/First%20Solar%20Inc%20logo%20and%20stock%20price-by%20Piotr%20Swat%20via%20Shutterstock.jpg)
With a market cap of $13.6 billion, First Solar, Inc. (FSLR) is a solar technology company providing photovoltaic (PV) solar energy solutions in the United States and internationally. Founded in 1999, the Tempe, Arizona-based company manufactures and sells PV solar modules that provide a lower-carbon alternative to conventional PV solar modules.
Companies valued at more than $10 billion or more are generally considered “large-cap stocks”, and FSLR fits this criterion perfectly. The company benefits from an innovative portfolio of solar solutions and increased consumer confidence in alternate fuel sources.
However, FSLR stock has faced pressure and has fallen 57.8% from its 52-week high of $306.77, recorded on Jun. 12 last year. FSLR stock has fallen 26.5% over the past three months, lagging behind the broader S&P 500 Index ($SPX), which declined 3.3% during the same period.
Over the past six months, shares of FSLR declined 46.2%, compared to $SPX’s marginal decline. Moreover, FSLR has fallen 12.3% over the past 52 weeks, underperforming SPX's 9.6% return.
FSLR has been trading below its 200-day moving average since early December and under its 50-day moving average since January-end, enforcing a downtrend.
The company’s stock declined 3.6% following its Q4 earnings release on Feb. 25. FSLR reported net sales of $1.5 billion, indicating an increase of 30.7%. Additionally, its EPS came in at $3.65, failing to surpass the Wall Street estimates by 21.3%. The company also expects its net sales and EPS to be in the range of $5.3 billion to $5.8 billion and $17 and $20 for 2025, respectively.
Its rival, Enphase Energy, Inc. (ENPH), has also shown a decline over the past year, with its stock dropping 42.9% and falling 46.9% over the past six months.
Despite its grim price action, analysts are strongly bullish about the stock’s prospects. FSLR has a consensus rating of “Strong Buy” from 34 analysts in coverage. Its mean price target of $249.72 represents a robust upside of 93.1% from the current market prices.
