First Solar Inc. Experiences Significant Stock Movement Amid Analyst Upgrades and Tax Credit Developments

First Solar, Inc. (FSLR), a leading US-based company specializing in the design and manufacture of solar modules using advanced thin film semiconductor technology, has seen notable stock activity recently. The company, listed on the Nasdaq, experienced a surge in its stock price, driven by a combination of analyst upgrades and favorable tax credit developments.

As of May 8, 2025, First Solar’s close price was $140.68, with a 52-week high of $306.77 on June 11, 2024, and a 52-week low of $116.56 on April 8, 2025. The company’s market capitalization stands at approximately $14.35 billion, with a price-to-earnings ratio of 11.3285.

Analyst Upgrades and Price Target Adjustments

On May 13, 2025, Wolfe Research upgraded First Solar, contributing to a significant stock price increase. This upgrade was followed by UBS raising its price target for First Solar to $255 on May 14, 2025. However, Goldman Sachs lowered its price target to $204 on the same day, highlighting differing analyst perspectives.

Tax Credit Developments Boost Investor Sentiment

A key factor in First Solar’s stock rally was the preservation of solar and wind tax credits through 2028, as part of a GOP tax bill. This development was less damaging to renewable energy incentives than initially feared, leading to a surge in U.S. solar stocks. The House GOP’s decision to gradually phase down these credits after 2028 provided a more favorable outlook for the industry.

Insider Activity and Market Reactions

Amidst the positive developments, insider activity was noted, with Alexander Bradley selling shares of First Solar. Despite this, the stock soared over 19% due to the favorable tax credit news and analyst upgrades.

Market Context

First Solar’s stock performance was part of a broader market trend, with the S&P 500 climbing 7% and the Nasdaq Composite rising 16% on the same day. Investors were advised to consider buying the surge in stocks like First Solar and Coinbase (COIN), both of which saw significant gains.

Conclusion

First Solar’s recent stock movements reflect a combination of positive analyst sentiment and supportive policy developments. The preservation of tax credits has bolstered investor confidence, positioning the company favorably within the renewable energy sector. As the market continues to evolve, First Solar’s strategic focus on advanced solar technology remains a key driver of its growth potential.