First Solar’s Shining Stock May Dim
Solar stocks have soared this year on optimism about the impacts of government subsidies for clean energy and expectations for lower interest rates ahead. The
Invesco Solar ETF
(TAN) is up 15% since the start of the year. Among the biggest winners is Arizona-based First Solar (FSLR), the country’s biggest manufacturer of solar modules. The stock has soared 126% in the past year, and 18% just since the start of 2023.
But Bank of America analyst Julien Dumoulin-Smith thinks the stock now has less room to grow. He downgraded First Solar to a Neutral rating with a $195 price target. Shares were down 3% on Thursday to $174.70. Barron’s picked First Solar as one of the big winners in the rise of U.S. renewables in a November story.