First Solar ( (FSLR) ) has risen by 10.63%. Read on to learn why.
First Solar has experienced a notable 10.63% increase in its stock price over the past week, capturing the attention of investors in the renewable energy sector. This surge comes despite the company’s recent challenges, including a disappointing Q1 report with earnings and revenues falling short of expectations. The company’s strategic advantages, such as its use of cadmium telluride thin-film solar modules and a vertically integrated supply chain, have been highlighted as key factors contributing to its resilience and appeal to investors.
The company’s stock price movement is also influenced by political and economic factors, including the Inflation Reduction Act’s tax credits for domestically manufactured solar technology. First Solar’s new factory in Louisiana, expected to significantly boost production capacity, has been a focal point for investor optimism. However, the reinstatement of tariffs on solar products from Southeast Asia presents a potential challenge, with the company needing to navigate these economic headwinds carefully.
Despite these challenges, analysts remain generally bullish on First Solar, with a consensus rating of Strong Buy. The company’s strategic partnerships and technological innovations position it well against competitors, and the backlog of 66.3GW indicates strong demand across various markets. Investors are advised to keep a close watch on geopolitical developments and operational improvements as they consider First Solar’s long-term growth potential.