First Solar, Inc.

DB:F3A Stock Report

Market Cap: €19.8b

First Solar Valuation

Is F3A undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of F3A when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: F3A (€179.84) is trading below our estimate of fair value (€412.08)

Significantly Below Fair Value: F3A is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for F3A?

Key metric: As F3A is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for F3A. This is calculated by dividing F3A's market cap by their current earnings.
What is F3A's PE Ratio?
PE Ratio16.1x
EarningsUS$1.25b
Market CapUS$20.94b

Price to Earnings Ratio vs Peers

How does F3A's PE Ratio compare to its peers?

The above table shows the PE ratio for F3A vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average14.7x
IFX Infineon Technologies
21.6x17.0%€37.8b
ELG Elmos Semiconductor
10.6x4.1%€1.1b
6723 Renesas Electronics
13.7x9.4%JP¥3.7t
AIXA AIXTRON
13x6.2%€1.5b
F3A First Solar
16.1x28.2%€20.9b

Price-To-Earnings vs Peers: F3A is expensive based on its Price-To-Earnings Ratio (16.1x) compared to the peer average (14.7x).

Price to Earnings Ratio vs Industry

How does F3A's PE Ratio compare vs other companies in the European Semiconductor Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
F3A 16.1xIndustry Avg. 14.0xNo. of Companies7PE01632486480+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: F3A is expensive based on its Price-To-Earnings Ratio (16.1x) compared to the European Semiconductor industry average (14.6x).

Price to Earnings Ratio vs Fair Ratio

What is F3A's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

F3A PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio16.1x
Fair PE Ratio30.7x

Price-To-Earnings vs Fair Ratio: F3A is good value based on its Price-To-Earnings Ratio (16.1x) compared to the estimated Fair Price-To-Earnings Ratio (30.7x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst F3A forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€178.52
€258.69
+44.9%
13.0%€341.96€180.48n/a32
Nov ’25€179.20
€253.93
+41.7%
11.8%€331.49€174.95n/a32
Oct ’25€217.00
€257.42
+18.6%
14.2%€330.50€170.64n/a32
Sep ’25€202.45
€261.06
+29.0%
14.2%€337.05€174.02n/a31
Aug ’25€204.90
€262.19
+28.0%
15.2%€341.03€176.07n/a31
Jul ’25€208.00
€265.28
+27.5%
16.6%€332.65€172.86n/a29
Jun ’25€245.85
€235.22
-4.3%
17.8%€328.16€167.77n/a29
May ’25€167.04
€212.21
+27.0%
15.7%€336.99€170.84n/a31
Apr ’25€155.22
€205.66
+32.5%
16.9%€331.61€157.03n/a29
Mar ’25€147.24
€205.57
+39.6%
17.2%€331.29€156.88n/a28
Feb ’25€136.54
€208.59
+52.8%
15.6%€300.67€156.79n/a27
Jan ’25€155.44
€208.93
+34.4%
15.2%€298.62€155.72n/a26
Dec ’24€143.36
€209.46
+46.1%
15.0%€297.12€154.94n/a25
Nov ’24€141.28
€223.06
+57.9%
12.9%€308.49€175.07€179.2024
Oct ’24€152.20
€231.22
+51.9%
13.5%€312.15€174.99€217.0023
Sep ’24€170.40
€225.58
+32.4%
14.3%€304.94€165.33€202.4522
Aug ’24€186.56
€221.00
+18.5%
14.7%€301.92€163.69€204.9023
Jul ’24€173.50
€204.96
+18.1%
11.9%€253.79€169.50€208.0022
Jun ’24€194.94
€209.98
+7.7%
11.6%€258.22€172.46€245.8522
May ’24€165.60
€199.72
+20.6%
11.1%€247.93€154.96€167.0425
Apr ’24€198.58
€195.27
-1.7%
12.5%€239.82€147.58€155.2224
Mar ’24€182.66
€180.84
-1.0%
19.1%€243.85€70.34€147.2422
Feb ’24€162.96
€166.62
+2.2%
19.4%€214.13€68.93€136.5423
Jan ’24€139.20
€159.35
+14.5%
18.8%€219.86€70.77€155.4423
Dec ’23€160.64
€159.51
-0.7%
17.6%€225.50€72.59€143.3622
Nov ’23€150.66
€161.31
+7.1%
18.6%€235.89€75.93€141.2821

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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