Backlog Growth Drives Improved Guide; Looking for Continued Momentum in Europe

Research evidence excerpt

Backlog Growth Drives Improved Guide; Looking for Continued Momentum in Europe

Sustainability

SMA Solar Technology AG

TD SECURITIES (USA) LLC EARNINGS UPDATE

May 13, 2026

Price: €60.30 (05/12/2026) Backlog Growth Drives Improved Guide;

Price Target: €51.00 (Prior €40.00) Looking for Continued Momentum in Europe

HOLD (2)

ESG SCORE: 66/100

Jeff Osborne THE TD COWEN INSIGHT

646 562 1391

Heading into earnings, shares had roughly doubled since early March, driven by optimism

jeff.osborne@tdsecurities.com

about increased demand in Europe amid the war in Iran. While management noted an uptick

Jeffrey Rossetti in bookings in March and April, it is too early to determine whether there is a structural

646 562 1335 change. Our €51 price target (raised from €40) implies 11x EV/ EBITDA on our 2027 estimates.

jeffrey.rossetti@tdsecurities.com

John-Anthony Di Tullio Positives: 2026 guidance was narrowed toward the top 1/3 of the ranges provided in March.

646 562 1432 Product backlog increased 6% QoQ driven by healthy demand for large scale inverters.

ja.ditullio@tdsecurities.com

Negatives: HBS demand headwinds continue. Order intake started to rise recently, though it is

Key Data too early to determine if this is a sustained trend.

Symbol XETRA: S92:GY

Beta: 0.59 Key Takeaways from the Call:

52-Week Range: €63.35-€15.90 1) For 1Q26, SMA reported revenue of €340.9mn, slightly below consensus of €348.2mn, and

Market Cap: €2.1B EBITDA of €26.1mn, below consensus of €29.0mn. Large Scale & Project Solutions accounted

Net Debt (MM): €(61.4) for 82% of revenue and delivered an operating margin of 12.1%, down from 18.0% in 1Q25,

Cash/Share: €3.64 reflecting tariff impact and lower capitalization of development costs. 1Q26 FCF of -€27.2mn

Dil.