/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I approach Shoals Technologies as a maker of electrical balance-of-system components for solar and battery storage. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $163.4 million and net income was $12.1 million, or $0.07 per diluted share. That revenue is higher than fiscal Q2 2025, the quarter ended 2025-06-30, when revenue was $110.8 million, but net income was actually higher then at $13.9 million. For fiscal 2025, the year ended 2025-12-31, revenue was $475.3 million and net income was $33.6 million, or $0.20 per diluted share. Compare that with fiscal 2023, the year ended 2023-12-31: revenue was $488.9 million and net income was $40.0 million. So sales have not compounded, and profits are below where they were two years earlier. FairStock labels it a SLOW GROWER — Shrinking, with profit down about 0.1% a year over five years. The balance sheet shows D/E of 0.38, Piotroski 6/9, and Altman Z 2.87, but trailing free cash flow is negative $51.6 million, a -3.5% FCF yield. At the 2026-10-13 close of $8.65, FairStock’s P/E is 45.53, P/B 2.36, PEG 11.70, and EV/EBITDA 23.36. ROE is 5.34% and ROCE is 5.84%. The Graham Number is $3.96, so the price is 118.43% above that conservative figure. I require a margin of safety; here I see a stock that may be priced for a recovery that the filed numbers have not yet proven.

In plain English: Shoals Technologies makes electrical parts for solar and battery storage projects. Its recent sales have grown, but profits have been uneven and the company has been spending more cash than it brings in. At the recent price of $8.65, the stock looks expensive compared with the company’s earnings and accounting value.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer