Nextracker stock could climb to $40: Bank of America

Shares of Nextracker Inc (NASDAQ: NXT) have already gained more than 20% in recent days but a Bank of America analyst is convinced that it’s still not too late to invest in this solar solutions company.

Nextracker stock could benefit from the IRA

On Wednesday, Julien Dumoulin-Smith upgraded the solar stock to “buy” and raised his price objective to $40 that suggests a 23% upside on its previous close.

He’s bullish on the Nasdaq-listed firm primarily because it’s well positioned to benefit from the Inflation Reduction Act.

Nextracker stock debuted only last month at a per-share price of about $30.

Nextracker is actively delivering to projects

Dumoulin-Smith is constructive on the solar tracking and software solutions provider also because it is now actively delivering to over 3 GW of U.S. projects.

Also on Wednesday, Nextracker announced an agreement with Strata Clean Energy to supply 810 MW of solar trackers for its large-scale power projects in Texas, Arizona, and Virginia.

Lastly, revenue growth makes up for another great reason to buy Nextracker stock. At $1.5 billion, its revenue for fiscal 2022 was up 25% versus the prior year.