News Image

NASDAQ:FSLR is showing decent growth, but is still valued reasonably.

By Mill Chart

Last update: Mar 26, 2024

Our stock screener has spotted FIRST SOLAR INC (NASDAQ:FSLR) as a growth stock which is not overvalued. NASDAQ:FSLR is scoring great on several growth aspects while it also shows decent health and profitability. At the same time it remains remains attractively priced. We'll dive into each aspect below.

Exploring NASDAQ:FSLR's Growth

ChartMill assigns a proprietary Growth Rating to each stock. The score is computed by evaluating various growth aspects, like EPS and revenue growth. We take into account the history as well as the estimated future numbers. NASDAQ:FSLR was assigned a score of 8 for growth:

  • FSLR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 677.61%, which is quite impressive.
  • FSLR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 41.80% yearly.
  • The Revenue has grown by 26.70% in the past year. This is a very strong growth!
  • Measured over the past years, FSLR shows a quite strong growth in Revenue. The Revenue has been growing by 8.14% on average per year.
  • FSLR is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 38.26% yearly.
  • Based on estimates for the next years, FSLR will show a quite strong growth in Revenue. The Revenue will grow by 16.62% on average per year.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

Deciphering NASDAQ:FSLR's Valuation Rating

ChartMill employs its own Valuation Rating system for all stocks. This score, ranging from 0 to 10, is determined by evaluating different valuation factors, including price to earnings and free cash flow, both in absolute terms and relative to the market and industry. NASDAQ:FSLR has earned a 6 for valuation:

  • Compared to the rest of the industry, the Price/Earnings ratio of FSLR indicates a somewhat cheap valuation: FSLR is cheaper than 75.47% of the companies listed in the same industry.
  • When comparing the Price/Earnings ratio of FSLR to the average of the S&P500 Index (26.09), we can say FSLR is valued slightly cheaper.
  • FSLR is valuated reasonably with a Price/Forward Earnings ratio of 11.20.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of FSLR indicates a rather cheap valuation: FSLR is cheaper than 96.23% of the companies listed in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 22.45, FSLR is valued rather cheaply.
  • Based on the Enterprise Value to EBITDA ratio, FSLR is valued cheaply inside the industry as 83.96% of the companies are valued more expensively.
  • FSLR's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • FSLR has a very decent profitability rating, which may justify a higher PE ratio.
  • FSLR's earnings are expected to grow with 58.39% in the coming years. This may justify a more expensive valuation.

Assessing Health Metrics for NASDAQ:FSLR

ChartMill assigns a Health Rating to every stock. This score ranges from 0 to 10 and evaluates the different health aspects like liquidity and solvency, both absolutely, but also relative to the industry peers. NASDAQ:FSLR scores a 5 out of 10:

  • FSLR has an Altman-Z score of 4.22. This indicates that FSLR is financially healthy and has little risk of bankruptcy at the moment.
  • FSLR has a Debt/Equity ratio of 0.07. This is a healthy value indicating a solid balance between debt and equity.
  • With a decent Debt to Equity ratio value of 0.07, FSLR is doing good in the industry, outperforming 60.38% of the companies in the same industry.
  • FSLR has a Current Ratio of 3.55. This indicates that FSLR is financially healthy and has no problem in meeting its short term obligations.
  • A Quick Ratio of 2.92 indicates that FSLR has no problem at all paying its short term obligations.
  • Looking at the Quick ratio, with a value of 2.92, FSLR is in the better half of the industry, outperforming 61.32% of the companies in the same industry.

Exploring NASDAQ:FSLR's Profitability

ChartMill employs its own Profitability Rating system for stock evaluation. This score, ranging from 0 to 10, is derived from an analysis of diverse profitability metrics and margins. In the case of NASDAQ:FSLR, the assigned 6 is noteworthy for profitability:

  • FSLR's Return On Assets of 8.02% is fine compared to the rest of the industry. FSLR outperforms 67.92% of its industry peers.
  • Looking at the Return On Equity, with a value of 12.42%, FSLR is in the better half of the industry, outperforming 66.04% of the companies in the same industry.
  • Looking at the Return On Invested Capital, with a value of 7.73%, FSLR is in the better half of the industry, outperforming 66.04% of the companies in the same industry.
  • FSLR has a better Profit Margin (25.04%) than 83.96% of its industry peers.
  • In the last couple of years the Profit Margin of FSLR has grown nicely.
  • The Operating Margin of FSLR (26.70%) is better than 83.02% of its industry peers.
  • FSLR's Operating Margin has improved in the last couple of years.
  • FSLR's Gross Margin has improved in the last couple of years.

Our Affordable Growth screener lists more Affordable Growth stocks and is updated daily.

For an up to date full fundamental analysis you can check the fundamental report of FSLR

Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.

Back

FIRST SOLAR INC

NASDAQ:FSLR (5/24/2024, 7:00:00 PM)

After market: 277.01 +0.27 (+0.1%)

276.74

+26.93 (+10.78%)

FSLR News

News Image2 days ago - InvestorPlace3 Solar Stocks to Buy Now: May 2024

Solar stocks look promising due to favorable tax credits and political backdrop. Here are three solar companies to jump on those drivers!

News Image2 days ago - BusinessInsider3 Solar Stocks to Buy Now: May 2024

InvestorPlace - Stock Market News, Stock Advice & Trading Tips The world is shifting to a more environmentally friendly approach, with people ...

News Image2 days ago - The Motley FoolWhy First Solar Stock Skyrocketed This Week

Analysts and investors are warming up to First Solar stock.

News Image2 days ago - Yahoo FinanceWhy First Solar Stock Skyrocketed This Week

Analysts and investors are warming up to First Solar stock.

News Image2 days ago - ChartmillFriday's session: top gainers and losers in the S&P500 index

Curious about the top performers within the S&P500 index one hour before the close of the markets on Friday? Dive into the list of today's session's top gainers and losers for a comprehensive overview.

News Image3 days ago - ChartmillGet insights into the S&P500 index performance on Friday. Explore the top gainers and losers within the S&P500 index in today's session.

Let's delve into the developments on the US markets in the middle of the day on Friday. Below, you'll find the top gainers and losers within the S&P500 index during today's session.

News Image3 days ago - InvestorPlace3 Stocks to Watch in the Face of Biden’s China Tariffs

When it comes to the Biden China tariffs, some stocks will win, some will lose and others will benefit more strongly from other factors.

News Image3 days ago - Market News VideoNotable Thursday Option Activity: NVDA, BA, FSLR
News Image4 days ago - ChartmillUnusual volume S&P500 stocks in Thursday's session

Let's have a look at what is happening on the US markets on Thursday. Below you can find the S&P500 stocks with an unusual volume in today's session.

News Image4 days ago - ChartmillCurious about the S&P500 stocks that are gapping on Thursday? Explore the gap up and gap down stocks in the S&P500 index during today's session.

Wondering what's happening in today's session regarding gap up and gap down stocks? Explore the S&P500 index on Thursday to uncover the stocks that are gapping in the S&P500 index.

News Image4 days ago - Market News VideoS&P 500 Movers: FSLR, NVDA
News Image4 days ago - The Motley FoolWhy Solar Stocks First Solar, SunPower, and Sunnova Rocketed Higher Today

An analyst upgrade of First Solar and increasing awareness that renewable electricity stocks may be "stealth" AI plays propelled the sector higher.

FSLR Links
Follow us for more