Weakness is an opportunity with solar stocks. Granted, there have been concerns that a Trump presidential win could derail clean energy stocks. But as I’ve said before, a repeal isn’t likely for two reasons. First, unless the Republicans take full control of Congress, it’s not likely to happen. Second, the Inflation Reduction Act (IRA) has been popular across the political spectrum.Not helping the reputation of solar stocks right now is the fact that SunPower (NASDAQ:SPWR) just filed for Chapter 11 bankrupt ...

Shana NovakInvestment Thesis First Solar (NASDAQ:FSLR) is an American Solar manufacturer headquartered in Tempe, Arizona, with research and development labs in Ohio and California and manufacturing facilities in Ohio, Alabama (expected 2024), Louisiana (expected 2025) Malaysia, Vietnam, and India. When I last covered First Solar on July 16, 2024, I highlighted First Solar’s leading position as a domestic manufacturer of solar panels in the United States, enabling the company to benefit substantially fro ...

The invention of clean energy has given many hope that it could be a future solution to nonrenewable energy sources and less pollutant energy production. Yet, the reality remains that each year the federal government spends billions of dollars to subsidize the industry. As a result, many of the profits revenues reported by the big, clean energy companies in the U.S. are not without taxpayer money involved. As the election nears, both political parties have drawn lines in the sand regarding their stands on t ...

Renewable energy stocks haven’t been able to withstand the market pressure and have shown high volatility over the past few quarters. Besides the surplus inventory, the political environment and macroeconomic situations have led to a profit drop. The high rates have hit the companies hard. However, we are all transitioning towards renewable energy adoption and although it may not happen in the next few years, it will occur over the coming decades. This is your chance to bag renewable energy stocks that have ...

aryos/E+ via Getty Images In my last analysis of First Solar (NASDAQ:FSLR), I allocated a Hold rating due to overvaluation concerns. Since then, the stock has lost almost 18% in price. Now, I think the stock is fairly valued again, and so I am reallocating a Buy rating, the last of which I posted in April 2024, and the stock has gained nearly 20% since then. Analyst's Performance Now, First Solar's future looks evermore bright since the valuation has become more reasonable. Manufacturing capacity expans ...

First Solar is reporting great profits, but most of what's earned is from subsidies.First Solar (FSLR -2.50%) is one of the most successful and profitable companies in the solar industry. But bookings are falling, and management is counting on subsidies to keep profits where they are. In this video, Travis Hoium shows why First Solar stock is priced for perfection and hasn't accounted for potential risks.*Stock prices used were end-of-day prices of Aug. 1, 2024. The video was published on Aug. 2, 2024. ...

Goldman Sachs analyst Brian Lee reiterated a Buy rating on First Solar, Inc FSLR with a price target of $311, up from $302.First Solar reported fiscal 2024 second-quarter revenue of $1 billion, above Goldman Sachs estimate and FactSet consensus of $969 million and $940 million, supported by ~3.4GW of shipments (vs. Goldman Sachs estimate of 3.4GW).The consolidated gross margin of 49.4% came in well above Goldman Sachs’s estimate of 42.7%. The improvement in gross margins drove the large EPS beat as FSLR rep ...

First Solar, Inc. (FSLR) reported second-quarter 2024 earnings of $3.25 per share, up a solid 104.4% from the prior-year quarter's reported earnings of $1.59 per share. The bottom line also beat the Zacks Consensus Estimate of $2.67 by 21.7%. The year-over-year improvement in the bottom line can be attributed to solid sales and gross profit growth, along with lower operating expenses, compared to the prior-year quarter's level. Sales Update First Solar's second-quarter net sales were $1.01 billion, which su ...

First Solar Q2'24 Earnings Call July 30, 2024 | Important Information Cautionary Note Regarding Forward Looking Statements This presentation contains forward-looking statements which are made pursuant to safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements in this presentation, other than statements of historical fact, are forward-looking statements. These forward-looking statements include, but are not limited to, statements concerning: demand for our technology, o ...

Financial Data and Key Metrics Changes - Second quarter net sales were $1 billion, an increase of $0.2 billion compared to the first quarter, driven by a 24% increase in megawatt volume sold [22][23] - Gross margin improved to 49% in the second quarter from 44% in the first quarter, attributed to a higher mix of U.S. factory modules sold and $255 million in Section 45X tax credits [22][23] - Earnings per diluted share for the second quarter were $3.25, with a net cash balance of $1.2 billion at quarter-end [8][24] Business Line Data and Key Metrics Changes - The company secured a net 0.9 gigawatts of bookings since the last earnings call, bringing year-to-date net bookings to 3.6 gigawatts, with a total contracted backlog of 75.9 gigawatts [7][8] - The average selling price (ASP) for the new bookings was $0.316 per watt, excluding adjusters [7][18] - The total pipeline of potential bookings increased to 80.6 gigawatts, with mid- to late-stage opportunities at 28.6 gigawatts [20] Market Data and Key Metrics Changes - The company noted a significant portion of its backlog includes opportunities to increase ASP through adjusters, potentially adding up to $0.7 billion in revenue if fully realized [18] - The U.S. market continues to show strong demand for solar energy, with data center-driven energy demand expected to increase by 15% to 20% annually through 2030 [46][47] Company Strategy and Development Direction - The company is focused on expanding its manufacturing capacity, with the Ohio facility completed and commercial shipments beginning as scheduled [10][11] - Investment in R&D infrastructure is a priority, with nearly $0.5 billion allocated to enhance thin-film technology and develop next-generation solar technologies [12][31] - The company aims to maintain its competitive edge against Chinese manufacturers by leveraging its domestic manufacturing capabilities and advocating for stronger trade policies [33][34] Management's Comments on Operating Environment and Future Outlook - Management acknowledged external uncertainties, particularly related to policy and supply conditions, which could impact the industry [9][28] - The upcoming U.S. elections are expected to create a pause in bookings as developers assess the potential policy changes [62] - Despite uncertainties, the company remains optimistic about long-term demand for renewables, driven by various sectors including data centers and manufacturing reshoring [38][46] Other Important Information - The company is on track to launch its CuRe program in Q4 2024, which is expected to enhance energy production through improved module performance [8][13] - The company has established a new world record CadTel research cell with a conversion efficiency of 23.1% [13][44] Q&A Session Summary Question: Clarification on bookings and ASP - The ASP reported includes the impact of a cancellation, but the overall ASP remains consistent with previous reports [55] Question: Key milestones for the Louisiana project - The first milestone will be the completion of the building construction, with tool move-in expected in Q1 to Q2 of 2025 [59] Question: Impact of the election on bookings - Initial pauses in bookings are expected due to uncertainty, but a favorable outcome for domestic manufacturing could accelerate momentum post-election [63][64] Question: Pricing environment and bookings from U.S. fabs - Some bookings included India domestic volume, but the pricing environment has firmed up recently, with ASPs remaining competitive [72]