Expectations for First Solar had surged since the fourth quarter earnings report, according to Estimize, which pegged the EPS estimate increase at 63% just before tonight’s print. The firm said revenue estimates climbed 5% between the fourth quarter release and tonight’s report, so tonight’s disappointment comes as quite a shock to the market. The energy giant surpassed consensus revenue estimates in 4QFY15 after posting revenues of $942.32 million against expectations of $929 million.
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The increase in Desert Stateline revenue in the first quarter resulted from an amendment to the original sale agreement with Southern Company to include an additional 15% interest in the project. Revenue guidance was unchanged at $3.8 billion to $4.0 billion, also straddling forecasts for $3.95 billion.
The Tempe, Ariz., company raised the low end of its profit projections for the year, saying it now expects to make $4.10 cents to $4.50 cents a share, compared with its earlier view of $4 to $4.50 a share. Cash flows from operations were $50 million in the first quarter.
The stock increased 1.29% or $0.79 during the last trading session, hitting $62.03.
Many Wall Street Analysts have commented on First Solar. FSLR was down 5% in recent after-hours, moving closer to the midpoint of the 52-week range of $40.25 to $74.29.
First-quarter profit per share was $1.66 compared to a loss of $0.61, prior year.
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Recently, TheStreet Ratings objectively rated this stock according to its “risk-adjusted” total return prospect over a 12-month investment horizon. The Company operates through two segments: components and systems. The Components segment designs, manufactures and sells solar modules primarily to solar project developers and system integrators. It also develops sites for building solar power systems using solar modules and provides a complete solar power system solution, which includes project development, engineering, procurement and construction services, operating and maintenance services.
