First Solar Positioned For Favorable Pricing, Revenue Visibility And Significant Market Share Growth, Says Analyst

Oppenheimer analyst Colin Rusch reiterated an Outperform rating on First Solar, Inc. FSLR, raising the price target to $222 from $216.
The analyst believes First Solar is well-positioned to capture a significant share within the U.S. solar market with a significantly advantaged cost profile as it realizes operating leverage.
The analyst notes that the company has the potential to announce additional capacity that could drive accelerated growth through 2023.
Accordingly, the analyst adjusted First Solar's estimates for seasonality and modeled incremental earnings leverage.
With the backlog reaching 71.6 GW through 2029 and representing 40% of FY26-27 capacity, the company's future bookings would prioritize multiyear contracts and favorable pricing to maximize the value of current capacity plans. This will also improve revenue visibility.
The company is also expected to benefit from additional project wins in emerging geographies, notably India and the Middle East.
Based on the above, Colin raised EPS estimates for FY23 from $7.28 to $7.41. FY24 revenue estimate remains at $4.58 billion, while EPS goes to $12.36 from $11.99.
Price Action: FSLR shares are trading lower by 9.71% at $181.33 on the last check Friday.

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