First Solar (FSLR) Stock Keeps Falling — But Two Banks Just Raised Their Targets

TLDR

• Deutsche Bank upgraded First Solar (FSLR) to Buy from Hold, raising its price target to $272 from $245
• Analyst Corinne Blanchard cited a $2.1 billion net cash position and called the stock “fundamentally strong”
• FSLR fell 1.6% to $229.28 on Tuesday and is down over 12% in 2026
• A Section 232 ruling on foreign polysilicon imports — expected by early August — is seen as a near-term catalyst
• Wells Fargo also raised its price target to $320, keeping an Overweight rating, citing potential earnings upside from the tariff decision

First Solar stock slipped again on Tuesday, falling 1.6% to $229.28, even as Deutsche Bank upgraded the stock to Buy and raised its price target to $272 from $245.

First Solar, Inc., FSLR

Deutsche Bank analyst Corinne Blanchard called the company a “fundamentally strong” choice, pointing to its $2.1 billion in net cash as of Q2. She sees the current price as a buying opportunity for medium- to long-term investors.

FSLR has now fallen more than 12% in 2026, lagging the S&P 500, which is up 9.4% over the same period.

Blanchard acknowledged that enthusiasm from a clean-tech rally in May has faded. But she maintains the company’s underlying story hasn’t changed.

The stock sits well below its 52-week high of $320.95, but the path back could run through Washington.

Section 232 Decision Seen as the Key Catalyst

Blanchard expects the stock to get a lift once the federal government clarifies its Section 232 investigation into foreign polysilicon imports. That ruling, expected by early August, would allow management to make firm decisions on onshoring and offshoring operations — both of which have been on hold.

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The company is already moving equipment into the U.S. after deciding to onshore its finishing line last year. Blanchard expects an “acceleration of financial performance” in the coming months, with 2027 shaping up as a more normal business year.

First Solar is the only U.S.-based thin-film panel manufacturer. That gives it a unique position under Section 45X of the Internal Revenue Code, which offers stacked manufacturing tax credits for domestic solar production.

That domestic advantage has also drawn attention amid the Trump administration’s review of Chinese-made energy inverters on national security grounds. As a manufacturer with no reliance on Chinese technology, First Solar stands to benefit if domestic content rules tighten.

Wells Fargo Sets a $320 Target

Wells Fargo also weighed in, raising its price target to $320 from $255 while keeping an Overweight rating. The bank’s analyst cited “asymmetric upside” tied to the Section 232 ruling, arguing a favorable outcome could push U.S. solar module prices higher and drive meaningful earnings upside.

That note landed on a day when options activity in FSLR was flagged as unusually elevated at the open, suggesting some traders were positioning ahead of the upgrade.

The broader market helped set a constructive tone. The Nasdaq gained 1.1% and the S&P 500 rose 0.8% on the session when Wells Fargo published its note.

The solar sector overall has had a rough stretch. The Zacks Solar industry had dropped more than 23% in the month prior to the Wells Fargo note. FSLR’s analyst-driven bounce represented a real shift in sentiment for the group, at least for a day.

Wall Street’s overall view on the stock remains broadly positive. Of 37 firms tracked by FactSet, 23 rate it at Buy or Overweight, 11 at Hold, and two at Underweight. Only KeyBanc Capital Markets has a Sell rating.

Despite the upgrades, FSLR has fallen by double digits since early June. The next big move is likely tied to when — and how — the polysilicon tariff decision lands.