First Solar, Inc. (NASDAQ:FSLR) Earnings Preview: A Deep Dive into Financial Performance and Market Challenges

First Solar (NASDAQ:FSLR) shares rose more than 5% after the solar technology firm delivered second-quarter earnings and revenue that beat analyst forecasts, driven by increased sales of solar modules.

The company posted adjusted earnings of $3.18 per share, topping the $2.66 consensus by nearly 20%. Revenue came in at $1.1 billion, up 30% from the previous quarter and ahead of the $1.04 billion analyst estimate.

Growth was attributed to higher volumes of third-party solar module shipments. CEO Mark Widmar said recent policy and trade changes have enhanced First Solar’s industry positioning, citing utility-scale solar as cost-competitive and fast to deploy.

First Solar maintained the midpoint of its 2025 EPS forecast at $13.50 to $16.50. The company also raised its full-year revenue guidance to between $4.9 billion and $5.7 billion, up from a prior range of $4.5 billion to $5.5 billion.

• The consensus price target for First Solar, Inc. (NASDAQ:FSLR) has been on a downward trend, indicating potential challenges ahead.
• Analyst Moses Sutton from Barclays has set a notably lower price target of $112, suggesting a more cautious outlook on the company's stock.
• First Solar's upcoming Q2 earnings report is anticipated to show a decline, highlighting the importance for investors to monitor external factors and strategic initiatives impacting the company's performance.

First Solar, Inc. (NASDAQ:FSLR) is a prominent player in the solar energy industry, known for its photovoltaic solar energy solutions. The company operates globally, serving a wide range of clients from system developers to commercial entities. Established in 1999 and based in Tempe, Arizona, First Solar has made significant strides in the renewable energy sector, particularly with its cadmium telluride solar modules.

The consensus price target for First Solar has been on a downward trend over the past year. A year ago, the target was $257.9, but it has since decreased to $207.12 last quarter and further to $194 last month. This decline may reflect changing market conditions or company performance. Analyst Moses Sutton from Barclays has set a notably lower price target of $112, suggesting a more cautious outlook.

First Solar's upcoming Q2 earnings report is anticipated to show a decline, as the company reportedly lacks the key factors needed for an earnings beat. This expectation aligns with the reduced price targets and highlights potential challenges the company faces. Investors should be aware of these developments and consider them when evaluating First Solar's stock.

Despite these challenges, First Solar is still considered a potential value stock by Zacks, which uses the Zacks Rank system to identify promising stocks based on earnings estimates and revisions. This analysis also considers trends in value, growth, and momentum, offering a broader perspective on First Solar's investment potential.

External factors, such as the extension of the reciprocal tariff deadline and increased tariffs on steel and aluminum, could further impact First Solar's margins and earnings. These developments, along with the company's strategic initiatives and market position, are crucial for investors to monitor as they assess the factors influencing First Solar's stock performance and analyst expectations.

First Solar, Inc. (NASDAQ:FSLR) is a leading player in the solar energy sector, known for its focus on developing and manufacturing thin-film photovoltaic (PV) modules. The company is committed to advancing solar technology and has been making significant strides in perovskite technology, which promises higher efficiency and lower production costs compared to traditional silicon solar panels.

On July 8, 2025, UBS maintained a positive outlook on First Solar, recommending a hold on the stock, which was priced at $165.48. This comes amid First Solar's strategic investments in perovskite technology, including a $370 million investment in the Jim Nolan Center for Solar Innovation in Ohio. This facility is dedicated to scaling the production of high-efficiency thin-film solar panels.

In 2023, First Solar acquired Evolar AB, a Swedish company specializing in perovskite technology. This acquisition is part of First Solar's strategy to meet the growing demand for thin-film photovoltaics and to enhance the development of next-generation solar technologies. The move aligns with the company's goal to lead in the innovation and commercialization of cutting-edge solar technologies.

In July 2024, First Solar further demonstrated its commitment to perovskite technology by establishing a development line at its Perry facility. This initiative is part of the company's broader strategy to advance perovskite solar cell technology, which is seen as a promising alternative to traditional solar panels.

Despite these advancements, First Solar's stock has experienced a decrease of approximately 6.54%, with a current price of $165.48. The stock has fluctuated between $165.21 and $172.62 during the trading day, with a market capitalization of approximately $17.75 billion. The trading volume for the day is 4,953,154 shares, reflecting investor interest in the company's future prospects.

• Jefferies maintains a "Hold" rating for First Solar Inc. (NASDAQ:FSLR) with a raised price target amidst solar industry challenges.
• The new House tax bill introduces provisions that could negatively impact the solar industry, affecting companies like First Solar.
• Legislation aiming to lower taxes and increase military spending could end several green-energy subsidies, leading to a decline in solar stocks.

First Solar Inc. (NASDAQ:FSLR) is a prominent player in the solar energy sector, specializing in the design and manufacture of solar panels and systems. The company is known for its advanced thin-film photovoltaic technology, which is used in large-scale solar power projects. First Solar competes with other solar companies like Enphase Energy and SolarEdge, which focus on solar inverters and energy management solutions.

On May 22, 2025, Jefferies maintained its "Hold" rating for First Solar, with the stock priced at $156.35. Jefferies also raised its price target from $127 to $157. This decision comes amid significant challenges in the solar industry, particularly due to a new House tax bill. The bill introduces stringent provisions that could impact the growth and financial performance of companies like First Solar.

The recent House tax bill has introduced challenges for the rooftop solar industry, affecting companies like First Solar. The bill sunsets renewable energy credits and incorporates more stringent provisions, which could be detrimental to the sector. As a result, First Solar's stock price decreased by 4%, trading at $156.82, as highlighted by Schaeffer's Research.

The bill aims to lower taxes and increase military spending, potentially ending several green-energy subsidies. This has led to a significant decline in solar stocks, with First Solar experiencing a 4.30% decrease. The stock has traded between $152.72 and $160.97 today, with a market capitalization of approximately $16.77 billion.

The legislation is described as "disastrous" for the rooftop solar industry by Guggenheim, as it eliminates crucial clean energy credits. This has led to a premarket plunge in solar stocks, with companies like Sunrun and Enphase Energy experiencing significant declines. The bill also terminates investment and electricity production credits for clean energy facilities, which have been vital for the sector's growth.

• The consensus price target for First Solar, Inc. (NASDAQ:FSLR) has been on a downward trend, indicating analysts' growing caution.
• Recent policies and market conditions have introduced uncertainty in the solar industry, impacting companies like First Solar.
• Despite challenges, First Solar's strong financial fundamentals and market position suggest it is undervalued, presenting a buying opportunity.

First Solar, Inc. (NASDAQ:FSLR) is a key player in the photovoltaic solar energy solutions industry, known for its expertise in designing, manufacturing, and selling cadmium telluride solar modules. These modules are crucial for converting sunlight into electricity. The company caters to a wide range of clients, including developers, utilities, and commercial entities, making it a significant entity in the renewable energy sector.

The consensus price target for First Solar has shown a downward trend over the past year. A year ago, the average price target was $272.14, which decreased to $234.50 last quarter, and further to $224.33 last month. This decline suggests that analysts are becoming more cautious about the company's stock performance, possibly due to market conditions or company-specific challenges.

Recent developments have influenced these price target changes. Analyst Moses Sutton from Barclays has set a notably lower price target of $112 for First Solar, reflecting current market conditions and potential challenges. The solar industry is facing uncertainty due to policies introduced by former President Trump, affecting companies like First Solar, Enphase, and Sunrun. These policies, along with concerns about tariffs and the Inflation Reduction Act, are impacting the sector.

Despite these challenges, First Solar remains a strong player in the U.S. market, supported by incentives from the Inflation Reduction Act and protective tariffs. However, the company is dealing with operational challenges and geopolitical risks that are affecting its earnings. These issues are impacting First Solar's margins and production flexibility, leading to earnings volatility. Analyst Moses Sutton maintains a buy rating on the company, citing its strong market position and valuation.

First Solar is considered undervalued, presenting a potential buying opportunity for long-term investors. The company's price-to-earnings (P/E) ratio is 10.71, and its enterprise value to EBITDA (EV/EBITDA) ratio is 6.99. Despite recent stock performance challenges, First Solar demonstrates strong financial fundamentals, with a gross profit margin of 44.17% and a return on equity (ROE) of 17.62%. Analyst Moses Sutton's price target of $112 reflects confidence in First Solar's long-term potential.

• The consensus price target for First Solar, Inc. (NASDAQ:FSLR) has been on a downward trend, indicating analysts' growing caution.
• Recent policies and market conditions have introduced uncertainty in the solar industry, impacting companies like First Solar.
• Despite challenges, First Solar's strong financial fundamentals and market position suggest it is undervalued, presenting a buying opportunity.

First Solar, Inc. (NASDAQ:FSLR) is a key player in the photovoltaic solar energy solutions industry, known for its expertise in designing, manufacturing, and selling cadmium telluride solar modules. These modules are crucial for converting sunlight into electricity. The company caters to a wide range of clients, including developers, utilities, and commercial entities, making it a significant entity in the renewable energy sector.

The consensus price target for First Solar has shown a downward trend over the past year. A year ago, the average price target was $272.14, which decreased to $234.50 last quarter, and further to $224.33 last month. This decline suggests that analysts are becoming more cautious about the company's stock performance, possibly due to market conditions or company-specific challenges.

Recent developments have influenced these price target changes. Analyst Moses Sutton from Barclays has set a notably lower price target of $112 for First Solar, reflecting current market conditions and potential challenges. The solar industry is facing uncertainty due to policies introduced by former President Trump, affecting companies like First Solar, Enphase, and Sunrun. These policies, along with concerns about tariffs and the Inflation Reduction Act, are impacting the sector.

Despite these challenges, First Solar remains a strong player in the U.S. market, supported by incentives from the Inflation Reduction Act and protective tariffs. However, the company is dealing with operational challenges and geopolitical risks that are affecting its earnings. These issues are impacting First Solar's margins and production flexibility, leading to earnings volatility. Analyst Moses Sutton maintains a buy rating on the company, citing its strong market position and valuation.

First Solar is considered undervalued, presenting a potential buying opportunity for long-term investors. The company's price-to-earnings (P/E) ratio is 10.71, and its enterprise value to EBITDA (EV/EBITDA) ratio is 6.99. Despite recent stock performance challenges, First Solar demonstrates strong financial fundamentals, with a gross profit margin of 44.17% and a return on equity (ROE) of 17.62%. Analyst Moses Sutton's price target of $112 reflects confidence in First Solar's long-term potential.