Shoals Technologies surges after securing initial ruling in patent dispute (NASDAQ:SHLS)

Shoals Technologies (NASDAQ:SHLS) +15.6% in Tuesday’s trading to its highest in a month after the U.S. International Trade Commission issued a favorable initial ruling in its patent infringement complaint against Voltage LLC.

If upheld by the ITC, the ruling would prevent the unlawful imports of photovoltaic connectors that infringe on intellectual property owned by Shoals (SHLS) for improved solar panel array connectors, the company said.

Shoals (SHLS) also said it was issued two new patents covering its Big Lead Assembly technology, in addition to the patent that Voltage was found to violate in the ITC case.

Citi analyst Vikram Bagri sees the ruling as favorable for Shoals (SHLS), saying “the determination paves the way for SHLS to obtain an exclusion order against Voltage,” which would partially limit competition it faces within the electrical balance of systems market, Bloomberg reported.