What happened?
Shares of solar panel maker First Solar (NASDAQ:FSLR) fell 8.5% in the morning session after Jefferies analyst Dushyant Ailani cut the stock’s price target to $266 from $271 and expects the stock to underperform during third-quarter earnings season performance, given the lower volumes. . He also raised concerns about large-scale solar projects due to “long lines for interconnection, supply chain and labor shortages.”
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What the market tells us
First Solar shares are highly volatile, having seen 24 moves of more than 5% in the past year. In that context, today’s move indicates that the market sees this news as meaningful, but not as something that would fundamentally change its perception of the company.
First Solar is up 20.2% year-to-date, but at $207.30 per share it is still trading 31.1% below its 52-week high of $300.71 set in June 2024. Five-year investors bought $1,000 worth of First Solar stock ago, would now be looking at an investment worth $3,661.
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