Origami Solar Deal Boosts Nextracker Inc. (NXT) Outlook, UBS Says ‘Buy’

Nextracker Inc. (NASDAQ:NXT) is among the most undervalued solar stocks to buy now. Jon Windham, an analyst at UBS, reaffirmed a ‘Buy’ rating on Nextracker Inc. (NASDAQ:NXT) with a price target of $75.00, implying an upside potential of nearly 12% from the current level. This optimism follows the company’s acquisition of Origami Solar, a U.S.-based producer of steel solar panel frames.

This $53 million all-cash acquisition demonstrates a shift in the company’s M&A strategy as Nextracker Inc. (NASDAQ:NXT) transitions from its emphasis on integrated solar project platforms for developers to supplying utility-scale hardware manufacturers. With Origami Solar developing frames utilizing 100% U.S. steel, the company can benefit from added upside from protectionist policy trends.

Was Jim Cramer Right About Nextracker Inc. (NXT)?

The firm highlighted that such dynamics could enhance the demand for locally manufactured energy hardware, which in turn would position Nextracker Inc. (NASDAQ:NXT) well in the market. Commenting on the agreement, CEO Dan Shugar stated,

“helps to unlock opportunities for localized manufacturing from steel coil through final fabrication, while delivering real customer benefits like faster panel installation and improved long-term system performance.”

Nextracker Inc. (NASDAQ:NXT) is a California-based company that provides solar tracker technologies and solutions. The core offerings of the company include NX Horizon, NX Horizon-XTR, NX Horizon Hail Pro, NX Horizon Low Carbon, and TrueCapture.

While we acknowledge the potential of NXT to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than NXT and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.