As Enphase Energy Cuts 5% of Its Staff, Should You Buy, Sell, or Hold the Solar Stock?

Solar power is becoming one of the most critical pillars of the modern economy. As everything from cloud computing to artificial intelligence (AI) grows more power-hungry, electricity demand is rising fast, and clean, scalable energy sources are no longer optional. Yet even as solar’s importance deepens, the industry is running into headwinds. The U.S. solar manufacturing and supply chain posted strong gains in 2025, with the country now able to produce every major component of the solar and storage value chain. Solar cell production surged 300%, while module capacity climbed 37%, pushing total capacity beyond 60 gigawatts by late 2025.

Still, supply remains short of domestic needs, and uncertainty looms heading into 2026. The expiration of residential tax credits, tighter eligibility thresholds, and new tariffs have complicated business planning. President Donald Trump’s One Big Beautiful Bill Act accelerates the phase-out of the Investment Tax Credit after 2027 and raises domestic content requirements, even as tariffs offer some protection from foreign competition.