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First Solar (FSLR) Stock Moves -0.3%: What You Should Know

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First Solar (FSLR - Free Report) closed the most recent trading day at $214.76, moving -0.3% from the previous trading session. This change traded in line with S&P 500. Elsewhere, the Dow lost 0.54%, while the tech-heavy Nasdaq added 0.25%.

The the stock of largest U.S. solar company has risen by 3.18% in the past month, leading the Oils-Energy sector's of 0% and undershooting the S&P 500's gain of 3.42%.

The investment community will be paying close attention to the earnings performance of First Solar in its upcoming release. The company is forecasted to report an EPS of $3.32, showcasing a 32.8% upward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $1.14 billion, indicating a 42.18% increase compared to the same quarter of the previous year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $13.63 per share and revenue of $4.49 billion, which would represent changes of +76.1% and +35.42%, respectively, from the prior year.

It's also important for investors to be aware of any recent modifications to analyst estimates for First Solar. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.5% upward. First Solar is currently sporting a Zacks Rank of #3 (Hold).

In terms of valuation, First Solar is currently trading at a Forward P/E ratio of 15.81. This indicates a premium in contrast to its industry's Forward P/E of 13.76.

Investors should also note that FSLR has a PEG ratio of 0.36 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Solar stocks are, on average, holding a PEG ratio of 1.86 based on yesterday's closing prices.

The Solar industry is part of the Oils-Energy sector. With its current Zacks Industry Rank of 163, this industry ranks in the bottom 36% of all industries, numbering over 250.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.


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