Susquehanna cuts First Solar stock price target on lower guidance

Susquehanna has lowered its price target on First Solar stock from $270 to $246, maintaining a Positive rating. The current trading price of First Solar is $173.39, close to its 52-week low of $165.86. In the third quarter of 2026, the company reported revenue slightly below estimates but exceeded earnings per share expectations.

First Solar announced a 6% reduction in fiscal 2026 guidance for deliveries and a cut of approximately $50 million in EBITDA guidance. Since the latest earnings call, the company has secured 1.4 gigawatts of U.S. orders at an average selling price of $0.36 per watt, with most orders finalized before the August Section 232 announcement.

First Solar's management noted that bookings have slowed in terms of volume as customers navigate price discovery post-Section 232. They are also increasingly opting for project-specific contracting over multi-year framework agreements, which has led to reduced long-term bookings. Despite these near-term challenges, an InvestingPro analysis indicates that First Solar is currently undervalued, trading at a P/E ratio of 10.92.