First Solar (NASDAQ:FSLR) Sees 4.6% Rise - Here's What Happened

On Tuesday, First Solar, Inc. (NASDAQ:FSLR) experienced a notable increase in its share price, rising by 4.6% during midday trading. The stock peaked at $140.95 before settling at $139.22 by the end of trading. During this time, around 985,310 shares changed hands, marking a significant decline of 64% from the typical daily volume of 2,701,062 shares. The stock had closed at $133.11 prior to this breakout.

Analyst Ratings Changes

Recent analyses from various equity firms have influenced the outlook on First Solar stock. Deutsche Bank Aktiengesellschaft has set a price target of $265.00 on the shares. In a report on February 26, JPMorgan Chase & Co. reduced their target price from $282.00 to $268.00 while maintaining an "overweight" rating. Similarly, Wells Fargo & Company adjusted their price objective down from $240.00 to $209.00, also designating the stock as "overweight." Morgan Stanley modified their price forecast from $297.00 to $238.00 but kept an "overweight" rating. Furthermore, Guggenheim lowered their target from $335.00 to $304.00 while continuing to recommend buying the stock. Presently, four analysts suggest holding the stock, 23 advise buying it, and two advocate for a strong buy. According to data from MarketBeat.com, First Solar has a consensus rating of "Moderate Buy" with a consensus target price of $262.08.

First Solar Price Performance

First Solar's share performance is notable with a 50-day moving average of $164.63 and a 200-day moving average of $192.76. The company holds a market capitalization of $14.22 billion, a price-to-earnings (PE) ratio of 11.44, and a price/earnings-to-growth (PEG) ratio of 0.19. In terms of financial stability, it has a debt-to-equity ratio of 0.05, indicating a solid financial standing, with a current ratio of 2.14 and a quick ratio of 1.44.

The company recently reported its quarterly earnings on February 25, revealing an earnings per share (EPS) of $3.65. This figure fell short of analysts' expectations of $4.81 by $1.16. However, First Solar's revenue of $1.51 billion for the quarter surpassed the anticipated $1.48 billion, showing strong revenue performance. The net margin stood at 32.41%, and the return on equity was recorded at 17.56%. Analysts predict that First Solar, Inc. will achieve an EPS of 13.05 in the current fiscal year.

Insider Activity

In related news, First Solar's CEO, Mark R. Widmar, sold 1,272 shares of the company's stock on March 7, at an average price of $132.96 for a total of $169,125.12. After this transaction, Widmar retains ownership of 109,000 shares, valued at approximately $14.49 million. This sale represented a 1.15% reduction in his holdings. Additionally, insider Kuntal Kumar Verma sold 419 shares on the same day, also at an average price of $132.96 for a total of $55,710.24. Following this, Verma now holds 4,695 shares worth around $624,247.20. Over the last ninety days, insiders have sold a total of 30,739 shares valued at $4,289,403, with 0.58% of the stock currently owned by company insiders.

Institutional Trading of First Solar

Many institutional investors have recently altered their positions in First Solar. Atria Investments Inc boosted its stake by 24.7% in the third quarter, owning now 2,476 shares worth $618,000 after acquiring an additional 490 shares. Sigma Planning Corp's holdings increased by 4.8%, now holding 1,450 shares valued at $362,000. Apollon Wealth Management LLC raised its position by 4.4%, holding a total of 3,657 shares worth $912,000. Sumitomo Mitsui Trust Group Inc. augmented its stake by 6.4%, now owning 244,140 shares valued at $60.9 million. Additionally, First Heartland Consultants Inc. acquired a new stake in First Solar valued at approximately $212,000. Overall, 92.08% of the stock is held by institutional investors.

About First Solar

First Solar, Inc. is a leading solar technology company that delivers photovoltaic (PV) solar energy solutions across the globe, including the United States, France, Japan, Chile, and more. It specializes in manufacturing and selling PV solar modules, utilizing thin film semiconductor technology, which presents a lower-carbon alternative compared to traditional crystalline silicon PV solar modules.

Should You Invest $1,000 in First Solar Right Now?

Before making any investment in First Solar, it's advisable to consider various factors. While the current consensus rating for the stock is "Moderate Buy," top analysts suggest there might be other stocks that could present better opportunities for investment. A thorough analysis of top-rated analysts' recommendations can guide potential investors in making informed decisions.

FirstSolar, Stocks, Earnings