Robinhood shares gain on Q2 beat, as user and crypto growth accelerate
On Tuesday, Goldman Sachs analyst Brian Lee adjusted the price target for First Solar stock, trading on (NASDAQ:FSLR), from the previous $235.00 to $204.00. Despite this reduction, the firm maintains a Buy rating on the shares. According to InvestingPro data, analyst targets for First Solar range from $100 to $304, with the stock currently trading at an attractive P/E ratio of 12.7. The company appears undervalued based on InvestingPro’s Fair Value analysis. Lee’s commentary highlighted that First Solar’s first-quarter results for 2025 were relatively unremarkable, but the company has revised its guidance for the year downwards. This change is primarily due to the uncertainty surrounding tariffs. InvestingPro data reveals that 11 analysts have recently revised their earnings expectations downward, though the company maintains strong fundamentals with a GOOD financial health score and operates with moderate debt levels.
First Solar’s updated 2025 guidance now includes different tariff scenarios. The lower end of its outlook assumes full reciprocal tariffs on key countries where it has exposure, such as India, Malaysia, and Vietnam. On the other hand, the higher end of its guidance range assumes a universal tariff of 10%. Lee noted that these figures are not significantly different from the initial guidance range and midpoints provided before the earnings call, except for the margin projections.
The analyst suggested that the stock might face short-term pressure and remain range-bound until there is more clarity regarding the tariff situation. However, Lee also indicated that any positive developments in tariff negotiations or trade deals with the affected countries could act as catalysts for the stock. Such developments might also lead to an upward revision in the company’s guidance on the subsequent earnings call, assuming all other factors remain constant.
Investors are now looking ahead, considering the potential impact of these tariff uncertainties on First Solar’s performance. The company’s stock movement in the near future is likely to be influenced by how the tariff situation unfolds and any related news that could affect trade relations with the countries involved. Despite these challenges, InvestingPro shows the stock has demonstrated remarkable resilience with a 23% return over the past week. For deeper insights into First Solar’s valuation and prospects, including 8 additional ProTips and comprehensive financial analysis, subscribers can access the full Pro Research Report.
In other recent news, First Solar has experienced a series of analyst actions reflecting varying perspectives on its future prospects. Wolfe Research upgraded First Solar’s stock rating from ’Peer Perform’ to ’Outperform’, setting a new price target of $221. This upgrade is attributed to the firm’s belief that First Solar will benefit from the Inflation Reduction Act and a favorable legislative environment. Meanwhile, Jefferies downgraded the stock from "Buy" to "Hold" and significantly reduced the price target to $127, citing concerns over near-term market challenges and potential margin compression.
Truist Securities also adjusted its outlook, lowering the price target to $200 while maintaining a Buy rating, indicating confidence in First Solar’s long-term potential despite current industry challenges. Similarly, TD Cowen reduced its price target to $200 but retained a Buy rating, highlighting the company’s stable average selling prices and its strategic expansion in U.S. manufacturing capacity. Mizuho (NYSE:MFG) Securities made a slight adjustment to its price target, lowering it to $251 while keeping an Outperform rating, pointing to underutilization costs in Southeast Asia as a concern.
These recent developments underscore the complexities First Solar faces, including tariff impacts and evolving market conditions. Analysts from various firms have expressed both caution and optimism, reflecting the mixed outlook for First Solar amid these challenges. Investors will likely continue to watch how First Solar navigates these dynamics and leverages its strategic advantages.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.