First Solar stock (US35905A1097): Shares surge 6.1% on strong Q1 performance and valuation opportunity

First Solar Inc shares climbed 6.1% to $233.27 on May 11, 2026, extending a broader recovery that has lifted the stock 10.3% over the past week, according to GuruFocus as of May 11, 2026. The move reflects investor confidence in the company's operational momentum and valuation positioning in the renewable energy equipment sector.

In the first quarter of 2026, First Solar reported sales of $1,044.24 million and net income of $346.62 million, with basic earnings per share from continuing operations, according to Robinhood as of May 12, 2026. The company's market capitalization stands at approximately $25.09 billion, with a price-to-earnings ratio of 15.07, positioning it competitively within the renewable energy equipment and services industry.

As of: May 12, 2026

By the editorial team – specialized in equity coverage.

First Solar Inc: core business model

First Solar manufactures and sells photovoltaic (PV) solar modules and provides integrated photovoltaic systems for utility-scale solar power plants. The company operates across multiple geographic markets, with a focus on utility-scale solar installations that serve the growing demand for renewable energy infrastructure. As a leading player in the solar equipment sector, First Solar benefits from the structural shift toward clean energy adoption in the United States and globally, driven by regulatory incentives, corporate sustainability commitments, and declining costs of solar technology.

Main revenue and product drivers for First Solar

The company's primary revenue streams come from the sale of thin-film cadmium telluride (CdTe) solar modules and the delivery of complete photovoltaic systems to utility and commercial customers. Q1 2026 results demonstrate strong operational execution, with sales of $1,044.24 million and net income of $346.62 million, reflecting healthy margins and demand for solar infrastructure. The renewable energy equipment sector remains a key beneficiary of the energy transition, with First Solar positioned to capture growth from both domestic and international solar deployment trends.

Valuation and market positioning

At $233.27 per share on May 11, 2026, First Solar trades at a 13.2% discount to its estimated intrinsic value of $268.80, according to GuruFocus valuation analysis as of May 11, 2026. The company's GF Score of 91 out of 100 indicates strong financial health, growth prospects, and overall performance metrics. With a P/E ratio of 15.07, the stock appears reasonably valued relative to its earnings generation and sector peers, offering a potential margin of safety for long-term investors.

Why First Solar matters for US investors

First Solar is a major player in the U.S. renewable energy equipment market, benefiting from federal incentives, state-level renewable energy mandates, and the broader energy transition. As a Nasdaq-listed company with significant exposure to domestic solar deployment, First Solar offers U.S. investors direct participation in the clean energy sector. The company's strong Q1 2026 results and valuation discount suggest potential upside for investors seeking exposure to renewable energy infrastructure growth.

Conclusion

First Solar's 6.1% share price gain on May 11, 2026, reflects positive sentiment around the company's operational performance and financial positioning. With Q1 2026 sales of $1,044.24 million, net income of $346.62 million, and a GF Score of 91, the company demonstrates solid execution in a growing sector. Trading at a 13.2% discount to intrinsic value with a reasonable P/E ratio of 15.07, First Solar presents a balanced risk-reward profile for investors interested in renewable energy equipment exposure. The stock's recent momentum and valuation metrics warrant attention from those tracking the solar and clean energy sectors.

Disclaimer: This article does not constitute investment advice. Stocks are volatile financial instruments.