First Solar (FSLR) Stock Forecast & Price Target

First Solar is experiencing a positive outlook due to its enhanced earnings potential, particularly projected for 2026-2028, which is bolstered by the favorable impacts of the Inflation Reduction Act. The company's valuation adjustments have led to a revised price target of $287, significantly higher than the previous target of $202, indicating confidence in its financial trajectory. As the largest thin-film solar module manufacturer globally, First Solar's strategic positioning and production capabilities across multiple countries further strengthen its growth prospects in the renewable energy sector.

The analysis highlights significant investment risks associated with First Solar, particularly due to the volatility in the global solar market driven by Chinese manufacturers, which may lead to fluctuations in average selling prices (ASPs). Additionally, the company's operations could face disruptions from a lack of availability of highly trained technical personnel, which is critical for maintaining its production quality and efficiency. Lastly, while there has been some improvement in policy visibility following recent legislation, the reliance on these external factors underscores the precarious nature of First Solar's business stability and growth prospects.