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Market Cap

US$7.9b

Last Updated

2021/05/06 22:04 UTC

Data Sources

Company Financials +

Executive Summary

First Solar, Inc. provides photovoltaic (PV) solar energy solutions in the United State, Japan, France, Canada, India, Australia, and internationally. More Details


Snowflake Analysis

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

How has First Solar's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: FSLR is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: FSLR's weekly volatility (8%) has been stable over the past year.


Market Performance


7 Day Return

-15.6%

FSLR

-4.7%

US Semiconductor

-1.7%

US Market


1 Year Return

65.0%

FSLR

65.6%

US Semiconductor

51.8%

US Market

Return vs Industry: FSLR underperformed the US Semiconductor industry which returned 66% over the past year.

Return vs Market: FSLR exceeded the US Market which returned 52.8% over the past year.


Shareholder returns

FSLRIndustryMarket
7 Day-15.6%-4.7%-1.7%
30 Day-12.5%-6.0%1.5%
90 Day-24.3%1.1%3.1%
1 Year65.0%65.0%68.1%65.6%54.4%51.8%
3 Year0.9%0.9%102.2%92.0%63.0%52.8%
5 Year50.1%50.1%339.1%297.0%127.2%101.9%

Long-Term Price Volatility Vs. Market

How volatile is First Solar's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is First Solar undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FSLR ($73.7) is trading below our estimate of fair value ($177.88)

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


Price To Earnings Ratio

PE vs Industry: FSLR is good value based on its PE Ratio (15.1x) compared to the US Semiconductor industry average (37.1x).

PE vs Market: FSLR is good value based on its PE Ratio (15.1x) compared to the US market (20.4x).


Price to Earnings Growth Ratio

PEG Ratio: FSLR's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: FSLR is good value based on its PB Ratio (1.4x) compared to the US Semiconductor industry average (4.7x).


Future Growth

How is First Solar forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

-4.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FSLR's earnings are forecast to decline over the next 3 years (-4.9% per year).

Earnings vs Market: FSLR's earnings are forecast to decline over the next 3 years (-4.9% per year).

High Growth Earnings: FSLR's earnings are forecast to decline over the next 3 years.

Revenue vs Market: FSLR's revenue (1% per year) is forecast to grow slower than the US market (9.2% per year).

High Growth Revenue: FSLR's revenue (1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: FSLR's Return on Equity is forecast to be low in 3 years time (5.8%).


Past Performance

How has First Solar performed over the past 5 years?

8.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FSLR has a large one-off gain of $119.0M impacting its March 31 2021 financial results.

Growing Profit Margin: FSLR's current net profit margins (17.3%) are higher than last year (1.4%).


Past Earnings Growth Analysis

Earnings Trend: FSLR's earnings have grown by 8.3% per year over the past 5 years.

Accelerating Growth: FSLR's earnings growth over the past year (1092.8%) exceeds its 5-year average (8.3% per year).

Earnings vs Industry: FSLR earnings growth over the past year (1092.8%) exceeded the Semiconductor industry 45.7%.


Return on Equity

High ROE: FSLR's Return on Equity (9.1%) is considered low.


Financial Health

How is First Solar's financial position?


Financial Position Analysis

Short Term Liabilities: FSLR's short term assets ($3.1B) exceed its short term liabilities ($669.3M).

Long Term Liabilities: FSLR's short term assets ($3.1B) exceed its long term liabilities ($744.8M).


Debt to Equity History and Analysis

Debt Level: FSLR's debt to equity ratio (4.5%) is considered satisfactory.

Reducing Debt: FSLR's debt to equity ratio has reduced from 5.3% to 4.5% over the past 5 years.

Debt Coverage: FSLR's debt is well covered by operating cash flow (102.2%).

Interest Coverage: FSLR's interest payments on its debt are well covered by EBIT (38.2x coverage).


Balance Sheet


Dividend

What is First Solar current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate FSLR's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate FSLR's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if FSLR's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if FSLR's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of FSLR's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.8yrs

Average management tenure


CEO

Mark Widmar (54 yo)

4.83yrs

Tenure

US$8,317,673

Compensation

Mr. Mark R. Widmar has been the Chief Executive Officer and Director of First Solar, Inc. since July 1, 2016. Mr. Widmar served as the Chief Financial Officer of 8Point3 General Partner, LLC, a General Par...


CEO Compensation Analysis

Compensation vs Market: Mark's total compensation ($USD8.32M) is about average for companies of similar size in the US market ($USD6.47M).

Compensation vs Earnings: Mark's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: FSLR's management team is considered experienced (4.8 years average tenure).


Board Members

Experienced Board: FSLR's board of directors are considered experienced (9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: FSLR insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

First Solar, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: First Solar, Inc.
  • Ticker: FSLR
  • Exchange: NasdaqGS
  • Founded: 1999
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: US$7.909b
  • Shares outstanding: 106.31m
  • Website: https://www.firstsolar.com

Number of Employees


Location

  • First Solar, Inc.
  • 350 West Washington Street
  • Suite 600
  • Tempe
  • Arizona
  • 85281
  • United States

Listings


Biography

First Solar, Inc. provides photovoltaic (PV) solar energy solutions in the United State, Japan, France, Canada, India, Australia, and internationally. It operates in two segments, Modules and Systems. The ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/06 22:04
End of Day Share Price2021/05/06 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.