Track market-moving stories before they get noisy

New York, New York--(Newsfile Corp. - May 14, 2026) - Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Grocery Outlet Holding Corp. (NASDAQ: GO) and certain of its officers.

This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Grocery Outlet securities between August 5, 2025 and March 4, 2026, both dates inclusive (the "Class Period"). Such investors are encouraged to join this case by visiting the firm's site: bgandg.com/GO.

Grocery Outlet Case Details

The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose material adverse facts concerning the Company's business, operations, and prospects. Specifically, the Complaint alleges that Defendants failed to disclose that:
(1) the Company had expanded too rapidly by opening an excessive number of new stores;
(2) the Company's purported financial and operational growth was artificially supported by this accelerated store expansion;
(3) as a result, the Company was unable to achieve the sustainable growth necessary to meet its previously issued guidance; and
(4) the Company's restructuring plan would require further optimization, including significant store closures and asset write-downs, in order to achieve its operational objectives.

What's Next for Grocery Outlet Investors?

A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm's site: bgandg.com/GO, or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Grocery Outlet you have until May 15, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.

No Cost to Grocery Outlet Investors

We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys' fees, usually a percentage of the total recovery, only if we are successful.

Why Bronstein, Gewirtz & Grossman, LLC for Grocery Outlet Securities Class Action?

Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com

"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.

Follow us for updates on LinkedIn, X, Facebook, or Instagram.

Attorney advertising.
Prior results do not guarantee similar outcomes.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/295350

Source: Bronstein, Gewirtz & Grossman, LLC

Ready to Announce with Confidence? Send us a message and a member of our TMX Newsfile team will contact you to discuss your needs.

Contact Us

Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In Grocery Outlet To Contact Him Directly To Discuss Their Options

If you purchased or acquired securities in Grocery Outlet between August 5, 2025 and March 4, 2026 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]

, /PRNewswire/ -- Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Grocery Outlet Holding Corp. ("Grocery Outlet" or the "Company") (NASDAQ: GO) and reminds investors of the May 15, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.

James (Josh) Wilson, Faruqi & Faruqi Senior Partner (PRNewsfoto/Faruqi & Faruqi, LLP) 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: (1) the Company had "expanded too quickly" into new stores; (2) the Company's purportedly strong financial and operational growth was being artificially supported by excessive rapid store expansion; (3) as a result, the Company was unable to achieve the sustainable growth required to meet its previously set guidance; (4) the Company's Restructuring Plan would require further Optimization to achieve its operational goals, including significant store closures and asset write-downs; and (5) that, as a result of the foregoing, Defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

On March 4, 2026, after the market closed, Grocery Outlet announced results for the fourth quarter and full fiscal year 2025, revealing the Company's full year financial results which missed guidance on nearly every major financial metric. The Company reported full year 2025 adjusted EBITDA of $254.3 million (missing prior guidance of $258 at the low end); net sales of $4.69 billion, (missing prior guidance of $4.70 billion at the low end); comparable store sales which increased by 0.5% on a 52-week basis (missing prior guidance of 0.6% to 0.9%), and diluted adjusted earnings per share of $0.76 (missing prior guidance of $0.78 at the low end). Moreover, the Company revealed it was adding an additional "optimization plan" on top of its "restructuring plan," and "reshaping [its] new store growth strategy" including the "closure of 36 financially underperforming stores." Further, the Company also "determined that the long-lived assets of the Closure Stores were impaired, and recognized $110 million of non-cash charges in Impairment of long-lived assets on the condensed consolidated statements of operations and comprehensive income (loss)." Finally, the Company stated that it estimates "between $14 million and $25 million in net total restructuring charges in fiscal 2026, including between $51 million and $63 million of estimated cash expenditures primarily for lease termination fees, and between $11 million and $14 million of bad debt expense, partially offset by net non-cash write-off of right-of-use assets and lease liabilities associated with these leases of between $(48) million and $(52) million."

On the same date, the Company held an earnings call in conjunction with releasing fourth quarter 2025 results. During the earnings call, the Company's CEO, Defendant Potter, further revealed that the Company had "made the difficult decision to close 36 locations" in part because "it's clear now that we expanded too quickly, and these closures are a direct correction."

On this news, Grocery Outlet's stock price fell $2.45, or 27.9%, to close at $6.34 per share on March 5, 2026, on unusually heavy trading volume.

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 Grocery Outlet's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.

To learn more about the Grocery Outlet class action, go to www.faruqilaw.com/GO 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

NEW YORK--(BUSINESS WIRE)---- $GO #ClassAction--Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Grocery Outlet Holding Corp. (“Grocery Outlet” or the “Company”) (NASDAQ: GO) and reminds investors of the May 15, 2026 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 Georg.

Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Grocery Outlet Holding Corp. (“Grocery Outlet” or the “Company”) (NASDAQ: GO) and reminds investors of the May 15, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260515337892/en/

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: (1) the Company had “expanded too quickly” into new stores; (2) the Company’s purportedly strong financial and operational growth was being artificially supported by excessive rapid store expansion; (3) as a result, the Company was unable to achieve the sustainable growth required to meet its previously set guidance; (4) the Company’s Restructuring Plan would require further Optimization to achieve its operational goals, including significant store closures and asset write-downs; and (5) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

On March 4, 2026, after the market closed, Grocery Outlet announced results for the fourth quarter and full fiscal year 2025, revealing the Company’s full year financial results which missed guidance on nearly every major financial metric. The Company reported full year 2025 adjusted EBITDA of $254.3 million (missing prior guidance of $258 at the low end); net sales of $4.69 billion, (missing prior guidance of $4.70 billion at the low end); comparable store sales which increased by 0.5% on a 52-week basis (missing prior guidance of 0.6% to 0.9%), and diluted adjusted earnings per share of $0.76 (missing prior guidance of $0.78 at the low end). Moreover, the Company revealed it was adding an additional “optimization plan” on top of its “restructuring plan,” and “reshaping [its] new store growth strategy” including the “closure of 36 financially underperforming stores.” Further, the Company also “determined that the long-lived assets of the Closure Stores were impaired, and recognized $110 million of non-cash charges in Impairment of long-lived assets on the condensed consolidated statements of operations and comprehensive income (loss).” Finally, the Company stated that it estimates “between $14 million and $25 million in net total restructuring charges in fiscal 2026, including between $51 million and $63 million of estimated cash expenditures primarily for lease termination fees, and between $11 million and $14 million of bad debt expense, partially offset by net non-cash write-off of right-of-use assets and lease liabilities associated with these leases of between $(48) million and $(52) million.”

On the same date, the Company held an earnings call in conjunction with releasing fourth quarter 2025 results. During the earnings call, the Company’s CEO, Defendant Potter, further revealed that the Company had “made the difficult decision to close 36 locations” in part because “it’s clear now that we expanded too quickly, and these closures are a direct correction.”

On this news, Grocery Outlet’s stock price fell $2.45, or 27.9%, to close at $6.34 per share on March 5, 2026, on unusually heavy trading volume.

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 Grocery Outlet’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.

To learn more about the Grocery Outlet class action, go to www.faruqilaw.com/GO or callFaruqi & 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.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260515337892/en/

NEW YORK, May 18, 2026 (GLOBE NEWSWIRE) -- Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Grocery Outlet Holding Corp. (NASDAQ: GO) and certain of its officers.

This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Grocery Outlet securities between August 5, 2025 and March 4, 2026, both dates inclusive (the “Class Period”). Such investors are encouraged to join this case by visiting the firm’s site: bgandg.com/GO.

Grocery Outlet Case Details

The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose material adverse facts concerning the Company’s business, operations, and prospects. Specifically, the Complaint alleges that Defendants failed to disclose that:

      (1)   the Company had expanded too rapidly by opening an excessive number of new stores;
      (2)   the Company’s purported financial and operational growth was artificially supported by this accelerated store expansion;
      (3)   as a result, the Company was unable to achieve the sustainable growth necessary to meet its previously issued guidance; and
      (4)   the Company’s restructuring plan would require further optimization, including significant store closures and asset write‑downs, in order to achieve its operational objectives.

What's Next for Grocery Outlet Investors?

A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm’s site: bgandg.com/GO. or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Grocery Outlet you have until May 15, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.

No Cost to Grocery Outlet Investors

We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys’ fees, usually a percentage of the total recovery, only if we are successful.

Why Bronstein, Gewirtz & Grossman, LLC for Grocery Outlet Securities Class Action?

Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com

"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.

Follow us for updates on LinkedIn, X, Facebook, or Instagram.

Contact Info

Peretz Bronstein, Esq. or Nathan Miller
Bronstein, Gewirtz & Grossman, LLC
917-590-0911 | [email protected]

Attorney advertising.
Prior results do not guarantee similar outcomes.

Key Takeaways Grocery Outlet's Q1 FY26 comps fell 1% as transactions rose 2.1% but average ticket dropped 3.1%.GO is rebuilding opportunistic closeout mix; it's up nearly 2 pts YTD, with more branded deals resonating.GO targets ~$12M annualized adj. EBITDA from closing 36 stores, alongside ~100 refreshes by year-end. Grocery Outlet Holding Corp. (GO - Free Report) is drawing shoppers back with sharper value messaging and promotions, yet comparable sales remain pressured by smaller baskets and mix headwinds.

Understanding what drives traffic, ticket, and margins comes down to how GO sources product, how stores are run locally, and how quickly execution initiatives translate into better basket economics.

GO’s Treasure-Hunt Model and Why It WinsGO’s “treasure hunt” model starts with extreme-value pricing in a small-box store format, typically about 14,000 to 18,000 square feet. The concept is designed to feel easy to shop while still offering surprise and discovery through a curated, fast-changing assortment.

The savings engine is opportunistic sourcing. GO buys discounted merchandise tied to order cancellations, manufacturer overruns, packaging changes, and product nearing “sell-by” dates. Those discounted closeouts appear as rotating “WOW!” deals that refresh the trip and reinforce the value perception that shoppers expect from the banner.

Management has clearly framed the model’s advantage: a typical basket is priced meaningfully below conventional grocers and leading discounters, with the best deals offering large savings compared with conventional retailers. That combination of everyday staples plus rotating WOW! deals is what support traffic and repeat visits.

Grocery Outlet’s IO Structure Powers Local ExecutionA defining feature of GO is its Independent Operator (IO) structure. Each store is run by an Entrepreneurial Independent Operator under an Operator Agreement, which grants the IO meaningful authority over store-level execution. That includes merchandising and product selection, inventory management, local marketing, hiring and training, and day-to-day operations.

This decentralization is not just a cultural choice. It is a mechanical advantage for a business that relies on localized assortments and fast turns. IO autonomy helps stores tailor what they sell and how they present it to the customers walking through that specific door.

The incentive system matters too. GO shares store-level gross profits with Independent Operators, aligning motivation around selling through the mix, keeping the store shoppable, and engaging customers consistently. When the value story is clear and the deal flow is strong, the model can compound through higher trip frequency and stronger baskets.

GO’s Product Mix Shift Is the Key VariableThe biggest swing factor in GO’s current performance is the opportunistic product mix. Opportunistically sourced products account for a substantial portion of the purchasing mix and are central to the WOW! deal promise that differentiates the chain.

Management has emphasized rebuilding that mix. In the first quarter of fiscal 2026, the company pointed to progress, with an opportunistic mix rising by nearly 2 percentage points since the start of the year, and noted that higher-value branded deals are resonating with customers.

When the opportunistic mix is not where it needs to be, the basket can soften. The business can still bring shoppers into stores, but a less compelling deal flow can reduce units per trip and dampen wallet share, making it harder to convert traffic gains into positive comparable sales.

Grocery Outlet’s Comps: Traffic Up, Basket DownGO’s comparable-store sales picture is best explained by the math. In the first quarter, comparable sales declined 1% even as transactions increased 2.1%, because average transaction size fell 3.1%.

Management directly tied the ticket pressure to lower units per transaction and a reduced mix of opportunistic products. In other words, more shoppers are coming through the doors, but they are leaving with fewer items.

That pattern is also why the near-term cadence still looks uneven. Even with sequential traffic improvement, comps can stay negative if basket size does not recover alongside mix restoration. That is the critical bridge from traffic-led stabilization to healthier earnings leverage.

Image Source: Zacks Investment Research

GO’s Promotions Help Traffic but Squeeze MarginsTo strengthen value perception and keep traffic moving in the right direction, GO has leaned into heavier promotions. Management has committed to sizable synthetic promotional support during fiscal 2026 to help bridge the opportunistic supply gap.

The trade-off is margin. In the first quarter, gross margin declined year over year, with part of the pressure tied to restructuring-related inventory markdowns and write-offs, and the rest linked to deliberate promotions used to support traffic and value perception.

This is where competitive intensity matters. Larger rivals like Walmart Inc. (WMT - Free Report) and Costco Wholesale Corporation (COST - Free Report) have the resources, brand recognition, and broad assortments that can intensify price competition, raising the bar for GO to defend its value message without giving up too much margin.

Grocery Outlet’s Store Actions: Refreshes and ClosuresBeyond pricing, GO is trying to improve the in-store experience. The store refresh program is designed to improve layout, signage, and merchandising clarity, make stores easier to shop, improve in-stock consistency, and communicate savings more clearly. Management completed 34 refreshes in the first quarter and expects about 100 by year-end, with early feedback described as positive.

At the same time, the company is upgrading the store base through an Optimization Plan. GO is closing 36 underperforming stores, completing 27 closures in the first quarter and the remaining nine in April, with an expected $12 million of annualized adjusted EBITDA improvement once the actions are completed.

Taken together, refreshes aim to lift productivity in the core fleet, while closures are intended to improve earnings quality by pruning weaker assets and concentrating resources on better-return locations.

What to Watch Next for GO’s Sales RecoveryWith transactions improving but ticket down, a sustained recovery requires units per trip to stabilize and the average transaction size to stop falling.

Second, monitor opportunistic mix restoration. Management’s progress on rebuilding the mix has been measurable, and continued improvement should help strengthen the WOW! deal promise that supports both traffic and basket.

Third, watch the pace and effectiveness of refreshes and whether in-stock consistency gains translate into better conversion. Finally, follow whether promotional intensity can normalize as the opportunistic supply gap narrows, helping comps stabilize without prolonging gross margin pressure. Currently, the stock carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways GO trades at 15.29x forward P/E, below the industry's 17.07, after shares fell 16.3% YTD.GO saw transactions rise 2.1%, but comps fell 1% as average transaction size dropped 3.1%.Grocery Outlet is closing 36 stores and expects about $12M annualized adjusted EBITDA improvement. Grocery Outlet Holding Corp. (GO - Free Report) is trading at a discounted valuation despite efforts to stabilize sales and improve profitability. The investment case hinges on whether the company can convert improving traffic trends, store optimization efforts, and a rebuilding opportunistic product mix into a sustainable earnings recovery.

The setup is attractive on price, but the next leg depends on execution. It is about whether near-term pressure on comparable sales, baskets, and margins can ease fast enough to support a cleaner recovery.

GO’s Neutral Setup: Upside Levers vs. Execution RiskGrocery Outlet’s differentiated model is still a clear draw. Opportunistic sourcing, deep discounts on rotating “WOW!” deals, and an Independent Operator structure support a compelling customer value proposition and localized execution.

Management is also pushing initiatives that can improve consistency over time. Merchandising upgrades and store refreshes are designed to strengthen engagement and drive trip frequency.

The trade-off is that near-term results remain uneven. Comparable sales are still negative, basket size is soft, promotional intensity is elevated, and operating costs are rising. Those factors have kept pressure on margins and made the recovery look gradual rather than immediate.

Image Source: Zacks Investment Research

Grocery Outlet’s Earnings Bridge: What Must ImproveThe latest quarter highlighted the checklist investors should watch. Comparable-store sales fell 1%, reflecting a 3.1% decline in average transaction size that more than offset a 2.1% increase in transactions. That mix signals improving traffic, but a basket that still needs rebuilding. 

Margins are the next swing factor. Gross margin was 29.6%, down 80 basis points year over year, with part of the decline tied to markdowns and write-offs connected to optimization actions and the rest pressured by promotions used to bridge gaps in opportunistic supply.

Finally, expense leverage has to return for adjusted EBITDA to recover. Selling, general and administrative expenses rose to 29.8% of sales, and adjusted EBITDA fell to $43.1 million, with margin down to 3.7%. Management’s outlook keeps the near-term bar clear: second-quarter comparable sales are expected to decline 1.5% to 2%, while adjusted EBITDA is projected at $55 million to $58 million.

Image Source: Zacks Investment Research

GO’s Optimization Plan Aims To Lift EBITDA QualityA key element of the strategy is pruning weaker assets. Grocery Outlet is closing 36 underperforming stores, with 27 closures completed in the first quarter and the remaining nine completed in April.

Management expects these optimization and restructuring actions to produce about $12 million of annualized adjusted EBITDA improvement once completed. The goal is a cleaner fleet mix with less operational drag and more resources concentrated in higher-return locations.

This matters because it links portfolio actions directly to earnings quality. If the company can remove low-return stores while tightening underwriting for new units, the path to more stable profitability becomes clearer.

Grocery Outlet’s Expansion Gets More DisciplinedExpansion is shifting toward returns-focused growth. Management is applying more rigorous site selection, higher return thresholds, and clustered expansion in core markets to improve supply chain efficiency, brand awareness, and operating leverage.

New store underwriting standards are also rising. The company is targeting stores capable of generating returns above 25%, with an ambition to approach 30% over time, and it is prioritizing higher-volume locations with stronger long-term economics.

For the current fiscal year, the plan calls for 30-33 net new store openings, excluding closures tied to optimization actions. That approach is meant to balance growth with profitability and reduce the risk of adding lower-quality units.

GO Valuation ContextThe valuation case starts with what has already been discounted. GO shares are down 16.3% year to date, lagging both the Zacks Consumer Staples sector and the broader market. 
 

Image Source: Zacks Investment Research

From a valuation standpoint, Grocery Outlet’s forward 12-month price-to-earnings ratio stands at 15.29, lower than the industry’s ratio of 17.07. It is also trading below its 12-month median level of 19.04, suggesting investors have yet to fully price in the company’s recovery potential.

In practical terms, the multiple has room to expand if comparable sales stabilize, margins stop sliding, and adjusted EBITDA begins to rebuild on cleaner fundamentals.

Image Source: Zacks Investment Research

A Practical Playbook for GO InvestorsFor now, the stock carries a Zacks Rank #3 (Hold), which supports a “monitor” posture while investors track whether the company can convert traffic gains into healthier baskets and better profit flow-through. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Signals that fundamentals are improving would include a better comparable-sales trajectory than current guidance, a stabilization in average transaction size, and evidence that margin pressure is easing as promotions normalize. Delivery of the expected annualized adjusted EBITDA uplift from optimization actions would also reinforce the earnings-quality angle.

What would undermine the thesis is a prolonged basket decline, margin pressure that lasts longer than expected, or a weaker comparable-sales trend that keeps leverage out of the model. Competition remains intense, with larger players such as Walmart Inc. (WMT - Free Report) and Costco Wholesale Corporation (COST - Free Report) able to pressure pricing and promotional activity, which can make GO’s margin stabilization harder to achieve.

Key Takeaways BJ reports fiscal Q1 2026 results May 22; revenue seen $5.435B and EPS estimated at $1.04.BJ renewal strength and digital options aided engagement; comp club sales excluding gas seen up 1.7%.BJ margin may face ~60-bp hit from pricing and expansion; tariff pressure and soft discretionary spend noted. BJ’s Wholesale Club Holdings, Inc. (BJ - Free Report) is scheduled to report first-quarter fiscal 2026 results on May 22, before market open. The warehouse retailer has been benefiting from steady membership growth, strong traffic trends and expanding digital capabilities, raising investors’ optimism ahead of earnings. The key question remains: Can BJ’s deliver another earnings beat this quarter?

The Zacks Consensus Estimate for first-quarter revenues stands at $5,435 million, indicating a 5.5% increase from the prior-year reported figure. On the earnings front, the consensus estimate has fallen a penny to $1.04 per share over the past seven days, implying a year-over-year decline of 8.8%.

BJ's Wholesale has a trailing four-quarter earnings surprise of 9.4%, on average. In the last reported quarter, this Marlborough, MA-based company’s bottom line surpassed the Zacks Consensus Estimate by 3.2%.

Image Source: Zacks Investment Research

What the Zacks Model Predicts for BJAs investors prepare for BJ's first-quarter announcement, the question looms regarding earnings beat or miss. Our proven model does not conclusively predict an earnings beat for BJ's Wholesale this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. However, that’s not the case here. You can see the complete list of today’s Zacks #1 Rank stocks here.

BJ's Wholesale has a negative Earnings ESP of 3.90% and a Zacks Rank of 3. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.

What’s Shaping BJ’s Wholesale’s Upcoming Earnings?BJ’s Wholesale appears to have benefited from continued strength in its membership-driven business model during the first quarter. The company entered the period with strong renewal trends, healthy member acquisition and rising penetration of higher-tier memberships, which are likely to have supported traffic and spending trends. Management has repeatedly emphasized that consumers remain highly focused on value in an uncertain spending environment, and BJ’s competitive pricing, curated assortment and membership rewards ecosystem likely continued to resonate with budget-conscious shoppers. We expect comparable club sales, excluding gasoline sales, to increase 1.7% during the quarter under review.

The company’s digital and omnichannel capabilities are also likely to have been key contributors to first-quarter performance. BJ has continued to expand digitally enabled shopping options such as buy-online-pickup-in-club, same-day delivery and ExpressPay, all of which have been driving stronger member engagement and higher shopping frequency. Management has noted that digitally engaged members tend to be more valuable because they shop more often and spend more across channels. Continued investments in AI-enabled personalization, merchandising tools and app-based conveniences are likely to have helped the company maintain momentum in traffic and basket growth while reinforcing its position as a convenience-focused warehouse retailer.

BJ’s grocery and perishables business is likely to have remained another important growth driver in the quarter. The company has continued to benefit from improvements in assortment, merchandising execution and its Fresh 2.0 initiative. Demand for essential categories such as grocery, beverages, snacks and household staples is likely to have remained healthy as consumers prioritized value-oriented purchases. In addition, BJ’s growing portfolio of own-brand products is likely to have further supported shopper loyalty, as these offerings provide customers with lower-priced alternatives without compromising on quality.

On the flip side, first-quarter profitability is likely to have faced pressure from continued investments in value, expansion initiatives and merchandise mix shifts. Management previously highlighted ongoing efforts to invest in pricing to maintain competitive gaps against traditional retailers, particularly in grocery categories, which are likely to have weighed on merchandise margins. At the same time, higher operating expenses tied to growth initiatives are likely to have been additional cost headwinds during the quarter. We expect the operating margin to contract 60 basis points during the first quarter.

The company also acknowledged broader macro uncertainty, including tariff-related pressures and cautious discretionary spending trends, which is likely to have affected performance in certain general merchandise categories.

BJ Stock Price PerformanceShares of BJ's Wholesale have advanced 5.9% year to date against the industry’s 1.4% decline.

BJ stock has held up far better than Albertsons Companies, Inc. (ACI - Free Report) , though it has lagged Walmart Inc. (WMT - Free Report) and Costco Wholesale Corporation (COST). Over the same period, Walmart and Costco shares have risen 17.4% and 24.5%, respectively, while Albertsons has slipped 0.7%.

Image Source: Zacks Investment Research

Does BJ Present a Strong Case for Value Investing?BJ currently trades at a forward 12-month price-to-sales (P/S) multiple of 0.52, which puts it at a discount relative to the industry average of 2.14. At the same time, BJ is trading below its 12-month median P/S of 0.55X.

BJ is trading at a premium to Albertsons Companies (with a forward 12-month P/S ratio of 0.10), but at a discount to Walmart (1.38) and Costco (1.51).

Image Source: Zacks Investment Research

Final Words on BJBJ’s Wholesale appears well-positioned heading into its first-quarter earnings release, supported by steady membership growth, resilient traffic trends and continued momentum in digital and grocery categories. While ongoing investments in pricing, expansion initiatives and operating infrastructure may weigh on margins, the company’s value-focused model and disciplined execution continue to provide support. However, with the current earnings indicators not strongly pointing toward another beat, investors may prefer to maintain a balanced approach ahead of the release. Existing shareholders can continue holding the stock given the company’s strong fundamentals and expansion opportunities, while prospective investors may consider waiting for greater clarity from management’s commentary and near-term earnings performance before building fresh positions.

MARLBOROUGH, Mass.--(BUSINESS WIRE)--BJ's Wholesale Club Holdings, Inc. (NYSE: BJ) (the “Company”) today announced its financial results for the thirteen weeks ended May 2, 2026. “We delivered a strong first quarter as our value proposition continued to resonate with members across our clubs and at our gas stations. Momentum in membership, fuel and digital sales reflects the disciplined execution of our teams and our focus on delivering value and convenience for the families who depend on us,”.

BJ's Wholesale Club logged higher sales in its fiscal first quarter, as inflation-weary consumers continued to flock to the warehouse club in search of value.

BJ's Wholesale Club (BJ - Free Report) came out with quarterly earnings of $1.1 per share, beating the Zacks Consensus Estimate of $1.04 per share. This compares to earnings of $1.14 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +5.36%. A quarter ago, it was expected that this wholesale membership warehouse operator would post earnings of $0.93 per share when it actually produced earnings of $0.96, delivering a surprise of +3.23%.

Over the last four quarters, the company has surpassed consensus EPS estimates four times.

BJ's, which belongs to the Zacks Consumer Products - Staples industry, posted revenues of $5.53 billion for the quarter ended April 2026, surpassing the Zacks Consensus Estimate by 1.73%. This compares to year-ago revenues of $5.15 billion. The company has topped consensus revenue estimates two times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

BJ's shares have added about 4.9% since the beginning of the year versus the S&P 500's gain of 8.8%.

What's Next for BJ's?While BJ's has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for BJ's was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.19 on $5.73 billion in revenues for the coming quarter and $4.50 on $22.88 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Consumer Products - Staples is currently in the bottom 28% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Ollie's Bargain Outlet (OLLI - Free Report) , another stock in the same industry, has yet to report results for the quarter ended April 2026. The results are expected to be released on June 3.

This retailer is expected to post quarterly earnings of $0.87 per share in its upcoming report, which represents a year-over-year change of +16%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Ollie's Bargain Outlet's revenues are expected to be $665.76 million, up 15.4% from the year-ago quarter.

U.S. stocks traded higher this morning, with the Dow Jones index gaining more than 250 points on Friday.

Following the market opening Friday, the Dow traded up 0.53% to 50,551.00 while the NASDAQ gained 0.72% to 26,481.49. The S&P 500 also rose, gaining, 0.64% to 7,493.32.

Leading and Lagging Sectors

Health care shares jumped by 1.3% on Friday.

In trading on Friday, energy stocks fell by 0.1%.

Top Headline

Shares of BJ’s Wholesale Club Holdings Inc (NYSE:BJ) fell around 7% on Friday after the company reported earnings for the first quarter.

The company posted quarterly earnings of $1.10 per share which beat the analyst consensus estimate of $1.03 per share. The company reported quarterly sales of $5.529 billion which beat the analyst consensus estimate of $5.396 billion.

Equities Trading UP
           

Equities Trading DOWN

Commodities

In commodity news, oil traded up 0.6% to $96.96 while gold traded down 0.5% at $4,522.00.

Silver traded down 0.5% to $76.370 on Friday, while copper rose 0.9% to $6.3480.

Euro zone

European shares were higher today. The eurozone's STOXX 600 gained 0.8%, while Spain's IBEX 35 Index rose 0.6%. London's FTSE 100 rose 0.3%, Germany's DAX gained 1.2%, while France's CAC 40 climbed 0.7%.

Asia Pacific Markets

Asian markets closed higher on Friday, with Japan's Nikkei 225 gaining 2.68%, Hong Kong's Hang Seng Index gaining 0.86%, China's Shanghai Composite surging 0.87% and India's BSE Sensex rising 0.31%

Economics

The Michigan consumer sentiment index will be released today.

Photo via Shutterstock

Market News and Data brought to you by Benzinga APIs

© 2026 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

To add Benzinga News as your preferred source on Google, click here.

For the quarter ended April 2026, BJ's Wholesale Club (BJ - Free Report) reported revenue of $5.53 billion, up 7.3% over the same period last year. EPS came in at $1.10, compared to $1.14 in the year-ago quarter.

The reported revenue represents a surprise of +1.73% over the Zacks Consensus Estimate of $5.44 billion. With the consensus EPS estimate being $1.04, the EPS surprise was +5.36%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how BJ's performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

Comparable club sales, excluding gasoline sales: 1.5% versus the six-analyst average estimate of 1.7%.Warehouse Club: 267 versus the five-analyst average estimate of 266.Comparable club sales: 6.3% versus the four-analyst average estimate of 1.9%.Gas Stations: 205 versus 201 estimated by two analysts on average.Revenues- Net sales: $5.53 billion compared to the $5.27 billion average estimate based on five analysts. The reported number represents a change of +9.9% year over year.Revenues- Membership fee income: $132.36 million versus $131.86 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +9.9% change.View all Key Company Metrics for BJ's here>>>

Shares of BJ's have returned -2.6% over the past month versus the Zacks S&P 500 composite's +5.5% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

BJ's Wholesale Club Holdings, Inc. continues to demonstrate a high-quality business model targeting value-conscious consumers in the eastern U.S. Despite steady fundamentals, BJ stock has underperformed the S&P 500, declining 5.25% versus the market's 13.3% gain since last fall. BJ stock's prior premium valuation has compressed as investors reassess BJ's steady but unspectacular growth profile.

Key Takeaways BJ posted Q1 adjusted EPS of $1.10 on $5.66B revenues, topping consensus as comps rose 6.3%.BJ membership fee income climbed 9.9% to $132.4M; renewal stayed 90%, and members topped 8M.BJ said Texas openings are among its strongest, with membership 33% ahead of plan; digital comps surged 28%. BJ’s Wholesale Club Holdings, Inc. (BJ - Free Report) delivered first-quarter fiscal 2026 results, wherein the top and bottom lines beat the Zacks Consensus Estimate. Results reflected strong membership trends, robust fuel demand, accelerating digital engagement and continued traffic growth. Management highlighted momentum in higher-tier memberships, strength in newly opened clubs and continued market-share gains, particularly in fuel and digitally enabled sales.

BJ’s First-Quarter InsightsBJ’s Wholesale Club reported adjusted earnings of $1.10 per share, which beat the Zacks Consensus Estimate of $1.04. However, the metric declined 3.5% from the year-ago quarter due to lapping a prior-year tax benefit tied to stock-based compensation.

This operator of membership warehouse clubs generated total revenues of $5,661.5 million, which increased 9.9% year over year and surpassed the Zacks Consensus Estimate of $5,435 million. Net sales climbed 9.9% to $5,529.1 million, while membership fee income rose 9.9% to $132.4 million, driven by strong member acquisition, retention and higher-tier membership penetration. We had expected membership fee income growth of 7%.

Total comparable club sales increased 6.3% year over year in the reported quarter. Excluding gasoline sales, comparable club sales improved 1.5%, reflecting healthy merchandise demand and traffic growth. However, it came below our estimate of 1.7% growth. Digitally enabled comparable sales jumped 28%, following two-year stacked growth of 63%, supported by higher adoption of curbside pickup, same-day delivery and ExpressPay services.

Management noted that fuel volumes remained particularly strong during the quarter, with comparable gasoline gallons increasing nearly 8%, significantly outperforming the broader market. The company also highlighted positive traffic growth and market-share gains across its business.

A Look at BJ’s MarginsGross profit increased to $1.03 billion in the first quarter from $969.5 million in the year-ago period. However, the merchandise gross margin rate, excluding gasoline sales and membership fee income, declined nearly 10 basis points year over year. The decrease was primarily due to continued investments in pricing, partially offset by tariff refund benefits recognized during the quarter.

Operating income rose 2.1% year over year to $207.9 million. Adjusted EBITDA increased 4.3% to $298.1 million, reflecting solid operational execution and continued leverage from membership growth.

Selling, general and administrative expenses jumped to $806 million from $760.9 million in the prior-year quarter. The increase mainly reflected higher labor, occupancy and operational costs associated with new club and gas station openings, along with higher depreciation expenses due to an increase in owned clubs.

BJ’s Membership Strength & Expansion EffortsBJ’s Wholesale Club continued to expand the size and quality of its membership base during the quarter. Membership fee income reached an all-time high, supported by strong acquisition trends, retention and higher-tier membership penetration. The company maintained a 90% tenured membership renewal rate and reported more than 8 million members.

During the quarter, BJ’s opened one new club and six new gas stations, including its first club in Texas, expanding operations into its 22nd state. In May, the company opened three additional Texas clubs and indicated that membership in the Dallas-Fort Worth market is running well ahead of expectations. Management stated that the Texas openings are among the strongest in the company’s history, with membership tracking 33% ahead of plan.

The company reiterated plans to open 25-30 new clubs over fiscal 2027 and 2028 combined while remaining on track to open 12 clubs in fiscal 2026.

BJ’s Wholesale Financial SnapshotBJ’s Wholesale Club ended the quarter with cash and cash equivalents of $27.8 million, while total debt stood at $774.2 million. Stockholders’ equity totaled $2,126.3 million.

Net cash provided by operating activities was $140 million in the quarter. Adjusted free cash flow came in at negative $42 million due to elevated capital expenditures tied to club expansion and distribution network investments. Capital expenditures totaled $182 million during the quarter.

During the first quarter, BJ’s repurchased approximately 2.1 million shares for $206.6 million. About $545 million remained available under the company’s existing repurchase authorization at quarter-end.

Here’s What BJ GuidedBJ’s Wholesale Club reiterated its fiscal 2026 guidance. Management continues to expect comparable club sales, excluding gasoline sales, to increase 2-3% year over year. Adjusted earnings per share are still projected in the range of $4.40-$4.60 compared with $4.40 reported in fiscal 2025.

The company also continues to expect capital expenditures of roughly $800 million in fiscal 2026, reflecting ongoing investments in new club openings and supply-chain enhancements, including its new ambient distribution center project.

Management emphasized confidence in the company’s long-term strategy, highlighting continued investments in value, membership growth, digital capabilities and expansion into new markets despite a dynamic consumer environment.

Shares of this Zacks Rank #3 (Hold) company have fallen 10.5% over the past three months compared with the industry’s decline of 13.3%.

Don’t Miss These Solid BetsThe Chef's Warehouse, Inc. (CHEF - Free Report) , a specialty food distributor serving restaurants, hotels and hospitality customers, sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

 The Zacks Consensus Estimate for The Chef's Warehouse’s current financial-year sales and earnings indicates growth of 8.3% and 24.7%, respectively, from the prior-year reported levels. CHEF delivered a trailing four-quarter earnings surprise of 28.9%, on average.

 Ross Stores, Inc. (ROST - Free Report) is the largest off-price apparel and home fashion chain in the United States. ROST sports a Zacks Rank #1.

The consensus estimate for Ross Stores’ current fiscal-year sales and earnings implies growth of 7.9% and 15%, respectively, from the year-ago reported figures. ROST delivered a trailing four-quarter earnings surprise of 10.2%, on average.

 Tyson Foods, Inc. (TSN - Free Report) operates as a leading protein company producing chicken, beef, pork and prepared food products. TSN currently carries a Zacks Rank #2.

 The Zacks Consensus Estimate for Tyson Foods’ current fiscal-year sales calls for growth of 4.5%, while the consensus mark for earnings indicates a 0.5% increase from the year-ago reported figures. TSN delivered a trailing four-quarter earnings surprise of 18.1%, on average.

Key Takeaways BJ stressed a more aggressive value push, reinvesting tariff refunds into lower prices.Membership fee income rose 9.9% to $132.4M as total members hit an all-time high.Four Texas clubs are 33% ahead of plan with about 100,000 members in Dallas-Fort Worth. BJ’s Wholesale Club Holdings, Inc. (BJ - Free Report) used its first-quarter fiscal 2026 call to underscore a more aggressive value posture. Management made clear it is willing to reinvest tariff-related benefits and other gains into lower prices to reinforce member loyalty and support share gains.

That stance came with a steady full-year outlook and strong early signs from Texas. The call mattered less for the reported quarter alone than for how executives framed pricing, expansion and customer behavior in a still uneven consumer backdrop.

BJ Puts Pricing at the CenterRobert Eddy, chairman and chief executive officer, said the company used tariff refunds as a source of funds to invest back into member pricing. He tied that move to a broader goal of widening price gaps and leaning into value while household budgets remain under pressure.

That message shaped the quarter’s operating context. Comparable club sales rose 6.3%, while comparable club sales excluding gasoline increased 1.5%, showing the business still advanced even as management chose to pressure merchandise margin in support of value.

The reported figures were mixed against Wall Street expectations. BJ posted adjusted earnings per share of $1.10 versus the Zacks Consensus Estimate of $1.04, a 5.36% surprise. Revenue of $5.53 billion was slightly above the Zacks Consensus Estimate of $5.44 billion, representing a 1.73% beat.

BJ's Membership Base DeepensEddy described membership as the foundation of the model, and the quarter reinforced that view. Membership fee income rose 9.9% year over year to $132.4 million, supported by acquisition, retention and higher-tier penetration across both new and existing clubs.

Laura Felice, executive vice president and chief financial officer, said total members reached an all-time high. She also said membership fee income growth should moderate later in the year as the company laps last year’s fee increase, but she kept emphasizing the underlying health of the base.

Management also added an important nuance on the consumer. Eddy said the vast majority of comparable sales growth came from higher-income members, while lower-income households remained more pressured, keeping value at the center of the company’s member proposition.

BJ Finds Strength in Fuel and DigitalFuel was one of the clearest traffic and value drivers in the quarter. Eddy said comp gallon growth moved from about 1% in February to more than 10% in both March and April, while Felice said comparable gallons rose nearly 8% for the quarter.

Management said gas margins were squeezed early as prices rose rapidly, but execution improved as volatility continued and fuel profit dollars finished largely in line with plan. The company also said same-store gallons in the broader market were down roughly 4%, underscoring the share gains BJ said it captured.

Digital remained another bright spot. Digitally enabled comparable sales grew 28%, helped by curbside pickup, same-day delivery and ExpressPay, with newer clubs showing particularly strong adoption and spending behavior.

BJ's Texas Club Opens Ahead of PlanTexas stood out as the key expansion story on the call. Eddy said the first Texas club opened during the quarter, followed by three additional openings in May, and he described the execution as some of the best the company has delivered on a new-market entry.

William Werner, executive vice president of strategy and development, said the early member response has been broad-based across families in the trade areas. Management said membership in the four Texas clubs is running 33% ahead of plan, with about 100,000 members already in the Dallas-Fort Worth market.

The company also used the call to reinforce confidence in the broader opening pipeline. BJ expects 12 openings in fiscal 2026, which would bring it to 26 clubs against its previously stated two-year target of 25 to 30 openings.

BJ Faces Margin Questions but Holds OutlookAnalyst questions focused heavily on margins, tariffs and the balance between offense and discipline. Felice said merchandise gross margin declined about 10 basis points year over year, primarily because of pricing investments, partly offset by tariff refund benefits recognized in the quarter.

In response to questions from Baird, Citi and Wells Fargo analysts, management stayed consistent: any source of benefit, including tariff refunds and potentially fuel dynamics, can be redirected into member value if that supports the long-term franchise. Felice also said a smaller amount of tariff dollars should still flow into the second quarter.

Even with those moving pieces, the company kept its fiscal 2026 guidance unchanged. BJ still expects comparable club sales excluding gasoline to rise 2% to 3% and adjusted EPS to range from $4.40 to $4.60.

BJ's Posture Stays Expansion-FocusedThe call’s broader tone was confident but measured. Eddy repeatedly returned to the idea that the company should play offense now by investing in value, new clubs and member engagement rather than managing strictly for near-term margin protection.

That posture extended to capital allocation. BJ repurchased about $206.6 million of shares in the quarter, continued opening gas stations and clubs, and said leverage remains low enough to support both growth investment and shareholder returns.

Zacks Signals Show a Balanced SetupBJ carries a Zacks Rank #3 (Hold), along with Value, Growth, Momentum and VGM Score of B. Under the Zacks framework, those B grades indicate favorable characteristics, but the strongest expected near-term performance is generally associated with Zacks Rank #1 (Strong Buy) or #2 (Buy) stocks paired with A or B Style Scores. You can see the complete list of today’s Zacks #1 Rank stocks here.

A Zacks Rank #3 can still support a neutral stance when paired with solid Style Scores, and the B-rated VGM profile points to a balanced mix of value, growth and momentum traits. The Zacks Rank can change as earnings estimate revisions move after the quarter, so that revision trend remains the key signal to monitor.

BJ's Wholesale Club stock dropped 8% post-Q1 due to weak core merchandise comps, despite robust total comps driven by gasoline. Guidance for FY24 remains achievable, with easier compares ahead and weather-related Q1 disruptions likely non-recurring; adjusted EPS guidance is $4.40–$4.60. Valuation has compressed to 19.3x forward earnings; the price target is $101 (22x $4.60), but lack of core comp progress tempers conviction.

Enlight Renewable Energy Ltd. (NASDAQ: ENLT - Get Free Report) saw a significant increase in short interest in the month of March. As of March 13th, there was short interest totaling 288,764 shares, an increase of 28.2% from the February 26th total of 225,207 shares. Approximately 0.2% of the shares of the company are sold short.

Posted by Defense World Staff on Apr 15th, 2026

Shares of Enlight Renewable Energy Ltd. (NASDAQ:ENLT – Get Free Report) have received an average rating of “Hold” from the seven research firms that are currently covering the stock, Marketbeat reports. Two research analysts have rated the stock with a sell rating, two have assigned a hold rating and three have given a buy rating to the company. The average 1-year target price among brokers that have covered the stock in the last year is $48.00.

A number of analysts recently weighed in on ENLT shares. Deutsche Bank Aktiengesellschaft set a $65.00 price objective on Enlight Renewable Energy and gave the company a “hold” rating in a report on Thursday, April 9th. Barclays reiterated an “overweight” rating on shares of Enlight Renewable Energy in a report on Wednesday, February 18th. Weiss Ratings reiterated a “hold (c)” rating on shares of Enlight Renewable Energy in a report on Friday, March 27th. UBS Group upped their target price on Enlight Renewable Energy to $65.00 and gave the company a “buy” rating in a report on Friday, January 16th. Finally, Mizuho set a $37.00 target price on Enlight Renewable Energy in a research note on Monday, February 23rd.

View Our Latest Analysis on Enlight Renewable Energy

Enlight Renewable Energy Stock Performance NASDAQ:ENLT opened at $80.99 on Wednesday. The stock’s 50-day moving average is $70.16 and its 200-day moving average is $51.57. Enlight Renewable Energy has a 1-year low of $15.00 and a 1-year high of $81.28. The company has a current ratio of 0.67, a quick ratio of 0.67 and a debt-to-equity ratio of 2.03. The stock has a market cap of $9.60 billion, a P/E ratio of 79.40, a price-to-earnings-growth ratio of 10.17 and a beta of 1.21.

Enlight Renewable Energy (NASDAQ:ENLT – Get Free Report) last posted its earnings results on Saturday, February 14th. The company reported $0.10 EPS for the quarter, topping the consensus estimate of ($0.07) by $0.17. Enlight Renewable Energy had a net margin of 22.69% and a return on equity of 7.35%. The business had revenue of $124.19 million for the quarter, compared to the consensus estimate of $146.12 million. Equities research analysts anticipate that Enlight Renewable Energy will post 0.41 earnings per share for the current year.

Institutional Investors Weigh In On Enlight Renewable Energy Several large investors have recently added to or reduced their stakes in the business. Advisors Asset Management Inc. grew its stake in Enlight Renewable Energy by 0.9% during the fourth quarter. Advisors Asset Management Inc. now owns 26,865 shares of the company’s stock worth $1,221,000 after purchasing an additional 251 shares during the period. Mariner LLC boosted its holdings in Enlight Renewable Energy by 4.1% in the third quarter. Mariner LLC now owns 10,070 shares of the company’s stock worth $314,000 after acquiring an additional 396 shares in the last quarter. Public Employees Retirement System of Ohio boosted its holdings in Enlight Renewable Energy by 1.0% in the third quarter. Public Employees Retirement System of Ohio now owns 45,693 shares of the company’s stock worth $1,409,000 after acquiring an additional 472 shares in the last quarter. Jane Street Group LLC boosted its holdings in Enlight Renewable Energy by 6.0% in the second quarter. Jane Street Group LLC now owns 11,366 shares of the company’s stock worth $258,000 after acquiring an additional 641 shares in the last quarter. Finally, Geode Capital Management LLC boosted its holdings in Enlight Renewable Energy by 0.7% in the second quarter. Geode Capital Management LLC now owns 108,157 shares of the company’s stock worth $2,458,000 after acquiring an additional 773 shares in the last quarter. Institutional investors and hedge funds own 38.89% of the company’s stock.

Enlight Renewable Energy Company Profile (Get Free Report)

Enlight Renewable Energy Ltd. (NASDAQ:ENLT) is an independent power producer specializing in the development, financing, construction and operation of renewable energy assets. The company’s portfolio encompasses utility-scale solar photovoltaic (PV) farms, onshore wind farms and energy storage facilities. By providing end-to-end project management—from site identification and feasibility studies through engineering procurement and construction (EPC) to long-term operations and maintenance—Enlight seeks to deliver reliable clean power under long-term power purchase agreements (PPAs).

Founded in 2008 and headquartered in Tel Aviv, Enlight has pursued an international growth strategy with operational and development projects in Israel and Western Europe.

Featured Stories Five stocks we like better than Enlight Renewable Energy

Receive News & Ratings for Enlight Renewable Energy Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Enlight Renewable Energy and related companies with MarketBeat.com's FREE daily email newsletter.

« PREVIOUS HEADLINECasey O’connor Sells 60,000 Shares of Stitch Fix (NASDAQ:SFIX) Stock

NEXT HEADLINE »Michael George Rosenbaum Sells 1,200 Shares of Guidewire Software (NYSE:GWRE) Stock

Information in Investor’s Business Daily is for informational and educational purposes only and should not be construed as an offer, recommendation, solicitation, or rating to buy or sell securities. The information has been obtained from sources we believe to be reliable, but we make no guarantee as to its accuracy, timeliness, or suitability, including with respect to information that appears in closed captioning. Historical investment performances are no indication or guarantee of future success or performance. Authors/presenters may own the stocks they discuss. We make no representations or warranties regarding the advisability of investing in any particular securities or utilizing any specific investment strategies. Information is subject to change without notice. For information on use of our services, please see our Terms of Use.

*Real-time prices by Nasdaq Last Sale. Real-time quote and/or trade prices are not sourced from all markets. Ownership data provided by LSEG and Estimate data provided by FactSet.

IBD, IBD Digital, IBD Live, IBD Weekly, Investor's Business Daily, Leaderboard, MarketDiem, MarketSurge and other marks are trademarks owned by Investor's Business Daily, LLC.

©2026 Investor’s Business Daily, LLC. All Rights Reserved.

The market expects Texas Pacific (TPL - Free Report) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended March 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.

The earnings report, which is expected to be released on May 6, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.

While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise.

Zacks Consensus EstimateThis landowner is expected to post quarterly earnings of $2.03 per share in its upcoming report, which represents a year-over-year change of +16%.

Revenues are expected to be $242 million, up 23.5% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 25.79% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Texas Pacific?For Texas Pacific, the Most Accurate Estimate is the same as the Zacks Consensus Estimate, suggesting that there are no recent analyst views which differ from what have been considered to derive the consensus estimate. This has resulted in an Earnings ESP of 0%.

On the other hand, the stock currently carries a Zacks Rank of #2.

So, this combination makes it difficult to conclusively predict that Texas Pacific will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Texas Pacific would post earnings of $1.73 per share when it actually produced earnings of $1.79, delivering a surprise of +3.47%.

Over the last four quarters, the company has beaten consensus EPS estimates just once.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Texas Pacific doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

An Industry Player's Expected ResultsEnlight Renewable Energy Ltd. (ENLT - Free Report) , another stock in the Zacks Alternative Energy - Other industry, is expected to report earnings per share of $0.07 for the quarter ended March 2026. This estimate points to a year-over-year change of -90.7%. Revenues for the quarter are expected to be $165.77 million, up 27.6% from the year-ago quarter.

Over the last 30 days, the consensus EPS estimate for Enlight Renewable Energy Ltd. has been revised 6.7% up to the current level. Nevertheless, the company now has an Earnings ESP of -64.51%, reflecting a lower Most Accurate Estimate.

This Earnings ESP, combined with its Zacks Rank #3 (Hold), makes it difficult to conclusively predict that Enlight Renewable Energy Ltd. will beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates three times.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

All of the amounts disclosed in this press release are in U.S. dollars unless otherwise noted

TEL AVIV, Israel, May 05, 2026 (GLOBE NEWSWIRE) -- Enlight Renewable Energy (NASDAQ: ENLT, TASE: ENLT) today reported financial results for the quarter ended March 31, 2026. Registration links for the Company’s earnings English and Hebrew conference call and webcasts can be found at the end of this earnings release.

Financial Highlights 

Total revenues and income1 of $200 million, an increase of 54% compared to the same period last year.Net income of $38 million, compared to $102 million in the same period last year. Excluding a gain of approximately $81 million from the sale of a 44% stake in the Sunlight cluster and deconsolidation in the first quarter of 2025, net income increased by approximately 76%, compared to net income of approximately $21 million in the first quarter of 2025.Adjusted EBITDA2 of $154 million, compared to $132 million in the same period last year. Excluding a gain of approximately $42 million from the sale of a 44% stake in the Sunlight cluster in the first quarter of 2025 and a gain of approximately $12 million from a follow-on transaction for the sale of an additional 11% stake in the current quarter, Adjusted EBITDA totaled $142 million, compared to $89 million in the same period last year, an increase of 58%.Cash flow from operating activities3 of $100 million, an increase of 58% compared to the same period last year.The Company reaffirms its 2026 guidance of total revenues and income4 in the range of $755 million to $785 million, representing 32% growth compared to 2025, and Adjusted EBITDA in the range of $545 million to $565 million, representing 27% growth compared to 2025. 1Total revenues and income include revenues from the sale of electricity, as well as income from tax benefits from U.S. projects; 2Adjusted EBITDA is a non-IFRS measure. Please refer to the appendices for the reconciliation to net income. The Company is unable to provide a reconciliation of “Adjusted EBITDA” to net income on a forward-looking basis without unreasonable effort because items that impact this IFRS financial measure are not within the Company’s control and/or cannot be reasonably predicted; 3Interest payments and receipts are classified as cash flows from financing and investing activities, respectively, instead of cash flows from operating activities. Adjustments were made to comparative figures due to a change in accounting policy; for further details, see Appendix No. 4; 4Total revenues and income include revenues from the sale of electricity along with income from tax benefits from US projects amounting to $160-180m.

Summary of key financial results:

 For the three months ended($ millions)March 31,
2026March 31,
2025% changeRevenues and Income20013054% Net Income38102(63%) Net Income excluding Sunlight382176% Adjusted EBITDA15413217% Adjusted EBITDA excluding Sunlight1428958% Cash Flow from Operating Activities1006358% 
Adi Leviatan, CEO of Enlight Renewable Energy: “2026 is off to a strong start, reflected in consistent and impressive over 50% growth across Enlight’s financial metrics. The Company improved output and achieved key milestones, despite geopolitical instability and challenges in global markets. These strong results are a direct testament to the structural resilience of the renewable energy sector, and to Enlight’s proven execution capabilities in particular. Our ability to generate meaningful value for shareholders even under complex conditions underscores the strength of our strategy and our unwavering commitment to leading the global transition to clean and sustainable energy.”

Portfolio Review

During the first quarter and through the date of this release, Enlight continued to expand its portfolio and advance projects through the various phases of development. As of the earning release date, Enlight’s total portfolio is comprised of 21.5 GW of generation capacity and 69 GWh energy storage (totaling 41.25 FGW), representing an increase of approximately 8% compared to the total portfolio at year-end 2025 (38 FGW). The generation component increased by approximately 4% and the storage component increased by approximately 13% compared to the previous quarter, reflecting Enlight’s strategy to lead in energy storage as a response to the significant shortage in the sector.

The mature component of the portfolio (operating projects, projects under construction, and projects in pre-construction) comprises 6.4 GW of generation capacity and 17.9 GWh of storage capacity, totaling 11.6 FGW, compared to 11.4 FGW at the end of the previous quarter. Approximately 56% of the mature component is in the U.S., 28% in Europe, and approximately 16% in MENA.

The advanced development and development components comprise of 15 GW of generation capacity and 51.1 GWh of storage capacity, totaling 29.6 FGW, an increase of 11% compared to year-end 2025, supporting Enlight’s growth potential beyond 2028. Approximately 71% of this component is located in the U.S., 16% in MENA, and 13% in Europe.

5FGW (Factored GW) is the company’s consolidated metric combining generation and storage capacity into a uniform figure based on the ratio of construction costs. Current weighted average construction cost ratio is 3.5 GWh of storage per 1 GW of generation: FGW = GW + GWh / 3.5.

The composition of Enlight’s portfolio appears in the following table:

ComponentStatusFGWAnnual revenues &
income run rate ($m)OperatingCommercial operation3.9~750-770Under constructionUnder construction4.0~770Pre-construction0-12 months to start of construction3.7~540Total Mature PortfolioMature11.6~$2,060-2,080mAdvanced development13-24 months to start of construction7.3N/ADevelopment24+ months to start of construction22.3N/ATotal Portfolio 41.2N/A Operating component of the portfolio: 3.9 FGW The operating component totals 3.9 FGW, of which approximately 41% is in the U.S., 34% in Europe, and 25% in Israel. 90% of operating capacity is contracted under PPAs, of which approximately 24% is under indexed linked PPAs.The operating portfolio generates annualized revenues and income run rate of approximately $750-770 million. Under construction component of the portfolio: 4.0 FGW The under-construction component includes six projects in the U.S. (Phases 1 through 3 of the CO Bar complex, Country Acres, Crimson Orchard, Snowflake A) with total capacity of 3.4 FGW, four projects in Europe totaling approximately 400 FMW, and projects in Israel totaling approximately 170 FMW.Storage projects (stand-alone or co-located) account for approximately 35% of total capacity.This component increased quarter-over-quarter by approximately 0.5 FGW (approximately 14%), driven by continued progress at the CO Bar complex, including the start of construction of CO Bar 3, with planned generation capacity of 473 MW. Together with Phases 1 and 2, which began construction at the beginning of the year, 1.4 FGW is currently under construction out of an expected total of 2.4 FGW for the complex.The Company estimates that during the remainder of 2026 it will begin construction of projects totaling approximately 3 FGW, such that over 90% of the mature component is expected to be either operating or under construction by the end of 2026.Under-construction projects are expected to contribute approximately $770 million to the annual revenues and income in their first full year of operation. Pre-construction component of the portfolio: 3.7 FGW The pre-construction component includes six projects in the U.S. totaling 1.5 FGW, five projects in Europe totaling approximately 1.5 FGW, and projects in Israel totaling 0.7 FGW.Storage projects account for 75% of total capacity.During the quarter, projects totaling approximately 90 FMW in Israel transitioned from advanced development to pre-construction.Pre-construction projects are expected to contribute approximately $540 million to the annual revenues and income in their first full year of operation. Advanced development component of the portfolio: 7.3 FGW This component includes 5.3 FGW in the U.S., 1.2 FGW in Europe, and 0.8 FGW in MENA.Projects totaling approximately 1.3 FGW advanced from development to advanced development, of which 67% are in the U.S., 18% in Europe, and 15% in MENA.Storage projects account for approximately 47% of total capacity.Over the past three months, approximately 1.0 FGW completed a System Impact Study in the U.S.; as of the earnings release date, 5.2 FGW (approximately 96% of this component’s capacity in the U.S.) has a high likelihood of achieving grid interconnection.Approximately 4.1 FGW of U.S. capacity met Safe Harbor6 requirements (approximately 77% of this component’s capacity in the U.S.), securing eligibility for tax benefits. The Company estimates that by the end of June 2026, the remaining approximately 1.3 FGW in advanced development is expected to meet Safe Harbor requirements. Development component of the portfolio: 22.3 FGW This component includes 15.6 FGW in the U.S., with broad geographic presence including projects in the PJM, WECC, SPP, and MISO regions, 3.8 FGW in MENA, and 2.9 FGW in Europe.Over the past three months, projects totaling approximately 4.2 FGW were added to the development component, of which approximately 82% are in the U.S.Storage projects account for approximately 50% of total capacity. 6Securing Safe Harbor status and grid interconnection agreement do not guarantee the project's completion. Actual project completion is subject to meeting development milestones and market conditions

Over the past three months, approximately 1.0 FGW completed a System Impact Study in the U.S.; as of the earnings release date, 8.3 FGW (approximately 53% of this component’s capacity in the U.S.) has a high likelihood of achieving grid interconnection.Approximately 2.7 FGW of U.S. capacity met Safe Harbor requirements (approximately 17% of this component’s capacity in the U.S.), securing eligibility for tax benefits. The Company estimates that by the end of June 2026, an additional approximately 0.7 to 2.7 FGW of the remaining U.S. development pipeline is expected to meet Safe Harbor requirements. With completion of the current mature portfolio by year-end 2028, Enlight’s operating capacity is expected to reach 12–13 FGW, and total annual revenues and income run rate is expected to reach $2.1 to $2.3 billion by the end of 2028, reflecting a 41% compound annual growth rate between 2024 to 2028.

7The expected growth in 2028 encompasses the Company’s operations in all geographies. Expected growth relies on business plans which rely on development conditions and assumptions regarding electricity prices and are contingent on current trends known to the Company at this time; Expected Adjusted EBITDA margin of approximately 70%-80% (including tax benefits) for the years shown. The company's revenues from tax benefits are estimated at approximately 22-26% of the total revenues & income run rate for December 2026 and approximately 30-31% of the total revenues & income run rate for December 2027 and December 2028.

Project and Corporate Finance

During the quarter, the Company raised financing sources totalling approximately $740 million:

An issuance of approximately 6 million shares totaling approximately $422 million.Project financing of $304 million for the Crimson Orchard project in Idaho, U.S., with 120 MW of solar capacity and 400 MWh of storage capacity (approximately 230 FMW). The project is expected to reach commercial operation during the second quarter of 2027.A follow-on transaction for the sale of an additional 11% stake in the Sunlight cluster generated cash flow of $16 million. Following the balance sheet date, an additional approximately 15% was sold, completing the sale of 70% of the cluster.As of the balance sheet date, cash and cash equivalents at the “topco”8 level amounted to $709 million. In addition, cash and cash equivalents held by Enlight’s subsidiaries amounted to $270 million.As of the balance sheet date, the Company maintained $525 million of credit facilities, of which $162 million has been drawn.As of the balance sheet date, the Company maintained approximately $1.6 billion of letter of credit and surety bond facilities, of which $591 million has been utilized. Financial Results Analysis

Revenues and Income by Segment:

($ millions)For the three months endedSegmentMarch 31, 2026March 31, 2025% changeMENA654350% Europe615119% U.S.7435111% Total Revenues & Income20013054% 
Revenues & Income

In the first quarter of 2026, the Company’s total revenues and income increased by 54% to approximately $200 million, compared to approximately $130 million in the same period last year. Revenues from the sale of electricity increased by 43% to $156 million, and income from tax benefits totaled approximately $43 million, compared to approximately $20 million in the same period last year.

8Including Enlight Renewable Energy, headquarter companies in Europe and the U.S. and Clenera, and excluding other subsidiaries and project-linked entities.

Key contributors to the increase include the Roadrunner and Quail Ranch projects in the U.S., which were connected toward the end of the fourth quarter of 2025 and contributed approximately $16 million to electricity revenues. Higher output from existing projects contributed approximately $14 million to the increase, primarily due to stronger-than-average wind conditions in projects in Israel and Europe. Electricity trading activity in Israel doubled compared to the same period last year and contributed approximately $6 million to the increase. Depreciation of the U.S. dollar against the Israeli shekel and the euro contributed approximately $12 million to electricity revenues. The increase in income from tax benefits is primarily attributable to the operation of newly commissioned projects in the U.S.

Net Income

Net income for the first quarter of 2026 totaled $38 million, compared to $102 million in the same period last year, or $21 million excluding $81 million gain from the sale of a 44% stake in the Sunlight cluster and deconsolidation in the same period last year.

The increase of approximately $17 million is primarily attributable to the increase of $70 million in total revenues and income, offset by an increase of approximately $18 million in cost of sales (mainly due to increased electricity trading activity in Israel and the commissioning of new projects), an increase of $17 million in depreciation and amortization, and an increase of approximately $9 million in general and administrative and development expenses, partially offset by an increase of approximately $5 million in other income. In addition, finance expenses increased by $12 million (as a result of newly connected projects) and income taxes increased by $4 million (excluding the tax impact of the Sunlight transaction).

Adjusted EBITDA

Adjusted EBITDA for the first quarter of 2026 totaled approximately $154 million, compared to approximately $132 million in the same period last year. Excluding a $42 million contribution from the sale of a 44% stake in the Sunlight cluster in the first quarter of 2025 and a $12 million contribution from the sale of an additional 11% stake in the current quarter, Adjusted EBITDA increased by $52 million, representing 58% growth.

The increase was driven by the $70 million increase in total revenues and income and a $5 million increase in other income, partially offset by a $17 million increase in cost of sales and a $6 million increase in general and administrative and development expenses (excluding share-based compensation expense).

Conference Call Information

English Conference Call & Webcast at 8:00am ET / 3:00pm Israel:

Please pre-register to join the live conference call:

https://register-conf.media-server.com/register/BI298036fe28364be9a3420ef6404be876

Upon registering, you will be emailed a dial-in number, direct passcode and unique PIN.

To join by webcast, please use the following link:

https://edge.media-server.com/mmc/p/jwtsutqs

Hebrew Webcast at 6:00am ET / 1:00pm Israel:

Please pre-register to join the live webcast:

https://enlightenergy-co-il.zoom.us/webinar/register/WN_W3VsvHjFSV65eV_zLuCaIA

The press release with the financial results as well as the investor presentation materials will be accessible from the Company’s website prior to the conference call. An archived version of the webcast will be available on the Company’s investor relations website at https://enlightenergy.com/info/investors/

Supplemental Financial and Other Information

We intend to announce material information to the public through the Enlight investor relations website at https://enlightenergy.com/info/investors, SEC filings, press releases, public conference calls, and public webcasts. We use these channels to communicate with our investors, customers, and the public about our company, our offerings, and other issues. As such, we encourage investors, the media, and others to follow the channels listed above, and to review the information disclosed through such channels. Any updates to the list of disclosure channels through which we will announce information will be posted on the investor relations page of our website.

Non-IFRS Financial Measures

This release presents Adjusted EBITDA, a non-IFRS financial metric, which is provided as a complement to the results provided in accordance with the International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS”). A reconciliation of the non-IFRS financial information to the most directly comparable IFRS financial measure is provided in the accompanying tables found at the end of this release.

We define Adjusted EBITDA as net income (loss) plus depreciation and amortization, share based compensation, finance expenses, taxes on income and share in losses of equity accounted investees and minus finance income and non-recurring portions of other income, net. For the purposes of calculating Adjusted EBITDA, compensation for inadequate performance of goods and services procured by the Company are included in other income, net. Compensation for inadequate performance of goods and services reflects the profits the Company would have generated under regular operating conditions and is therefore included in Adjusted EBITDA. With respect to gains (losses) from asset disposals, as part of Enlight’s strategy to accelerate growth and reduce the need for equity financing, the Company sells parts of or the entirety of selected renewable project assets from time to time, and therefore includes realized gains or losses from these asset disposals in Adjusted EBITDA. In the case of partial assets disposals, Adjusted EBITDA includes only the actual consideration less the book value of the assets sold. Our management believes Adjusted EBITDA is indicative of operational performance and ongoing profitability and uses Adjusted EBITDA to evaluate the operating performance and for planning and forecasting purposes.

Non-IFRS financial measures have limitations as analytical tools and should not be considered in isolation or as substitutes for financial information presented under IFRS. There are a number of limitations related to the use of non-IFRS financial measures versus comparable financial measures determined under IFRS. For example, other companies in our industry may calculate the non-IFRS financial measures that we use differently or may use other measures to evaluate their performance. All of these limitations could reduce the usefulness of our non-IFRS financial measures as analytical tools. Investors are encouraged to review the related IFRS financial measure, Net Income, and the reconciliations of Adjusted EBITDA provided below to Net Income and to not rely on any single financial measure to evaluate our business.

Special Note Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements as contained in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements contained in this press release other than statements of historical fact, including, without limitation, statements regarding the Company’s business strategy and plans, capabilities of the Company’s project portfolio and the Company’s expectation relating to projects, including their timeline, financing and the achievement of operational and financial objectives, market opportunity, utility demand and potential growth, discussions with commercial counterparties and financing sources, pricing trends for materials, progress of Company projects, including anticipated timing of related approvals and project completion and anticipated production delays, the Company’s future financial results, expected impact from various regulatory developments and anticipated trade sanctions, expectations regarding wind production, electricity prices and windfall taxes, and expected Revenues, Income and Adjusted EBITDA guidance, the expected timing of completion of our ongoing projects, and the Company’s anticipated cash requirements and financing plans , are forward-looking statements. The words “may,” “might,” “will,” “could,” “would,” “should,” “expect,” “plan,” “anticipate,” “intend,” “target,” “seek,” “believe,” “estimate,” “predict,” “potential,” “continue,” “contemplate,” “possible,” “forecasts,” “aims” or the negative of these terms and similar expressions are intended to identify forward-looking statements, though not all forward-looking statements use these words or expressions.

These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to, the following: our ability to site suitable land for, and otherwise source, renewable energy projects and to successfully develop and convert them into Operational Projects, as well as timing of construction of any project; availability of, and access to, interconnection facilities and transmission systems; our ability to obtain and maintain governmental and other regulatory approvals and permits, including environmental approvals and permits; construction delays, operational delays and supply chain disruptions leading to increased cost of materials required for the construction of our projects, as well as cost overruns and delays related to disputes with contractors; disruptions in trade caused by political, social or economic instability in regions where our components and materials are made; our suppliers’ ability and willingness to perform both existing and future obligations; competition from traditional and renewable energy companies in developing renewable energy projects; potential slowed demand for renewable energy projects and our ability to enter into new offtake contracts on acceptable terms and prices as current offtake contracts expire; offtakers’ ability to terminate contracts or seek other remedies resulting from failure of our projects to meet development, operational or performance benchmarks; exposure to market prices in some of our offtake contracts; various technical and operational challenges leading to unplanned outages, reduced output, interconnection or termination issues; the dependence of our production and revenue on suitable meteorological and environmental conditions, and our ability to accurately predict such conditions; our ability to enforce warranties provided by our counterparties in the event that our projects do not perform as expected; government curtailment, energy price caps and other government actions that restrict or reduce the profitability of renewable energy production; electricity price volatility, unusual weather conditions (including the effects of climate change, could adversely affect wind and solar conditions), catastrophic weather-related or other damage to facilities, unscheduled generation outages, maintenance or repairs, unanticipated changes to availability due to higher demand, shortages, transportation problems or other developments, environmental incidents, or electric transmission system constraints and the possibility that we may not have adequate insurance to cover losses as a result of such hazards; our dependence on certain operational projects for a substantial portion of our cash flows; our ability to continue to grow our portfolio of projects through successful acquisitions; changes and advances in technology that impair or eliminate the competitive advantage of our projects or upsets the expectations underlying investments in our technologies; our ability to effectively anticipate and manage cost inflation, interest rate risk, currency exchange fluctuations and other macroeconomic conditions that impact our business; our ability to retain and attract key personnel; our ability to manage legal and regulatory compliance and litigation risk across our global corporate structure; our ability to protect our business from, and manage the impact of, cyber-attacks, disruptions and security incidents, as well as acts of terrorism or war; changes to existing renewable energy industry policies and regulations that present technical, regulatory and economic barriers to renewable energy projects; the reduction, elimination or expiration of government incentives for, or regulations mandating the use of, renewable energy; our ability to effectively manage the global expansion of the scale of our business operations; our ability to perform to expectations in our new line of business involving the construction of PV systems for municipalities in Israel; our ability to effectively manage our supply chain and comply with applicable regulations with respect to international trade relations, the impact of tariffs on the cost of construction and our ability to mitigate such impact, sanctions, export controls and anti-bribery and anti-corruption laws; our ability to effectively comply with Environmental Health and Safety and other laws and regulations and receive and maintain all necessary licenses, permits and authorizations; our performance of various obligations under the terms of our indebtedness (and the indebtedness of our subsidiaries that we guarantee) and our ability to continue to secure project financing on attractive terms for our projects; limitations on our management rights and operational flexibility due to our use of tax equity arrangements; potential claims and disagreements with partners, investors and other counterparties that could reduce our right to cash flows generated by our projects; our ability to comply with increasingly complex tax laws of various jurisdictions in which we currently operate as well as the tax laws in jurisdictions in which we intend to operate in the future; our ability to obtain tax benefits and credits in the U.S. or other jurisdictions; the unknown effect of the dual listing of our ordinary shares on the price of our ordinary shares; various risks related to our incorporation and location in Israel, including the ongoing war in Israel, where our headquarters and some of our wind energy and solar energy projects are located; the costs and requirements of being a public company, including the diversion of management’s attention with respect to such requirements; certain provisions in our Articles of Association and certain applicable regulations that may delay or prevent a change of control; and other risk factors set forth in the section titled “Risk factors” in our Annual Report on Form 20-F for the fiscal year ended December 31, 2025, filed with the Securities and Exchange Commission (the “SEC”), as may be updated in our other documents filed with or furnished to the SEC.

These statements reflect management’s current expectations regarding future events and operating performance and speak only as of the date of this press release. You should not put undue reliance on any forward-looking statements. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee that future results, levels of activity, performance and events and circumstances reflected in the forward-looking statements will be achieved or will occur. Except as required by applicable law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events.

About Enlight

Founded in 2008, Enlight develops, finances, constructs, owns, and operates utility-scale renewable energy projects. Enlight operates across the three largest renewable segments today: solar, wind and energy storage. A global platform, Enlight operates in the United States, Israel and 12 European countries. Enlight has been traded on the Tel Aviv Stock Exchange since 2010 (TASE: ENLT) and completed its U.S. IPO (Nasdaq: ENLT) in 2023.

Company Contacts

Limor Zohar Megen
Director IR
[email protected]

Erica Mannion or Mike Funari
Sapphire Investor Relations, LLC
+1 617 542 6180
[email protected]

Appendix 1 – Financial information

Consolidated Statements of Income

 For the three months ended
March 31
 2026
  2025  USD in
  USD in  thousands
  thousands       Revenues156,487  109,758 Tax benefits43,106  20,111 Total revenues and income199,593  129,869     Cost of sales (*)(44,279) (26,638)Depreciation and amortization(50,722) (33,789)General and administrative expenses(18,963) (11,846)Development expenses(3,999) (2,564)Total operating expenses(117,963) (74,837)Gains from projects disposals436  97,262 Other income (expenses), net4,200  (1,105)Operating profit86,266  151,189     Finance income8,996  6,695 Finance expenses(44,183) (30,203)Total finance expenses, net(35,187) (23,508)    Profit before tax and equity loss51,079  127,681 Share of losses of equity accounted investees(993) (1,227)Profit before income taxes50,086  126,454 Taxes on income(12,278) (24,651)Profit for the period37,808  101,803     Profit for the period attributed to:   Owners of the Company24,073  94,458 Non-controlling interests13,735  7,345  37,808  101,803 Earnings per ordinary share (in USD) with a par value of   NIS 0.1, attributable to owners of the parent Company:   Basic earnings per share0.18  0.80 Diluted earnings per share0.16  0.75 Weighted average of share capital used in the   calculation of earnings:   Basic per share135,133,959  118,783,541 Diluted per share146,664,085  125,316,177        (*) Excluding depreciation and amortization.

Consolidated Statements of Financial Position as of       March 31 December 31 2026 2025 USD in USD in Thousands ThousandsAssets       Current assets   Cash and cash equivalents978,761 528,497Restricted cash182,046 409,424Trade receivables97,088 95,118Other receivables101,113 62,286Other financial assets567 524Total current assets1,359,575 1,095,849    Non-current assets   Restricted cash127,464 130,358Other long-term receivables33,125 64,349Deferred costs in respect of projects290,516 235,615Deferred borrowing costs1,788 1,749Loans to investee entities89,723 85,131Investments in equity accounted investees47,464 59,310Fixed assets, net6,678,751 6,281,418Intangible assets, net300,424 303,971Deferred taxes assets3,544 4,692Right-of-use asset, net246,190 225,495Financial assets at fair value through profit or loss84,879 83,582Other financial assets50,502 58,383Total non-current assets7,954,370 7,534,053    Total assets9,313,945 8,629,902     Consolidated Statements of Financial Position as of (Cont.)        March 31 December 31 2026 2025 USD in USD in Thousands ThousandsLiabilities and equity       Current liabilities   Credit and current maturities of loans from1,078,760 884,120banks and other financial institutions Trade payables103,994 137,230Other payables376,080 405,741Current maturities of debentures175,317 173,571Current maturities of lease liability12,233 12,396Other financial liabilities9,564 16,147Total current liabilities1,755,948 1,629,205    Non-current liabilities   Debentures484,200 477,315Other financial liabilities175,861 378,303Convertible debentures273,329 273,801Loans from banks and other financial institutions3,010,968 2,981,786Loans from non-controlling interests85,793 86,946Financial liabilities through profit or loss27,141 26,946Deferred taxes liabilities82,387 77,688Employee benefits1,718 1,645Lease liability249,835 231,135Deferred income related to tax equity630,579 370,734Asset retirement obligation99,541 99,460Total non-current liabilities5,121,352 5,005,759    Total liabilities6,877,300 6,634,964    Equity   Ordinary share capital3,938 3,711Share premium1,743,143 1,319,716Capital reserves86,103 99,311Proceeds on account of convertible options25,008 25,380Accumulated profit264,096 240,023Equity attributable to shareholders of the Company2,122,288 1,688,141Non-controlling interests314,357 306,797Total equity2,436,645 1,994,938Total liabilities and equity9,313,945 8,629,902 Consolidated Statements of Cash Flows        For the three months ended
March 31 2026
 2025
 USD in USD in Thousands Thousands    Cash flows for operating activities   Profit for the period37,808 101,803    Income and expenses not associated with cash flows:   Depreciation and amortization50,722 33,789Finance expenses, net34,703 22,388Share-based compensation5,101 1,710Taxes on income12,278 24,651Tax benefits(40,750) (20,111)Other income (expenses), net(1,751) 1,105Company’s share in losses of investee partnerships993 1,227Gains from projects disposals(436) (97,262) 60,860 (32,503)    Changes in assets and liabilities items:   Change in other receivables2,036 (856)Change in trade receivables(1,477) (20,376)Change in other payables(4,026) 8,604Change in trade payables6,729 7,802 3,262 (4,826)    Income Tax paid(1,585) (1,075)    Net cash from operating activities100,345 63,399    Cash flows for investing activities   Sale (Acquisition) of consolidated entities, net(234) 36,223Changes in restricted cash and bank deposits, net226,946 8,176Purchase, development, and construction in respect of projects(609,233) (255,862)Interest receipts (*)6,540 2,512Loans provided and Investment in investees(19,408) (7,430)Repayments of loans from investees14,370 30,815Payments on account of acquisition of consolidated entity- (7,447)Purchase of financial assets measured at fair value through profit or loss, net(2,264) (3,040)Net cash used in investing activities(383,283) (196,053)     Consolidated Statements of Cash Flows (Cont.)   For the three months ended
March 31 2026
2025
 USD inUSD in ThousandsThousands   Cash flows from financing activities  Receipt of loans from banks and other financial institutions778,165143,578Repayment of loans from banks and other financial institutions(530,458)(108,922)Interest paid (*)(35,569)(22,298)Issuance of debentures-125,838Issuance of convertible debentures-114,685Repayment of debentures-(21,994)Proceeds from investments by tax-equity investors121,068-Repayment of tax-equity investment(1,987)-Deferred borrowing costs(11,774)(35,199)Receipt of loans from non-controlling interests14-Increase in holding rights of consolidated entity-(1,392)Issuance of shares419,317-Exercise of share options1711Repayment of lease liability(2,829)(4,058)Proceeds from investment in entities by non-controlling interest-7,732   Net cash from financing activities735,964197,981   Increase in cash and cash equivalents453,02665,327   Balance of cash and cash equivalents at beginning of period528,497387,427   Effect of exchange rate fluctuations on cash and cash equivalents(2,762)(3,224)   Cash and cash equivalents at end of period978,761449,530    (*) See Appendix 4 for additional information regarding the change in presentation of interest receipts and interest paid

Information related to Segmental Reporting 

 For the three months ended March 31, 2026 MENA Europe USA Total reportable segments Others Total USD in thousandsRevenues64,502 61,061 30,533 156,096 391 156,487 Tax benefits- - 43,106 43,106 - 43,106 Total revenues and income64,502 61,061 73,639 199,202 391 199,593             Segment adjusted EBITDA58,775 46,584 66,034 171,393 (454) 170,939    Reconciliations of unallocated amounts:  Headquarter costs (*) (16,957) Intersegment profit 9 Gains from projects disposals (**) (11,902) Depreciation and amortization and share-based compensation (55,823) Operating profit 86,266 Finance income 8,996 Finance expenses (44,183) Share of the losses of equity accounted investees (993) Profit before income taxes 50,086 
(*)        Including general and administrative and development expenses (excluding depreciation and amortization and share based compensation).

(**)        Reconciliation between EBITDA and operating profit reflecting the realization of revaluation gains from an asset revalued in 2025.

Information related to Segmental Reporting

 For the three months ended March 31, 2025 MENA Europe USA

 Total reportable segments Others Total USD in thousandsRevenues42,867 51,384 14,678 108,929 829 109,758 Tax benefits- - 20,111 20,111 - 20,111 Total revenues and income42,867 51,384 34,789 129,040 829 129,869             Segment adjusted EBITDA68,017 44,663 30,549 143,229 81 143,310    Reconciliations of unallocated amounts:  Headquarter costs (*) (11,701) Intersegment loss 106 Gains from projects disposals 54,973 Depreciation and amortization and share-based compensation (35,499) Operating profit 151,189 Finance income 6,695 Finance expenses (30,203) Share of the losses of equity accounted investees (1,227) Profit before income taxes 126,454 
(*)        Including general and administrative and development expenses (excluding depreciation and amortization and share based compensation).

Appendix 2 - Reconciliations between Net Income to Adjusted EBITDA     ($ thousands)For the three months ended March 31, 2026 March 31, 2025Net Income37,808 101,803 Depreciation and amortization50,722 33,789 Share based compensation5,101 1,710 Finance income(8,996) (6,695) Finance expenses44,183 30,203 Gains from projects disposals11,902 (**) (54,973) (*) Share of losses of equity accounted investees993 1,227 Taxes on income12,278 24,651 Adjusted EBITDA153,991 131,715      * Net profit from deconsolidation and revaluation following the partial sale of an asset (Sunlight cluster).** Contribution to Adjusted EBITDA from the sale of an additional stake in the deconsolidated asset (Sunlight cluster). For more information regarding the composition of Adjusted EBITDA, refer to the description appearing in the “Non-IFRS financial measures” section of this press release.

Appendix 3 – Debentures Covenants 

Debentures Covenants 

As of March 31, 2026, the Company was in compliance with all of its financial covenants under the indenture for the Series C, D, F, G and H Debentures, based on having achieved the following in its consolidated financial results:  

Minimum equity 

The company's equity shall be maintained at no less than NIS 375 million so long as debentures F remain outstanding, NIS 1,250 million so long as debentures C and D remain outstanding, and USD 600 million so long as debentures G and H remain outstanding. 

As of March 31, 2026, the company’s equity amounted to NIS 7,712 million (USD 2,437 million). 

 Net financial debt to net CAP 

The ratio of standalone net financial debt to net CAP shall not exceed 70% for two consecutive financial periods so long as debentures F remain outstanding and shall not exceed 65% for two consecutive financial periods so long as debentures C, D, G and H remain outstanding. 

As of March 31, 2026, the net financial debt to net CAP ratio, as defined above, stands at 30%. 

Net financial debt to EBITDA 

So long as debentures F remain outstanding, standalone financial debt shall not exceed NIS 10 million, and the consolidated financial debt to EBITDA ratio shall not exceed 18 for more than two consecutive financial periods. 

For as long as debentures C and D remain outstanding, the consolidated financial debt to EBITDA ratio shall not exceed 15 for more than two consecutive financial periods. 

For as long as debentures G and H remain outstanding, the consolidated financial debt to EBITDA ratio shall not exceed 17 for more than two consecutive financial periods. 

As of March 31, 2026, the net financial debt to EBITDA ratio, as defined above, stands at 5.3.

 Equity to balance sheet 

The standalone equity to total balance sheet ratio shall be maintained at no less than 20% ,25% and 28%, respectively, for two consecutive financial periods for as long as debentures F, debentures C and D and debentures G and H remain outstanding. 

As of March 31, 2026, the equity to balance sheet ratio, as defined above, stands at 63%. 

Appendix 4 – Change in accounting policy 

Until September 30, 2025, interest paid and interest received were presented within cash flows from operating activities in the Consolidated Statements of Cash Flows. In accordance with IAS 7 Statement of Cash Flows, entities are permitted to classify interest paid and interest received as operating, investing, or financing cash flows, provided that the selected classification is applied consistently from period to period.

During the fourth quarter of 2025, management elected to change the classification of interest paid, including payments relating to interest rate swap (IRS) instruments to cash flows used in financing activities, and interest received to cash flows from investing activities. Management believes that this change in presentation provides a more comprehensive view of the cost of financing the Company's operations and better reflects management’s view of the financing nature of these transactions.

Accordingly, comparative information has been retrospectively adjusted to reflect this change in accounting policy in the Consolidated Statements of Cash Flows, as presented below:

($ thousands) For the three months ended  March 31, 2025  As reported Adjustment As adjustedNet cash from operating activities 43,613  19,786  63,399Net cash used in investing activities (198,565)  2,512  (196,053)Net cash from financing activities 220,279  (22,298)  197,981Increase in cash and cash equivalents 65,327  -  65,327          Appendix 5

a) Segment information: Operational projects

($ thousands) 3 Months ended March 31Operational
Project
SegmentsInstalled
Capacity
(MW)Installed
Storage
(MWh)Generation
(GWh)Revenues and
incomeSegment Adjusted
EBITDA1   202620252026202520262025MENA67681937331764,50242,86743,19225,750Europe1,327-86070461,06151,38446,58444,663USA8962,54041420973,63934,78966,03430,549Total Consolidated2,8993,3591,6471,230199,202129,040155,774100,962Unconsolidated
at Share3851    Total2,9373,410    
b) Operational Projects Further Detail

($ thousands)   3 Months ended March 31, 2026 Operational ProjectSegmentInstalled Capacity
(MW)Installed
Storage(MWh)Reported RevenueSegment Adjusted EBITDA1Debt balance as of March 31, 2026Ownership %2MENA WindMENA316-29,982 513,68549% MENA PV + BESSMENA36081934,520 600,33184% Total MENA 67681964,50243,1921,114,016 Europe WindEurope1,184-58,446 846,43664% Europe PVEurope143-2,615 70,47076% Total Europe 1,327-61,06146,548931,862 USA PV + BESSUSA8962,54073,639 786,129100% Total USA8962,54073,63966,034786,129 Total Consolidated Projects2,8993,359199,202155,7742,817,050 Uncons. Projects at share3851   50% Total 2,9373,410199,202155,7742,817,050          EBITDA results included $1m in the 3 months ended March 26, of compensation recognized from Björnberget; EBITDA results exclude $3m of compensation from Emek and $12m from Sunlight sale in 2026, and $42m is 2025Ownership % is calculated based on the project's share of total revenues c) Projects under construction

($ millions)
Consolidated
ProjectsCountryGeneration and energy storage Capacity (MW/MWh)Est.
CODEst. Total
Project CostTax credit benefit- Qualifying categoryTax credit benefit- Adders3Discounted Value of Tax Benefit2

Est. Total
Project Cost net of tax benefitCapital Invested as of March 31, 2026Est. Equity Required (%)Equity Invested as of March 31, 2026Est. First Full Year Revenue4Est. First Full Year EBITDA4,5Ownership %1

Country AcresUSA403/688Q4 2026807-848ITCDC (10%)394-414413-4346640%-10%69161-6548-50100%Co Bar 1USA258/824H2 2027-H1 2028637-667ITCEC (10%)281-296356-3712280%-10%228125-13199-104100%Co Bar 2+3USA953/01,236-1,300PTCEC (10%)545-573691-727100%Crimson OrchardUSA120/400Q2 2027319-335ITCEC (10%) +
DC (10% BESS only)164-173155-162560%-10%63427-2820-21100%Snowflake AUSA594/1,900H2 20271,493-1,569ITCEC (10%) +
DC (10% BESS only)759-798734-7716110%-10%6159123-130101-106100%Gecama SolarSpain227/220Q4 2026199-209---199-20915423%-28%715436-3829-3172%SestanovacCroatia23/75Q4 202635-36---35-36630%-40%665100%Tapolca BessHungary0/140Q4 2621-22---21-22045%07-86-7100%Bjornberget – BESSSweden0/100Q3 202624-25---24-2515100%154355%Israel ConstructionIsrael3/303Q2 26-
Q1 2739-41---39-41720%-30%710-116-774%Total Consolidated Projects 2,581/
4,650 4,810-5,052   2,143-2,2542,677-2,7981,742 695 399-422 317-334  Unconsolidated Projects at share10Israel14/222Q1 2026- Q1 202753-55---

53-554215%-20%429753%

Total  2,595/
4,872 4,863-5,107   2,143-2,2542,720-2,8531,784 737408-431324-341 
d)        Pre-Construction Projects (due to commence construction within 12 months of the Approval Date)

($ millions)
Consolidated Projects

Country

Generation and energy storage Capacity (MW/MWh)

Est.
COD

Est. Total
Project Cost

Tax Credit Benefit Est. Total
Project Cost net of tax benefitCapital Invested as of March 31, 2026

Est. Equity Required (%)

Equity Invested as of March 31, 2026

Est. First Full Year Revenue4

Est. First Full Year EBITDA4,5

Ownership %1

Qualifying Category

Adders3

Discounted Value of Tax Benefit2Co Bar 4+5USA0/3,176H1 2028985-1,036ITCEC (10%) +
DC (10%)592-622393-414110%-10%11129-136107-112100%NardoItaly104/8722029234-246---234-2461130%1139-4132-33100%JupiterGermany150/2,166H2 2028547-575---547-575635%698-10381-8551%BertikowGermany0/881H1 2028160-168---160-168115%-25%137-3831-3250%Israel HV storage9Israel0/1,350H2 2028227-239---227-2391920%1915-167-8100% ($ millions)
Additional Pre-Construction ProjectsMW DeploymentMW/MWh

Est. Total
Project CostTax Credit BenefitDiscounted Value of Tax Benefit2Est. Total
Project Cost net of tax benefitCapital Invested as of March 31, 2026Est. Equity Required (%)Equity Invested as of March 31, 2026Est. First Full Year Revenue4Est. First Full Year EBITDA4,5Ownership %1 202720282029 Qualifying CategoryAdders3        United States128/0439/0-895-940ITCDC (10%) & EC (10%)8447-470448-4705110%-20%5161-6448-50100%Europe0/2210/208-84-88---84-88130%-40%115-1611-1284%MENA7/51084/1250/50233-245---233-2451130%-40%1140-4221-2288%Total Consolidated Projects135/731523/3330/503,365-3,365  1,039-1,0922,326-2,445112 112434-456339-354 Unconsolidated Projects at share100/41-0/148-9---8-9115%-20%12156%Total Pre-Construction912MW +9,614MWh3,373-3,546  1,039-1,0922,334-2,454113 113436-458340-355 
1) The legal ownership share for all U.S. projects is 90%, but Enlight invests 100% of the equity in the project and entitled to 100% of the project distributions until full repayment of Enlight's capital plus a preferred return

2) Value of tax benefits under the IRA: The PTC value is estimated based on the project’s expected annual production and a yearly CPI indexation of 2%, discounted by 8% to COD. In assessing the value of the ITC, a step-up adjustment was made to reflect the full value of the tax credits, thus lowering net construction costs and enhancing the valuation and return of the project. The actual value attributed to tax benefits in a tax equity transaction may differ from the value presented, subject to the structure of the transaction and prevailing market conditions.

3) The Energy Community (EC) Adder provides extra credits for renewable energy projects in areas impacted by fossil fuel reliance or economic transition. The Domestic Content (DC) Adder rewards projects using U.S.-manufactured components, promoting local job creation and supply chain growth

4) Revenue and EBITDA for the first year of U.S. projects as presented above do not include income from tax benefits

5) EBITDA is a non-IFRS financial measure. This figure represents consolidated EBITDA for the project and excludes the share of project distributions to tax equity partners, as well as ITC and PTC proceeds. These components of the tax equity transaction may differ from project to project, are subject to market conditions and commercial terms agreed upon reaching financial close

6) The required equity during construction is estimated at 10% and is expected to decrease to 0% at COD

7) Gecama Solar’s debt is held under Gecama Wind. As of March 31, 2026, the solar project had $41m USD drawn

8) Rustic hills 1+2 - DC (10%) + EC (10%); Coggon - DC (10%); Gemstone - DC (10%);

9) Two high voltage projects with total capacity of 1,350MWh. Estimated revenue for the first 5 years is $14-15m million per year. From year 6, the projects will move to a deregulated market, with revenue expected to be $55 million per year

10) All numbers, beside equity invested, reflects Enlight share only

e) Additional information on tax equity investments

  Tax equity investmentTax equity partner's share of project tax credits, cash flows, and taxable income($ millions)
Projects*Est. Total
Project CostUpfront tax equity investmentTax credit proceeds during the project's operation ("pay-go")Share of ITC/PTC tax credit allocated to tax equity partnerShare of taxable income initial periodDuration of initial period for share of taxable income (years)Share in project cash flow initial period (second period)Duration of initial period for share in project cash flow (years)Atrisco PV36919855ConfidentialConfidentialConfidential17.5% (5%)10Atrisco BESS458266-ConfidentialConfidentialConfidential23% (7%)5Quail Ranch2741311899%99%1010% (5%)10Roadrunner6213375599%99%5-1010%-12% (5%)10
* Apex financing was structured as a sale and leaseback and therefore not included in the table above

Appendix 6 – cash and cash equivalents

($ thousands)March 31, 2026Cash and Cash Equivalents: Enlight Renewable Energy Ltd, Enlight EU Energies Kft and Enlight Renewable LLC excluding subsidiaries (“Topco”)709,041Subsidiaries269,720Deposits: Short term deposits-Restricted Cash: Projects under construction182,046Reserves, including debt service, performance obligations and others127,464Total Cash1,288,271
Appendix 7 – Corporate level (TopCo) debt

($ thousands)March 31, 2026Debentures: Debentures659,517*Convertible debentures273,329Loans from banks and other financial institutions: Credit and short-term loans from banks and other financial institutions67,665Loans from banks and other financial institutions116,588Total corporate level debt1,117,099 * Including current maturities of debentures in the amount of 175,317

Appendix 8 – Functional Currency Conversion Rates:

The financial statements of each of the Company’s subsidiaries were prepared in the currency of the main economic environment in which it operates (hereinafter: the “Functional Currency”). For the purpose of consolidating the financial statements, results and financial position of each of the Group’s member companies are translated into the Israeli shekel (“NIS”), which is the Company’s Functional Currency. The Group’s consolidated financial statements are presented in U.S. dollars (“USD”).

FX Rates to USD:

Date of the financial statements:
EuroNISAs of 31th March 20261.150.32As of 31th March 20251.080.27 Average for the 3 months period ended:  March 2026 1.170.32March 20251.050.28
A Figure accompanying this announcement is available at: https://www.globenewswire.com/NewsRoom/AttachmentNg/8ab6061b-a5e9-4842-a391-17f952cfa452

Enlight Renewable Energy Ltd (ENLT) Q1 2026 Earnings Call Transcript

On May 11, 2026, Enlight Renewable Energy Ltd ENLT shares rose 3.4% today, trading at $93.77. The stock has seen a remarkable price performance, with a 52-week range of $16.87 to $93.85.

GF Value™ verdict: Current price of $93.77 vs GF Value™ of $43.25, indicating it is 116.8% overvalued.GF Score™: 63/100 (Above Average), suggesting a potential for higher long-term returns.Most notable signal: Insiders sold $2.4M in the last 3 months with no buying activity. Is ENLT Overvalued or Undervalued? Enlight Renewable Energy Ltd’s current price of $93.77 significantly exceeds its GF Value™ of $43.25, indicating that the stock is 116.8% overvalued. This disparity suggests a lack of margin of safety for potential investors, as the market price is not supported by intrinsic value based on historical and projected performance. GF Valuation indicates that ENLT is significantly overvalued, underscoring the risk of a price correction if future growth does not meet market expectations.

The overvaluation reflects the current sentiment towards renewable energy stocks, which have attracted heightened investor interest. However, the substantial gap between the current trading price and the GF Value™ raises concerns about the sustainability of such valuations, especially given the volatility in the sector and potential changes in regulatory environments.

How Does ENLT's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 218.1x 47.7x Forward P/E 184.9x - The current P/E ratio of 218.1x is significantly above its 5-year median of 47.7x, indicating that ENLT is trading at a premium compared to its historical valuation. This analysis aligns with the GF Value™ verdict, reinforcing the notion that the stock is overvalued based on its earnings relative to historical performance.

What Does ENLT's GF Score™ Tell Us? Metric Rating GF Score™ 63 Financial Strength 4/10 Profitability 7/10 Growth 5/10 Valuation 1/10 Momentum 3/10 The GF Score™ of 63/100 suggests that while ENLT has decent growth and profitability ranks, its financial strength and valuation ranks are noticeably weaker. The valuation rank of 1/10 indicates significant concerns regarding the stock's current price relative to its intrinsic value. The strongest area is profitability, with a rank of 7/10, highlighting the company's ability to generate income, whereas the weakest area is valuation, aligning with the overvaluation indicated by the GF Value™ analysis.

What Are Insiders Doing with ENLT Stock? In the last three months, insiders have sold $2.4 million worth of ENLT stock, with no reported buying activity. This trend may suggest a lack of confidence from insiders regarding the stock's future price appreciation, potentially signaling to outside investors that caution is warranted. The absence of insider buying further reinforces the notion that the current valuation may not be justified based on expected performance.

What This Means for Investors Based on the GF Value™ assessment, Enlight Renewable Energy Ltd ENLT is overvalued at its current price of $93.77. The significant gap between the market price and the intrinsic value suggests that investors may face risks should the stock price adjust to align with its underlying fundamentals.

For the complete analysis, visit the Enlight Renewable Energy Ltd ENLT stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is ENLT's GF Score™?

ENLT's GF Score™ is 63/100, indicating that it is above average and has the potential for higher long-term returns based on key aspects evaluated.

Is ENLT overvalued or undervalued?

ENLT is overvalued based on its GF Value™ of $43.25 compared to its current price of $93.77, suggesting risks of a price correction.

What is ENLT's P/E ratio?

ENLT's P/E ratio is 218.1x, which is significantly higher than its 5-year median of 47.7x, indicating that the stock is trading at a premium compared to its historical valuation.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

Enlight Renewable Energy Ltd (ENLT) Discusses Execution Excellence and Growth Engines in the Evolving Electricity Market Transcript