First Solar

FSLR

Market cap $21.2B

Tariffs are pinching margins, federal energy policies are a drag, and demand looks weaker than expected.

FSLR faces cooling demand, mixed booking trends, and underutilized capacity in Malaysia/Vietnam, resulting in muted FY2026 volumes/sales guidance and hefty underutilization charges. Their gross margins are heavily reliant on Section 45x tax credits, with the staged phase out after 2029 triggering significant gross margin compression risks. The silver lining to FSLR's investment thesis will be the strong free cash flow generation and the richer balance sheet, despite the ongoing capex investments.

NEW YORK, Feb. 26, 2026 /PRNewswire/ -- Pomerantz LLP is investigating claims on behalf of investors of First Solar, Inc. ("First Solar" or the "Company") (NASDAQ: FSLR).  Such investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, ext.

FSLR and ENPH ramp up capacity and shipments as solar demand grows, drawing fresh investor attention to both stocks.

First Solar presents a compelling buy after a technical pullback, with 2026 sales guidance $1B below consensus and sentiment weakened by backlog declines. FSLR's profitability is heavily reliant on 45X tax credits, with core manufacturing margins near 7% absent subsidies; credits phase down after 2030, capping the investment horizon. I am reinitiating a position with a staged entry (up to 4–5% NAV), targeting a 30% return over 12 months as sentiment inflects post-H1 2026.

Understanding the Power Inflow Signal

First Solar, Inc. delivered disappointing Q4 results and issued 2026 guidance well below Street expectations, triggering a sharp selloff. 2026 Adjusted EBITDA guidance of $2.6–$2.8B lags consensus, with revenue projected to decline and headline multiples flattered by Section 45X tax credits. But valuation even at these levels remains at worst reasonable, and the soft outlook is understandable.

First Solar saw strong growth in 2025, but 2026 doesn't look so great. Analysts expected another big year after record sales of $5.2 billion in 2025.

FSLR posts 32.6% EPS growth in Q4 but misses estimates, beats on revenues and issues 2026 outlook.

First Solar (FSLR) came out with quarterly earnings of $4.84 per share, missing the Zacks Consensus Estimate of $5.22 per share. This compares to earnings of $3.65 per share a year ago.