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With a market cap of $18.6 billion, Tempe, Arizona-based First Solar, Inc. (FSLR) is a leading global provider of photovoltaic (PV) solar energy solutions. The company specializes in designing, manufacturing, and selling solar modules utilizing proprietary thin-film cadmium telluride semiconductor technology, offering a lower-carbon alternative to traditional crystalline silicon PV modules. FSLR is slated to announce its fiscal Q4 earnings results on Tuesday, Feb. 25.
Ahead of this event, analysts expect the solar company to report a profit of $4.71 per share, a 44.9% growth from $3.25 per share in the year-ago quarter. The company has exceeded Wall Street's earnings expectations in three of the past four quarters while missing on another occasion. In the most recent quarter, FSLR missed the consensus EPS estimate by a 6.1% margin.
For fiscal 2024, analysts expect FSLR to report EPS of $13.07, marking a growth of 68.9% from $7.74 in fiscal 2023. In addition, EPS is expected to grow 55.4% year-over-year to $20.31 in fiscal 2025.
Shares of First Solar have risen 16.7% over the past 52 weeks, lagging behind the broader S&P 500 Index's ($SPX) 25.8% gain and the Technology Select Sector SPDR Fund's (XLK) 19.1% return over the same period.
Shares of First Solar fell over 1% following its Q3 earnings release on Oct. 29, primarily due to weaker-than-expected earnings of $2.91 per share and net sales of $887.7 million. The company reduced its 2024 sales forecast to $4.1 billion - $4.3 billion and reduced its module shipment forecast to 14.2 GW - 14.6 GW. Despite higher prices from tariffs on foreign-made panels benefiting U.S. producers, challenges such as slower residential installations, utility-scale project delays, and a shortage of skilled labor weighed on investor sentiment.
Analysts' consensus view on FSLR stock remains bullish, with a "Strong Buy" rating overall. Out of 33 analysts covering the stock, 26 recommend a "Strong Buy," two "Moderate Buys," and five give a "Hold" rating. The average analyst price target for FSLR is $273.03, suggesting a potential upside of 58.5% from the current levels.
