FIRST SOLAR INC (FSLR) Stock Fundamental Analysis
USA - NASDAQ:FSLR - US3364331070 - Common Stock
212.49 USD
+2.86 (+1.36%)
212.25 USD
-0.24 (-0.11%)
We assign a fundamental rating of 6 out of 10 to FSLR. FSLR was compared to 112 industry peers in the Semiconductors & Semiconductor Equipment industry. While FSLR has a great profitability rating, there are quite some concerns on its financial health. FSLR has both an excellent growth and valuation score. This means it is growing and it is still cheap. This is a rare combination!
1. Profitability
1.1 Basic Checks
In the past year FSLR was profitable.
FSLR had a positive operating cash flow in the past year.
FSLR had positive earnings in 4 of the past 5 years.
Each year in the past 5 years FSLR had a positive operating cash flow.
1.2 Ratios
FSLR's Return On Assets of 9.78% is amongst the best of the industry. FSLR outperforms 81.25% of its industry peers.
FSLR has a better Return On Equity (14.71%) than 80.36% of its industry peers.
The Return On Invested Capital of FSLR (10.34%) is better than 80.36% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.78% | ||
| ROE | 14.71% | ||
| ROIC | 10.34% |
ROA(3y)6.05%
ROA(5y)6.01%
ROE(3y)9.29%
ROE(5y)8.59%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of FSLR (28.95%) is better than 88.39% of its industry peers.
FSLR's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 31.35%, FSLR belongs to the top of the industry, outperforming 91.07% of the companies in the same industry.
In the last couple of years the Operating Margin of FSLR has grown nicely.
Looking at the Gross Margin, with a value of 42.76%, FSLR is in line with its industry, outperforming 46.43% of the companies in the same industry.
In the last couple of years the Gross Margin of FSLR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.35% | ||
| PM (TTM) | 28.95% | ||
| GM | 42.76% |
OM growth 3Y30.14%
OM growth 5Y38.22%
PM growth 3Y24.2%
PM growth 5YN/A
GM growth 3Y20.94%
GM growth 5Y19.76%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FSLR is destroying value.
The number of shares outstanding for FSLR remains at a similar level compared to 1 year ago.
Compared to 5 years ago, FSLR has more shares outstanding
FSLR has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.73 indicates that FSLR is not in any danger for bankruptcy at the moment.
FSLR has a Altman-Z score (4.73) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.09 indicates that FSLR is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.09, FSLR is in line with its industry, outperforming 55.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 4.73 |
ROIC/WACC0.91
WACC11.42%
2.3 Liquidity
A Current Ratio of 1.90 indicates that FSLR should not have too much problems paying its short term obligations.
FSLR has a worse Current ratio (1.90) than 74.11% of its industry peers.
FSLR has a Quick Ratio of 1.41. This is a normal value and indicates that FSLR is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.41, FSLR is not doing good in the industry: 76.79% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.9 | ||
| Quick Ratio | 1.41 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 8.30% over the past year.
FSLR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 52.90% yearly.
Looking at the last year, FSLR shows a quite strong growth in Revenue. The Revenue has grown by 15.39% in the last year.
FSLR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.55% yearly.
EPS 1Y (TTM)8.3%
EPS 3Y56.95%
EPS 5Y52.9%
EPS Q2Q%-2.15%
Revenue 1Y (TTM)15.39%
Revenue growth 3Y12.89%
Revenue growth 5Y6.55%
Sales Q2Q%8.58%
3.2 Future
Based on estimates for the next years, FSLR will show a very strong growth in Earnings Per Share. The EPS will grow by 21.64% on average per year.
FSLR is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.17% yearly.
EPS Next Y25.57%
EPS Next 2Y37.91%
EPS Next 3Y32.31%
EPS Next 5Y21.64%
Revenue Next Year26.05%
Revenue Next 2Y22.46%
Revenue Next 3Y18.96%
Revenue Next 5Y12.17%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
FSLR is valuated rather expensively with a Price/Earnings ratio of 17.52.
Compared to the rest of the industry, the Price/Earnings ratio of FSLR indicates a rather cheap valuation: FSLR is cheaper than 89.29% of the companies listed in the same industry.
FSLR's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.38.
Based on the Price/Forward Earnings ratio of 8.97, the valuation of FSLR can be described as reasonable.
FSLR's Price/Forward Earnings ratio is rather cheap when compared to the industry. FSLR is cheaper than 99.11% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.86, FSLR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.52 | ||
| Fwd PE | 8.97 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FSLR is valued cheaper than 85.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.02 |
4.3 Compensation for Growth
FSLR's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
FSLR has an outstanding profitability rating, which may justify a higher PE ratio.
FSLR's earnings are expected to grow with 32.31% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.69
PEG (5Y)0.33
EPS Next 2Y37.91%
EPS Next 3Y32.31%
5. Dividend
5.1 Amount
No dividends for FSLR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
212.49
+2.86 (+1.36%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners106.4%
Inst Owner Change3.84%
Ins Owners5.34%
Ins Owner Change-0.47%
Market Cap22.79B
Analysts81.7
Price Target222.49 (4.71%)
Short Float %9.49%
Short Ratio3.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.93%
Min EPS beat(2)-23.4%
Max EPS beat(2)17.54%
EPS beat(4)2
Avg EPS beat(4)-6.25%
Min EPS beat(4)-23.86%
Max EPS beat(4)17.54%
EPS beat(8)6
Avg EPS beat(8)2.86%
EPS beat(12)8
Avg EPS beat(12)1.19%
EPS beat(16)10
Avg EPS beat(16)-22.2%
Revenue beat(2)1
Avg Revenue beat(2)1.53%
Min Revenue beat(2)-1.34%
Max Revenue beat(2)4.39%
Revenue beat(4)2
Avg Revenue beat(4)-3.69%
Min Revenue beat(4)-19.01%
Max Revenue beat(4)4.39%
Revenue beat(8)4
Avg Revenue beat(8)-3.08%
Revenue beat(12)5
Avg Revenue beat(12)-4.82%
Revenue beat(16)6
Avg Revenue beat(16)-7.24%
PT rev (1m)4.26%
PT rev (3m)9.98%
EPS NQ rev (1m)0.1%
EPS NQ rev (3m)-1.91%
EPS NY rev (1m)0.21%
EPS NY rev (3m)2.26%
Revenue NQ rev (1m)0.13%
Revenue NQ rev (3m)11.94%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)4.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.52 | ||
| Fwd PE | 8.97 | ||
| P/S | 5.25 | ||
| P/FCF | N/A | ||
| P/OCF | 76.26 | ||
| P/B | 2.67 | ||
| P/tB | 2.69 | ||
| EV/EBITDA | 12.02 |
EPS(TTM)12.13
EY5.71%
EPS(NY)23.68
Fwd EY11.14%
FCF(TTM)-8.79
FCFYN/A
OCF(TTM)2.79
OCFY1.31%
SpS40.5
BVpS79.68
TBVpS78.91
PEG (NY)0.69
PEG (5Y)0.33
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.78% | ||
| ROE | 14.71% | ||
| ROCE | 13.61% | ||
| ROIC | 10.34% | ||
| ROICexc | 11.63% | ||
| ROICexgc | 11.74% | ||
| OM | 31.35% | ||
| PM (TTM) | 28.95% | ||
| GM | 42.76% | ||
| FCFM | N/A |
ROA(3y)6.05%
ROA(5y)6.01%
ROE(3y)9.29%
ROE(5y)8.59%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3Y23.05%
ROICexcg growth 5Y27.37%
ROICexc growth 3Y23.15%
ROICexc growth 5Y27.62%
OM growth 3Y30.14%
OM growth 5Y38.22%
PM growth 3Y24.2%
PM growth 5YN/A
GM growth 3Y20.94%
GM growth 5Y19.76%
F-Score3
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.41 | ||
| Cap/Depr | 255.41% | ||
| Cap/Sales | 28.58% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 16.17% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.9 | ||
| Quick Ratio | 1.41 | ||
| Altman-Z | 4.73 |
F-Score3
WACC11.42%
ROIC/WACC0.91
Cap/Depr(3y)381.88%
Cap/Depr(5y)306.48%
Cap/Sales(3y)37.52%
Cap/Sales(5y)29.28%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.3%
EPS 3Y56.95%
EPS 5Y52.9%
EPS Q2Q%-2.15%
EPS Next Y25.57%
EPS Next 2Y37.91%
EPS Next 3Y32.31%
EPS Next 5Y21.64%
Revenue 1Y (TTM)15.39%
Revenue growth 3Y12.89%
Revenue growth 5Y6.55%
Sales Q2Q%8.58%
Revenue Next Year26.05%
Revenue Next 2Y22.46%
Revenue Next 3Y18.96%
Revenue Next 5Y12.17%
EBIT growth 1Y6.46%
EBIT growth 3Y46.92%
EBIT growth 5Y47.27%
EBIT Next Year50.42%
EBIT Next 3Y37.57%
EBIT Next 5Y25.29%
FCF growth 1Y-87.04%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-62.64%
OCF growth 3Y72.43%
OCF growth 5Y47.54%