First Solar (NASDAQ:FSLR) Shares Gap Down on Disappointing Earnings

First Solar, Inc. (NASDAQ:FSLR)’s share price gapped down prior to trading on Wednesday following a weaker than expected earnings announcement. The stock had previously closed at $243.21, but opened at $197.54. First Solar shares last traded at $210.05, with a volume of 3,720,027 shares traded.

The solar cell manufacturer reported $4.84 earnings per share for the quarter, missing analysts’ consensus estimates of $5.22 by ($0.38). First Solar had a return on equity of 16.61% and a net margin of 27.73%.The company had revenue of $1.68 billion for the quarter, compared to analyst estimates of $1.59 billion. During the same quarter in the previous year, the company posted $3.65 earnings per share. The firm’s revenue for the quarter was up 11.1% compared to the same quarter last year.

Key Headlines Impacting First Solar

Here are the key news stories impacting First Solar this week:

• Positive Sentiment: Needham raised its price target to $303 and kept a buy rating, signaling continued bullish conviction from some analysts despite recent weakness. Needham raises PT
• Positive Sentiment: First Solar signed a patent licensing agreement with Oxford PV for U.S. markets, strengthening its technology/IP access and potential product roadmap. Patent licensing with Oxford PV
• Positive Sentiment: U.S. preliminary duties on solar imports from India, Indonesia and Laos could indirectly benefit domestic module manufacturers like First Solar by protecting U.S. pricing and market share. U.S. tariff decision
• Neutral Sentiment: Q4 results were mixed: revenue of $1.68B beat Street estimates (up ~11% YoY), but EPS of $4.84 missed consensus — the top‑line strength helps the growth story while the EPS miss raises short‑term execution questions. Q4 results summary
• Negative Sentiment: The company issued 2026 revenue guidance ($4.9B–$5.2B midpoint) materially below analyst consensus (~$6.2B), citing pricing pressure and tariff-related dynamics; that guidance triggered a large after‑hours/premarket selloff and is the primary driver of recent downward pressure. Downbeat 2026 guidance / Reuters
• Negative Sentiment: Several outlets and analysts flagged the earnings/guidance miss; some firms trimmed price targets or reiterated neutral stances (e.g., Robert W. Baird kept neutral and cut its PT), increasing near‑term downside risk from analyst revisions. Analyst actions and coverage

Analyst Ratings Changes

A number of analysts recently weighed in on the stock. KeyCorp reaffirmed an “overweight” rating on shares of First Solar in a report on Friday, October 31st. Rothschild & Co Redburn raised their price target on shares of First Solar from $150.00 to $260.00 and gave the company a “neutral” rating in a research note on Thursday, November 13th. Jefferies Financial Group cut First Solar from a “buy” rating to a “hold” rating and cut their price target for the company from $269.00 to $260.00 in a report on Wednesday, January 7th. Susquehanna reduced their price objective on First Solar from $292.00 to $280.00 and set a “positive” rating for the company in a research report on Wednesday. Finally, Barclays restated an “overweight” rating and issued a $279.00 target price on shares of First Solar in a research report on Monday, November 3rd. One investment analyst has rated the stock with a Strong Buy rating, twenty-two have given a Buy rating and nine have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $270.31.

Institutional Trading of First Solar

A number of hedge funds and other institutional investors have recently modified their holdings of FSLR. Vanguard Group Inc. boosted its stake in First Solar by 3.5% during the third quarter. Vanguard Group Inc. now owns 13,721,979 shares of the solar cell manufacturer’s stock valued at $3,026,108,000 after buying an additional 464,130 shares in the last quarter. State Street Corp lifted its holdings in First Solar by 2.1% in the 2nd quarter. State Street Corp now owns 5,326,082 shares of the solar cell manufacturer’s stock valued at $881,680,000 after acquiring an additional 111,927 shares during the last quarter. Geode Capital Management LLC boosted its position in shares of First Solar by 0.8% during the 4th quarter. Geode Capital Management LLC now owns 2,919,991 shares of the solar cell manufacturer’s stock valued at $761,396,000 after purchasing an additional 24,206 shares in the last quarter. Viking Global Investors LP boosted its position in shares of First Solar by 60.6% during the 2nd quarter. Viking Global Investors LP now owns 2,266,050 shares of the solar cell manufacturer’s stock valued at $375,122,000 after purchasing an additional 854,919 shares in the last quarter. Finally, Amundi grew its stake in shares of First Solar by 9.4% in the 4th quarter. Amundi now owns 2,215,461 shares of the solar cell manufacturer’s stock worth $578,791,000 after purchasing an additional 189,626 shares during the last quarter. Institutional investors own 92.08% of the company’s stock.

First Solar Price Performance

The firm has a market capitalization of $22.32 billion, a P/E ratio of 16.08, a P/E/G ratio of 0.31 and a beta of 1.60. The business’s fifty day moving average is $245.45 and its 200 day moving average is $236.31. The company has a current ratio of 1.91, a quick ratio of 1.55 and a debt-to-equity ratio of 0.03.

About First Solar

First Solar, Inc (NASDAQ: FSLR) is a United States–based solar technology company best known for designing and manufacturing thin‑film photovoltaic (PV) modules that use cadmium telluride (CdTe) semiconductor technology. The company supplies PV modules and delivers integrated solar power solutions for utility‑scale projects, positioning itself as a provider of both components and complete solar energy systems rather than solely a parts supplier. First Solar was founded in 1999 and is headquartered in Tempe, Arizona.

Beyond module manufacturing, First Solar offers a range of project services including development support, engineering, procurement and construction (EPC) services, and operations and maintenance (O&M) for large-scale solar installations.