At Extreme Investor Network, we pride ourselves on delivering valuable and unique insights into the world of investing. Today, we bring you an analysis of First Solar, a company that has seen an impressive 80% rally in the past two months, with even more room to grow according to Goldman Sachs.
Goldman recently raised its stock price target for First Solar by nearly $31 to $302 per share, indicating an 11% upside from the current price. This bullish sentiment is supported by several factors, including tailwinds from tariffs and increasing demand from data centers.
One key factor driving First Solar’s growth is the imposition of tariffs on foreign competitors, making it easier for the company to raise prices due to reduced cheap imports. Additionally, the Biden administration’s decision to increase tariffs on imported solar modules from China further supports First Solar’s position in the market.
Moreover, the rising demand for renewable energy to power data centers and artificial intelligence technologies presents a significant opportunity for First Solar. As tech companies like Amazon and Microsoft continue to invest billions in data centers, the demand for renewable energy sources is expected to double by 2030, providing a lucrative market for First Solar as the largest domestic panel manufacturer.
While First Solar has not confirmed any plans to expand its manufacturing capacity, Goldman Sachs believes that adding a new plant could result in a 20% increase in earnings per share by 2027.
With all these factors in play, it’s clear that First Solar is a company with immense growth potential. Stay informed with Extreme Investor Network for more in-depth analysis and investment opportunities in the ever-evolving world of finance.