Axiom Capital Provides Color on First Solar, Sell

Axiom Capital provided color on First Solar FSLR as the company's awaits loans from the U.S. Department of Energy. In a research report published today, Axiom Capital states, "On May 10th, 2011 Jonathan Silver – the current head of the DoE – said, on his blog, that 2/3 of the $2.4B in appropriated funds had been distributed already under the 1705 projects, for loans having a total value of $11 billion. That implies that the average "credit cost" for the projects is around 15%; stated differently, this means the DoE could make another approximately $5.5B in loans, assuming the credit cost is roughly the same." At the moment, Axiom Capital has a Sell rating placed on the company's stock. On Tuesday, First Solar added 2.57% to its value to close the day at $119.30.