u/broengineer

The author argues Nextpower is a GARP opportunity as the market leader in solar trackers, used in roughly 99% of new solar farms, protected by more than 600 patents and a widening share. Growth is supported by a record backlog above $5 billion, FY2026 revenue of $3.56 billion, 27% seven-year revenue CAGR and expansion into foundations, steel, electrical equipment, power conversion and storage to raise revenue per project. Using a six-year forecast with 17.5% revenue growth, 18.5% net margin and a 12.82% discount rate, the author derives fair value near $139 per share. Main risks cited are customer concentration among five major customers, acquisition integration and margin dilution, tariffs and steel costs, and a positive 32.1-day cash-conversion cycle tying up working capital.