Enersys (NYSE:ENS) Shares Gap Up on Strong Earnings

Shares of Enersys (NYSE:ENS) gapped up prior to trading on Thursday following a stronger than expected earnings report. The stock had previously closed at $186.72, but opened at $211.00. Enersys shares last traded at $205.2590, with a volume of 309,259 shares trading hands.

The industrial products company reported $3.66 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.83 by $0.83. The company had revenue of $935.64 million during the quarter, compared to analyst estimates of $928.01 million. Enersys had a net margin of 7.83% and a return on equity of 21.39%. The firm’s quarterly revenue was up 4.8% compared to the same quarter last year. During the same period in the previous year, the business earned $2.08 earnings per share. Enersys has set its Q2 2027 guidance at 1.950-2.050 EPS.

Enersys Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, October 2nd. Stockholders of record on Friday, September 18th will be issued a $0.2875 dividend. This represents a $1.15 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date is Friday, September 18th. This is an increase from Enersys’s previous quarterly dividend of $0.26. Enersys’s dividend payout ratio (DPR) is currently 13.62%.

Key Headlines Impacting Enersys

Here are the key news stories impacting Enersys this week:

• Positive Sentiment: Significant earnings beat: EnerSys reported quarterly EPS of $3.66, well above the approximately $2.82–$2.83 consensus estimate and up from $2.08 a year earlier. Revenue increased 4.8% year over year to $935.6 million, exceeding expectations of roughly $928 million. EnerSys Surpasses Q1 Earnings and Revenue Estimates
• Positive Sentiment: Profitability and cash flow improved: Gross profit rose 23.7% to $313.4 million, operating profit climbed 75.1% to $151.4 million, and operating cash flow reached $230.2 million. The company ended the quarter with $530.7 million in cash, while total liabilities declined, supporting the bullish reaction to the results. EnerSys Stock Rises on Q1 2027 Earnings
• Positive Sentiment: Dividend raised: EnerSys increased its quarterly dividend 10% to $0.2875 per share, payable October 2 to shareholders of record September 18. The increase signals management’s confidence in earnings growth and cash generation, though the annualized yield remains modest at approximately 0.6%. EnerSys Announces Dividend Increase
• Positive Sentiment: Analyst remains bullish: BTIG Research reaffirmed its “Buy” rating and $280 price target, implying substantial upside from the reference price of $186.96. The target is above the recent $250 target from Oppenheimer. BTIG Reaffirms Buy Rating
• Negative Sentiment: Next-quarter EPS outlook missed expectations: EnerSys guided fiscal second-quarter 2027 EPS to $1.95–$2.05, below the $2.94 consensus estimate. Revenue guidance of $955 million–$995 million was broadly in line with the $974.7 million consensus, making the earnings outlook the main downside risk.

Wall Street Analyst Weigh In

ENS has been the subject of a number of recent research reports. Weiss Ratings downgraded Enersys from a “buy (b)” rating to a “buy (b-)” rating in a research report on Friday, June 26th. Wall Street Zen lowered Enersys from a “strong-buy” rating to a “buy” rating in a research note on Saturday, July 18th. TD Cowen increased their price target on shares of Enersys from $220.00 to $265.00 and gave the company a “buy” rating in a research report on Thursday, May 21st. BTIG Research reissued a “buy” rating and set a $280.00 price target on shares of Enersys in a research note on Thursday. Finally, Oppenheimer boosted their price objective on shares of Enersys from $210.00 to $250.00 and gave the stock an “outperform” rating in a report on Friday, May 22nd. Five investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $265.00.

Institutional Investors Weigh In On Enersys

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. BlackRock Inc. bought a new stake in shares of Enersys in the second quarter worth about $1,221,455,000. Norges Bank bought a new position in Enersys during the 4th quarter valued at approximately $78,599,000. LSV Asset Management raised its position in Enersys by 298.9% during the 4th quarter. LSV Asset Management now owns 562,293 shares of the industrial products company’s stock valued at $82,516,000 after purchasing an additional 421,338 shares during the last quarter. Millennium Management LLC lifted its holdings in Enersys by 257.8% in the 3rd quarter. Millennium Management LLC now owns 556,771 shares of the industrial products company’s stock worth $62,893,000 after buying an additional 401,167 shares during the period. Finally, Price T Rowe Associates Inc. MD lifted its holdings in Enersys by 342.5% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 392,781 shares of the industrial products company’s stock worth $57,641,000 after buying an additional 304,018 shares during the period. 94.93% of the stock is currently owned by institutional investors.

Enersys Trading Up 9.6%

The stock has a market capitalization of $7.46 billion, a P/E ratio of 26.54, a price-to-earnings-growth ratio of 1.03 and a beta of 1.19. The stock has a 50-day moving average price of $207.59 and a two-hundred day moving average price of $197.04. The company has a debt-to-equity ratio of 0.57, a quick ratio of 1.76 and a current ratio of 2.66.

Enersys Company Profile

Enersys, headquartered in Reading, Pennsylvania, is a global leader in stored energy solutions, specializing in manufacturing and distributing industrial batteries, battery chargers, power equipment, and related accessories. The company serves a diverse range of end markets, including telecommunications, data centers, medical, aerospace, defense, electric vehicle motive power, and utility outcomes. Its products are engineered to deliver critical reserve power and motive power applications across key infrastructure and industrial sectors.

The company’s product portfolio encompasses lead-acid batteries, lithium-ion energy storage systems, chargers, inverters, power management software, and a broad array of battery accessories.