NEW YORK, Jan 31, 2026, 19:51 EST — Market closed
- First Solar bounced back Friday, closing up 0.7% at $225.52 following a steep drop the previous day.
- Wall Street remains divided over whether Tesla’s move into solar manufacturing alters the short-term outlook for U.S. module makers.
- Mark your calendar: First Solar will release its quarterly results and 2026 outlook on Feb. 24.
First Solar (FSLR.O) shares ended Friday up 0.7%, settling at $225.52 after fluctuating between $217 and $232.55. Roughly 2.8 million shares traded as investors grappled with the ongoing debate about expanding U.S. solar manufacturing capacity.
The back-and-forth carries weight since First Solar’s valuation hinges on U.S. demand for homegrown solar modules. Any hint of a new competitor sends the stock into motion. Traders aren’t dismissing it as mere noise.
U.S. markets are closed for the weekend, shifting attention to Monday: fresh analyst calls, any new details from Tesla, and if Friday’s rebound sticks or fades amid light early-week trading.
Mizuho called the competitive worries “overdone,” highlighting the significant time and expense needed to build out a fully U.S.-based solar supply chain. The firm noted that the economics might push costs above First Solar’s average selling price — the typical price per module it earns — and pointed to a multi-year buildup for crucial upstream components. TipRanks
Wells Fargo echoed the sentiment, noting Tesla’s plan to add 100 gigawatts (GW) of U.S. solar capacity sparked a wider selloff but likely won’t hit First Solar hard, thanks to its strong cost position and pricing power. The bank singled out Canadian Solar as more vulnerable and maintained an “Overweight” rating on First Solar. TipRanks
Earlier this week, BMO Capital Markets took a more cautious stance on First Solar, downgrading the stock to “Market Perform” and lowering its price target to $263 from $285. The move reflects worries that increased domestic solar manufacturing might drag down module prices and hurt investor sentiment. GuruFocus
Tesla CEO Elon Musk intensified the debate during the company’s earnings call, stating they aim to “work toward getting 100 gigawatts a year of solar cell production.” He also emphasized that “The solar opportunity is underestimated.” Stocktwits
First Solar investors face a risk if the story shifts from talk to actual timelines and ground-breaking. Should Tesla—or any competitor—present a solid schedule and funding plan, First Solar’s stock might drop again before a single panel rolls off their lines. A disappointing outlook on pricing or demand would only deepen the pressure.
First Solar has locked in its Q4 and full-year 2025 results release for Feb. 24, right after the market closes. The company will also provide its 2026 guidance then, followed by a conference call at 4:30 p.m. ET.
