Core Viewpoint - First Solar (FSLR) is anticipated to report a year-over-year decline in earnings despite an increase in revenues for the quarter ending June 2025, with the consensus outlook indicating a significant impact on the stock price based on actual results compared to estimates [1][2]. Earnings Expectations - The consensus estimate for First Solar's quarterly earnings is $2.68 per share, reflecting a year-over-year decrease of 17.5%, while revenues are projected to be $1.03 billion, representing a 1.9% increase from the previous year [3]. - The consensus EPS estimate has been revised 1.47% higher in the last 30 days, indicating a reassessment by analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that First Solar has a negative Earnings ESP of -5.23%, suggesting analysts have become bearish on the company's earnings prospects [12]. - The stock currently holds a Zacks Rank of 3, making it challenging to predict an earnings beat conclusively [12]. Historical Performance - In the last reported quarter, First Solar was expected to post earnings of $2.50 per share but only achieved $1.95, resulting in a surprise of -22.00% [13]. - Over the past four quarters, First Solar has only beaten consensus EPS estimates once [14]. Industry Comparison - Nextracker (NXT), another player in the solar industry, is expected to report earnings of $1.04 per share for the same quarter, indicating a year-over-year increase of 11.8%, with revenues projected at $853.36 million, up 18.5% [18]. - Nextracker's consensus EPS estimate has been revised down by 3.7% in the last 30 days, but it has a positive Earnings ESP of +4.56% and a Zacks Rank of 2, suggesting a higher likelihood of beating the consensus EPS estimate [19][20].

Core Insights - The article emphasizes the effectiveness of the Zacks Rank system in identifying winning stocks through earnings estimates and revisions [1] - Value investing is highlighted as a popular and successful strategy across various market conditions, focusing on undervalued stocks [2] - Zacks has introduced the Style Scores system to identify stocks with specific traits, particularly those with high grades in the Value category [3] Company Analysis: First Solar (FSLR) - First Solar (FSLR) is currently rated with a Zacks Rank of 2 (Buy) and has an A grade for Value, indicating strong investment potential [4] - FSLR's Forward P/E ratio stands at 9.13, significantly lower than the industry average of 15.56, suggesting it may be undervalued [4] - The stock's Forward P/E has fluctuated between a high of 14.16 and a low of 5.80 over the past year, with a median of 9.30 [4] - FSLR's PEG ratio is 0.27, compared to the industry average of 0.70, indicating favorable growth expectations relative to its valuation [5] - The PEG ratio has ranged from a high of 0.33 to a low of 0.15 in the past 52 weeks, with a median of 0.23 [5] - FSLR's P/CF ratio is 10.96, which is attractive compared to the industry average of 11.48, further supporting its undervaluation [6] - The P/CF ratio has varied between 17.64 and 7.50 over the past year, with a median of 11.62 [6] - Overall, these metrics suggest that FSLR is likely undervalued and presents a strong investment opportunity based on its earnings outlook [7]

In the latest close session, First Solar (FSLR) was up +1.33% at $175.85. The stock exceeded the S&P 500, which registered a loss of 0.01% for the day. At the same time, the Dow lost 0.32%, and the tech-heavy Nasdaq gained 0.05%. Heading into today, shares of the largest U.S. solar company had gained 20.79% over the past month, outpacing the Oils-Energy sector's loss of 1.27% and the S&P 500's gain of 5.37%.Investors will be eagerly watching for the performance of First Solar in its upcoming earnings disclo ...

Core Insights - The First Trust Energy AlphaDEX ETF (FXN) is a smart beta ETF that provides broad exposure to the Energy sector, having debuted on May 8, 2007 [1] - The ETF industry has been traditionally dominated by market capitalization weighted indexes, but smart beta strategies aim to outperform through stock selection based on fundamental characteristics [2][3] - FXN is sponsored by First Trust Advisors and has assets totaling approximately $278.76 million, positioning it as an average-sized ETF in the Energy category [5] Fund Structure and Strategy - FXN seeks to match the performance of the StrataQuant Energy Index, which is a modified equal-dollar weighted index designed to identify stocks from the Russell 1000 Index that may generate positive alpha [6] - The fund has an annual operating expense ratio of 0.61% and a 12-month trailing dividend yield of 2.92%, which is competitive within its peer group [7] Sector Exposure and Holdings - The fund has a significant allocation to the Energy sector, representing 93.5% of its portfolio [8] - First Solar, Inc. (FSLR) is the largest holding at approximately 5.8%, with the top 10 holdings accounting for about 41.17% of total assets [9] Performance Metrics - Year-to-date, FXN has experienced a loss of approximately -3.71%, and over the last 12 months, it is down about -14.12% as of July 18, 2025 [11] - The fund has a beta of 0.90 and a standard deviation of 28.29% over the trailing three-year period, indicating a higher risk profile compared to peers [11] Alternatives in the Market - For investors seeking to outperform the Energy ETFs segment, alternatives such as the Vanguard Energy ETF (VDE) and the Energy Select Sector SPDR ETF (XLE) are available, with VDE having $7.15 billion in assets and XLE at $27.57 billion [13] - VDE and XLE have lower expense ratios of 0.09% and 0.08% respectively, making them more attractive options for cost-conscious investors [13]

Group 1 - First Solar (FSLR) stock price increase narrowed to 4.5% [1] - Daqo New Energy ADR currently up 7.6%, SolarEdge up 4.2%, Clean Energy ETF QCLN up 2.4%, and Canadian Solar ADR up 1.6% [1] - U.S. solar manufacturers have filed anti-dumping and countervailing duty petitions against three Asian countries: India, Indonesia, and Laos [1]

Core Viewpoint - First Solar Inc. (FSLR) has shown strong stock performance, gaining 29.4% over the past three months, outperforming both the solar industry and broader market indices [1][9]. Company Performance - FSLR's stock performance is attributed to aggressive expansion plans, including the start of operations at its fourth U.S. manufacturing facility in Q2 2025 [4]. - The company plans to add approximately four gigawatts (GW) of new capacity, aiming for an annual manufacturing capacity exceeding 25 GW by the end of 2026 [5]. - FSLR has entered contracts for the future sale of 66.1 GW of solar modules, valued at $19.8 billion, expected to contribute to revenue through 2030 [10]. Market Outlook - The growth prospects for FSLR are supported by ongoing capacity expansion and a strong demand outlook for solar energy [7]. - The Zacks Consensus Estimate for FSLR's long-term earnings growth rate is 34.5%, surpassing the industry's growth rate of 23.1% [11]. Financial Estimates - The Zacks Consensus Estimate indicates revenue growth of 18.2% and 18.3% for 2025 and 2026, respectively [15]. - Current estimates for FSLR's 2025 and 2026 revenues are $4.97 billion and $5.88 billion, respectively [16]. Valuation Metrics - FSLR shares are trading at a premium, with a forward Price/Sales (P/S F12M) ratio of 3.16, compared to the industry average of 1.27 [18]. - Competitors Canadian Solar (CSIQ) and SolarEdge Technologies (SEDG) are trading at lower P/S ratios of 0.13 and 1.30, respectively [19].

Core Viewpoint - The "One Big Beautiful Bill" (OBBB) introduced by President Trump is significantly impacting the U.S. renewable energy sector, shifting market expectations and prompting analysts to downgrade several solar companies while creating "winners" and "losers" in the industry [1] Winners and Losers - Companies favored under the new policy include First Solar (FSLR.US), Bloom Energy (BE.US), and Sunrun (RUN.US), which are expected to benefit from expanded subsidy policies and favorable technology licensing [2] - Conversely, Fluence Energy (FLNC.US), Nextracker (NXT.US), Shoals Technologies (SHLS.US), and Enlight Renewable Energy (ENLT.US) face greater policy resistance and market saturation risks, leading to rating downgrades for these firms [2] Utility Solar Outlook - The outlook for utility-scale solar projects appears bleak, as the bill accelerates the expiration of tax incentives for solar and wind energy, with potential construction deadlines and grid access bottlenecks limiting project deployment [3] - Nextracker and Shoals have had their ratings downgraded from "outperform" to "neutral," with Nextracker's target price reduced by 3% to $65 [3] Manufacturing and Storage Boost - Domestic clean energy manufacturers are expected to be the biggest beneficiaries of the OBBB, with the 45X manufacturing tax credit retained and restrictions placed on foreign entities from receiving subsidies [4] - Target prices for Canadian Solar (CSIQ.US) and First Solar have been adjusted upward, reflecting their eligibility for subsidies due to U.S. manufacturing [4] Fuel Cells and Nuclear Energy Favor - The bill reinstates a 30% investment tax credit for natural gas fuel cells, benefiting companies like Bloom Energy, which sees its target price raised by 19% to $31 [5] - New nuclear technologies also receive extended tax credit support until 2033, positioning the nuclear sector as a long-term winner under the OBBB [5] Broad Impact on Clean Energy Technology - While the OBBB retains manufacturing subsidies and storage incentives, the accelerated exit of solar and wind support policies may lead to a short-term demand surge followed by uncertainty [7] - The bill significantly restricts opportunities for Chinese companies to receive U.S. clean energy subsidies, posing challenges for firms reliant on Chinese manufacturing for batteries or solar panels [7]

Company Performance - First Solar's stock closed at $162.44, down 1.61%, which is less than the S&P 500's daily loss of 0.33% [1] - Over the past month, First Solar's stock has decreased by 1.63%, underperforming the Oils-Energy sector's gain of 4.04% and the S&P 500's gain of 4.07% [1] Upcoming Earnings - First Solar is projected to report earnings of $2.65 per share, reflecting a year-over-year decline of 18.46% [2] - The consensus estimate for revenue is $1.02 billion, indicating a 1.18% increase compared to the same quarter last year [2] Fiscal Year Projections - For the entire fiscal year, earnings are projected at $14.73 per share and revenue at $4.97 billion, representing increases of +22.55% and +18.2% from the prior year, respectively [3] - Recent changes to analyst estimates for First Solar indicate a positive outlook, with revisions reflecting optimism about the business and profitability [3] Valuation Metrics - First Solar has a Forward P/E ratio of 11.21, which is a discount compared to the industry average Forward P/E of 16.34 [6] - The company has a PEG ratio of 0.33, while the average PEG ratio for the Solar industry is 0.61 [6] Industry Context - The Solar industry is part of the Oils-Energy sector and currently holds a Zacks Industry Rank of 67, placing it in the top 28% of over 250 industries [7] - The Zacks Industry Rank assesses the strength of industry groups, with top-rated industries outperforming lower-rated ones by a factor of 2 to 1 [7]

Core Insights - First Solar, Inc. (NASDAQ: FSLR) has experienced significant stock volatility due to changing policy decisions regarding IRA tax credits, with an initial rally of over 50% from April lows followed by a subsequent drop of 25% [1] Company Summary - The stock of First Solar saw a dramatic increase of more than 50% from its lows in April, indicating strong market interest or positive sentiment [1] - Following the initial rally, the stock faced a decline of 25%, suggesting potential market corrections or reactions to policy changes [1] Industry Context - The fluctuations in First Solar's stock price are closely tied to the evolving landscape of tax credits under the IRA, highlighting the impact of government policy on renewable energy companies [1]

Core Insights - The One Big Beautiful Bill (OBBB) Act has been enacted, introducing new rules that may weaken the U.S. clean energy sector, particularly solar power, by eliminating several incentives [1][2] - Despite the negative impact on solar companies, the Senate version of the bill has softened some provisions, suggesting that the industry may not face as dire a situation as previously feared [2][3] Summary of Key Provisions - The OBBB Act cancels the 30% tax credit for residential solar systems, which will expire on December 31 of this year, significantly ahead of schedule [4] - Utility and commercial projects will see a phase-out of the 30% tax credit after 2027, with projects started after 2029 losing the credit entirely, although projects initiated within 12 months of the bill's passage are exempt [4] - The act has removed an excise tax on imported solar modules and eased timelines for commercial projects, which may provide some relief to the solar sector [3] Company-Specific Insights - **NextEra Energy**: - One of the largest diversified clean energy companies in the U.S., with 33,000 megawatts of operating energy in 2023 [5] - The stock trades at a P/E ratio of 27.5, slightly below its 10-year average, with projected EPS growth of 26% in 2024 and 7.2% in 2025 [6][7] - **First Solar**: - Focuses on domestic manufacturing of solar modules, which may provide a competitive edge under the new regulations [9] - The Royal Bank of Canada has increased its price target for First Solar from $188 to $200, with an average analyst price target of $228.69, indicating significant upside potential [10] - **Nextracker**: - Sold nearly $3 billion worth of solar trackers in the last year, primarily used in large utility-scale projects, which may shield it from the impacts of tax credit phase-outs [11] - The stock trades at a P/E ratio of 19, with a net profit margin of 17.21% and a quarterly revenue increase of 15% year-over-year [12]