Kaufman Bros. Cuts Price Target on First Solar (FSLR), Long Term Still a Winner
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Price: $175.04 +0.43%
Rating Summary:
32 Buy, 16 Hold, 2 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 11 | Down: 18 | New: 17
Rating Summary:
32 Buy, 16 Hold, 2 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 11 | Down: 18 | New: 17
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Kaufman Bros. is reaffirming its Hold rating on shares of First Solar (NASDAQ: FSLR) while slashing its price target from $50 to $35.
The company cut its FY11 sales guidance from $3.0-$3.3 billion to $2.8-$2.9 billion. Management also released FY12 guidance which calls for $3.7-$4.0 billion in total sales and earnings of $3.75-$4.25 per share, well below the consensus of $4.2 billion and $7.42. The poor outlook reflects the weak demand and pricing power within the solar industry.
The firm anticipates FSLR will be able to place its modules into its projects because it has the lowest costs in the industry.
To reflect the company's new outlook, Kaufman cut its revenue forecast from
$3.22 billion to $2.87 billion and its earnings projection from $6.72. to $5.81 for FY11. For FY12, the firm's sales forecast go from $4.2 billion to $3.8 billion and its EPS estimate goes from $8.03 to $4.20.
An analyst at Kaufman comments, "That said, we continue to remain confident that the company will be a long-term winner in the solar space."
For an analyst ratings summary and ratings history on First Solar click here. For more ratings news on First Solar click here.
Shares of First Solar closed at $42.57 yesterday.
The company cut its FY11 sales guidance from $3.0-$3.3 billion to $2.8-$2.9 billion. Management also released FY12 guidance which calls for $3.7-$4.0 billion in total sales and earnings of $3.75-$4.25 per share, well below the consensus of $4.2 billion and $7.42. The poor outlook reflects the weak demand and pricing power within the solar industry.
The firm anticipates FSLR will be able to place its modules into its projects because it has the lowest costs in the industry.
To reflect the company's new outlook, Kaufman cut its revenue forecast from
$3.22 billion to $2.87 billion and its earnings projection from $6.72. to $5.81 for FY11. For FY12, the firm's sales forecast go from $4.2 billion to $3.8 billion and its EPS estimate goes from $8.03 to $4.20.
An analyst at Kaufman comments, "That said, we continue to remain confident that the company will be a long-term winner in the solar space."
For an analyst ratings summary and ratings history on First Solar click here. For more ratings news on First Solar click here.
Shares of First Solar closed at $42.57 yesterday.
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