Analyst Dimple Gosai from Bank of America Securities reiterated a Buy rating on First Solar and increased the price target to $255.00 from $254.00.
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Dimple Gosai has given his Buy rating due to a combination of factors that highlight First Solar’s strategic positioning and future growth potential. First Solar is seen as a leading domestic supplier with strong pricing power and alignment with significant policy initiatives like the Inflation Reduction Act and Foreign Entity of Concern compliance. The company’s bookings have significantly improved, and its U.S. capacity is effectively committed through 2028, which underscores its scarcity value and premium for compliant supply.
Additionally, First Solar’s substantial backlog provides long-term visibility, and the recent cancellation of a 6.6GW contract offers an opportunity to reset volumes at more favorable pricing. The company is strategically managing its production and capacity transitions, particularly with investments in U.S. finishing capabilities, to ensure a cleaner exit into 2027. These strategic moves are expected to stabilize earnings and reduce costs, positioning First Solar favorably for future growth and profitability.
In another report released on October 27, Guggenheim also reiterated a Buy rating on the stock with a $287.00 price target.