Nextracker (NASDAQ: NXT) Beats Q1 FY2026 EPS by 13.5%, Raises FY2027 Guidance

Nextracker Inc. (NASDAQ: NXT) reported Q1 CY2026 results that topped Wall Street's expectations on both EPS and revenue, sending shares up 15.5% in after-hours trading on Tuesday, May 12. The solar tracker company also announced a definitive agreement to acquire the power conversion assets of Zigor Corporation, expanding its product portfolio on the same day its earnings were filed with the SEC under an 8-K Item 2.02 disclosure.

Q1 CY2026 At a Glance

• Revenue: $880.5M, falling 4.7% year-over-year but beating analyst expectations
• Non-GAAP EPS: $1.05, coming in 13.5% above the analyst consensus estimate
• FY2027 revenue guidance (midpoint): $3.95B, approximately 0.6% above analyst estimates
• FY2027 guidance range: $3.8B – $4.1B, reflecting record annual revenue and a growing project backlog
• Market cap: $18.9B as of Tuesday's close
• Trailing P/E: 32.1x | Forward P/E: 26.2x

What Drove the Results

Despite a year-over-year revenue decline of 4.7%, Nextracker's ability to significantly outperform on non-GAAP EPS points to disciplined cost management and margin preservation. On a trailing twelve-month basis, the company carries a gross margin of 32.4% and an operating margin of 19.4%, figures that provide context for its profitability profile, though these TTM metrics may not reflect the most recently reported quarter.

The simultaneous announcement of the Zigor Corporation acquisition — specifically its power conversion business and U.S.-based subsidiary Apex Power — signals a deliberate move to broaden Nextracker's capabilities beyond solar tracking hardware. According to the company's May 12 press release, the transaction is intended to complement its existing portfolio of intelligent power generation systems for solar plants, adding power conversion as a new capability area.

Wall Street View

Analyst sentiment remains firmly constructive. As of May 1, 2026, the consensus stands at 5 Strong Buy, 19 Buy, and 8 Hold ratings, with zero Sell or Strong Sell recommendations. Compared to the April 1 consensus — which showed 6 Strong Buy, 19 Buy, and 8 Hold — one Strong Buy converted to a Buy, but the overall bullish skew is unchanged. No price targets were available in the current data.

Investor Takeaway

Nextracker's Q1 CY2026 results, confirmed by the May 12 SEC 8-K filing, demonstrate the company's ability to deliver meaningful EPS outperformance even as revenue experienced a modest year-over-year contraction. The raised FY2027 revenue guidance of $3.8B – $4.1B and the strategic move to acquire Zigor's power conversion assets give analysts substantive grounds for maintaining a broadly bullish consensus. With 32 of 32 analyst ratings skewed Buy or better, the Street appears aligned with management's growth narrative heading into the next fiscal year.