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The Outperforming Solar Stock Overdue for Upgrades

FSLR stock has already added 90% year-to-date

Managing Editor
Dec 6, 2017 at 9:20 AM
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A little more than a month after delivering a a substantial third-quarter earnings beatFirst Solar, Inc. (NASDAQ:FSLR) issued its fiscal 2018 outlook yesterday, sending the shares up 6.9% to close at $61.21. Upbeat analysts are chiming in, with the solar energy solutions provider seeing a flurry of price-target hikes today.

Specifically, First Solar has received no fewer than four price-target hikes, including one to $77 from $60 at Cowen and Company. The new price target represents a 26% premium to yesterday's close yesterday, and sits in territory not charted since September 2011. As such, FSLR stock is up 1.7% in electronic trading.

The equity has already turned in an excellent 2017, tacking on 90.7% and touching an annual high of $63.10 on Nov. 27. FSLR shares have been guided higher by their rising 40-day moving average, a trendline that's caught a number of pullbacks since April.

Despite the equity's uptrend, some analysts remain unconvinced. Of the 15 brokerages covering FSLR, eight rate it a "hold" or "strong sell." Continued technical outperformance could have analysts re-evaluating their bearish outlooks.
 

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