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Nextpower Inc. NXT

TechnologyConsumer ElectronicsNASDAQ📅 Scored March 7, 2026
Price at analysis: $126.86
Crucible Score
58.3
C+
Quality × Value Composite
KQI — Quality
68.8
B
Fundamental Quality Index
KVI — Value
45.6
D+
Valuation Attractiveness Index
Crucible Verdict — NXT

Nextpower Inc. (NXT) presents a classic quality-value mismatch with solid fundamentals but stretched pricing at 7% above fair value. The technology firm delivers consistent earnings beats (97% success rate) and strong financial metrics, yet poor diversification (18 score) creates concentration risk that undermines the premium valuation. NXT needs broader revenue streams to justify current levels.

— Kal, Kaladin Capital Intelligence

◆ KQI Quality Dimensions

Financial Quality
83.1
Growth Profile⚠
78.9
Moat Durability
60.9
Management Effectiveness⚠
66.9
Diversification & Resilience
17.5
Market Position
81.0
Weakest dimension: Diversification & Resilience (17.5)

◆ KVI Value Dimensions

DCF Margin of Safety
38.9
FCF Yield & Cash Returns
23.2
Relative Valuation
65.7
Growth-Adjusted Value
82.6
Historical Valuation
17.2
Macro Context
54.7

◆ DCF Valuation Scenarios

Bear Case
$72.50
Base Case
$118.40
Bull Case
$182.30
Price at Analysis
$126.86
ScenarioFair ValueRev CAGR (5yr)Terminal MarginWACC
🔴 Bear$72.5010.0%18.0%18.9%
🟢 Base$118.4014.0%21.0%17.9%
🟢 Bull$182.3018.0%24.0%16.9%
Key Assumptions: WACC is high at ~18% driven by NXT's elevated beta of 2.42 applied to a 5.8% ERP plus 4.39% risk-free rate. Revenue grew from ~$1.2B to ~$3.0B over 5 years (CAGR ~20%), but growth is expected to moderate as the company scales. Operating margins expanded from ~4.5% to ~22%, and capex intensity is very low (~1.2% of revenue), reflecting an asset-light model. Bear case assumes margin reversion toward 18% terminal and slower growth; bull case assumes continued margin expansion to 24% with sustained double-digit revenue growth.

◆ Financial Snapshot

Profitability

Gross Margin32.4%
Operating Margin20.5%
Net Margin16.4%
ROIC24.8%
ROE21.1%

Balance Sheet

Balance SheetCR: 2.36
Cash ConversionFCF/EPS: 0.99x
Capital IntensityCapex/Rev: 1.1%
Altman Z-Score6.87 (Safe)
Piotroski F-Score7/9 (Good)

Growth

Revenue CAGR25.4% CAGR
Earnings CAGR42.3% CAGR
Growth ConsistencyCV: 0.77
Segment BreadthInsufficient segments
Quarterly TrendRev∆, Margin↓↓, WC↓
Earnings CredibilityConsistent Beater

◆ Revenue Breakdown — FY2025

By Segment

Reportable Segment100.0%

◆ Analyst Consensus & Leadership

Analyst Price Targets

Avg Target (Last Quarter)$118.45
Analysts Covering (Quarter)11
Avg Target (Last Year)$100.06
Analysts (Year)35

Leadership & Governance

Compensation85% performance-based
Insider ActivitySelling
Capital AllocationROIC 24.8% vs WACC 17.8%
Earnings Beat Rate97% (21/22)

◆ Company Profile

Nextracker Inc. , an energy solutions company, provides solar tracker solutions for PV projects.

CEO
Daniel S. Shugar
Employees
1300
Headquarters
Fremont, CA, US
IPO Date
February 9, 2023
Exchange
NASDAQ

◆ Related Companies in Our Universe

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ADBE81.8A-NICE80.7A-DECK79.9A-INTU79.9A-EXEL78.3A-MTCH78.2A-TTD78.0B+
MethodologyAll ScoresCrucible BriefsPerformance@KaladinCI

Analysis conducted March 7, 2026 based on most recent SEC filings. Updated quarterly, after new SEC filings.

Point-in-time fundamental analysis. Not investment advice. Scores reflect company quality and valuation at time of analysis and may not reflect current market conditions.

© 2026 Kaladin Capital Intelligence — Conviction Through Scrutiny