Down 11% In A Week, Could First Solar Stock Rebound Anytime Soon?

solar stock rebound prices
Gulf
  • Date: 07/22/2021
  • Source: Forbes
  • Sector: Oil & Gas
  • Country: Gulf

Down 11% In A Week, Could First Solar Stock Rebound Anytime Soon?

The stock price of First Solar reached a new multi-year high of $112 in January this year, before a recent sell-off, especially dropping 11% in the past week. Solar stocks have been on the rise with the broader market, helped by rising crude prices (which usually aids renewable energy stocks). However, crude oil prices lost around 5% this past week, and combined with an overall drop in the broader index, First Solar stock lost 11%. However, oil prices aside, First Solar's Q1 2021 earnings earlier this year saw a major improvement, as the new Series 6 cost-efficient panels which are cheaper to produce, have significantly helped margins. Despite revenue rising 1. 5x, total operating expenses in fact dropped by $5 million, leading to a $100 million jump in adjusted operating income. The Q2 2021 results at the end of this month will confirm whether this cost-efficiency cam be sustainable for the company. After a 11% fall in a week, will First Solar stock continue its downward trajectory over the coming weeks, or is a recovery in the stock imminent? According to the Trefis Machine Learning Engine, which identifies trends in the company's stock price using ten years of historical data,…