First Solar (FSLR)
Information Technology · $20.6B market cap · SEC CIK 0001274494
ahead of 65% of the S&P 500 · #30 of 73 in Information Technology
Next reports on Feb 22, 2027, after the close, with analysts expecting $5.18 in earnings per share.
52-week range $165.86 to $320.95. 44% below its 52-week high and 9% above its low.
The case for FSLR
- Cheap for its growth: 11.1× earnings, where 15% a year of growth would justify about 30×.
- Generated $1.2B of free cash flow in FY2025, 23% of revenue.
- 37% of revenue drops through to net profit.
- Holds more cash ($2.8B) than long-term debt ($283M).
- Earnings per share up 32.7%.
- Has compounded revenue at 14.0% a year over five years.
The case against
- Down 28.4% over the past year.
- Revenue was flat on the year (−0.7%).
- Near the bottom of its 52-week range, 44% below the high. Falling prices usually have a reason; find it first.
- Swings harder than the market (beta 1.80).
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Information Technology companies (momentum is judged against fixed thresholds only), and the five are blended by weight. The score is where that blend places it in the S&P 500. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings and cash, against the growth you get | 87 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 60 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 65 |
| Momentumhow the price has behaved lately | 15 |
| Stabilityhow violently it moves, what it owes and what it pays you | 67 |
- Each factor except momentum is half fixed thresholds, half rank among the 73 Information Technology companies.
The financials
Revenue growth
Is the business growing? No, flat
| Last 12 months | −0.7% |
|---|---|
| Over 5 years | +14.0% a year |
| FY2025 revenue | $5.2B (+24%) |
Free cash flow
Is it generating real cash? Yes, plenty
| FY2025 free cash flow | $1.2B |
|---|---|
| Of revenue | 23% |
| Of profit | 78% |
Profit margins
Is profitability improving? Yes, improving
| Gross margin | 49% |
|---|---|
| Operating margin | 38% |
| Net margin, FY24 → FY25 → now | 30.7% → 29.3% → 37.1% |
Debt vs. cash
Is the balance sheet healthy? Yes, more cash than debt
| Cash | $2.8B |
|---|---|
| Long-term debt | $283M |
| Net cash | $2.5B |
| Years to repay | 0.1 yrs |
Valuation
Is the stock price reasonable? Yes, it looks cheap
| P/E | 11.1× |
|---|---|
| Fair P/E for its growth | 30× |
| P/FCF | 17.3× |
| Forward P/E | 7.9× |
| EV / EBITDA | 7.7× |
At 11.1× earnings it trades well below the 30× that 15% a year of growth would justify. At 17.3× free cash flow it trades well below that same mark.
The financials, five years deep
Pulled from First Solar's XBRL filings on SEC EDGAR. Italic rows are worked out from the others.
| FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | |
|---|---|---|---|---|---|
| Revenue growth | |||||
| Revenue | $5.2B | $4.2B | $3.3B | $2.6B | $2.9B |
| Change on the year | +24% | +27% | +27% | −10% | — |
| Free cash flow | |||||
| Free cash flow | $1.2B | −$308M | −$785M | −$30.2M | −$303M |
| Of revenue | 23% | −7% | −24% | −1% | −10% |
| Profit margins | |||||
| Gross margin | 40.6% | 44.2% | 39.2% | 2.7% | 25.0% |
| Operating margin | 30.6% | 33.2% | 25.8% | −1.0% | 20.1% |
| Net margin | 29.3% | 30.7% | 25.0% | −1.7% | 16.0% |
| Debt vs. cash | |||||
| Cash | $2.8B | $1.6B | $1.9B | $1.5B | $1.5B |
| Long-term debt | $283M | $373M | $464M | $184M | $236M |
| Net cash (debt) | $2.5B | $1.2B | $1.5B | $1.3B | $1.2B |
What First Solar says it does
Company Overview We are America’s leading PV solar technology and manufacturing company. The only U.S.-headquartered company among the world’s largest solar manufacturers, First Solar is focused on competitively and reliably enabling power generation needs with our advanced, uniquely American thin film PV technology. Developed at R&D labs in California and Ohio, our technology provides a competitive, high-performance, and responsibly produced alternative to conventional crystalline silicon PV solar modules. Our PV solar modules are produced using a fully integrated, continuous process that does not rely on Chinese crystalline silicon supply chains. We are the world’s largest thin film PV solar module manufacturer and the largest PV solar module manufacturer in the Western Hemisphere. In addressing the overall global demand for electricity, PV solar modules provide energy at a lower levelized cost of electricity (“LCOE”), meaning the…