First Solar Intrinsic Value Calculation – FIRST SOLAR Reports 30.6% Increase in Revenue for Q2 2023

☀️Earnings Overview

For the quarter ending June 30 2023, FIRST SOLAR ($NASDAQ:FSLR) reported a revenue increase of 30.6% to USD 810.7 million compared to the same period of the previous year. Net income for the quarter was USD 170.6 million, representing an increase from the 55.8 million seen in the second quarter of FY2022.

Analysis – First Solar Intrinsic Value Calculation

GoodWhale has conducted an analysis of FIRST SOLAR‘s financials and determined that the intrinsic value of FIRST SOLAR share is around $121.1, calculated by their proprietary Valuation Line. This is quite a difference when compared to the current stock market value of $198.8, which shows an overvaluation of 64.1%. This huge difference may be due to a variety of factors including market sentiment, investor expectations, and other non-financial influences. While these factors may cause a discrepancy in the intrinsic value and the current stock price, it is important to note that the intrinsic value of the share is a better indicator of the true worth of the company. More…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for First Solar. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for First Solar. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for First Solar. More…

Key Ratios Snapshot

Some of the financial key ratios for First Solar are shown below. More…

Peers

First Solar Inc is one of the world’s leading solar panel manufacturers. The company has a strong market presence in Asia, Europe, and the United States. First Solar’s main competitors are JA Solar Technology Co Ltd, Solar Philippines Nueva Ecija Corp, and Folkup Development Inc.

– JA Solar Technology Co Ltd ($SZSE:002459)

JinkoSolar Holding Co., Ltd. engages in the business of solar power products, services, and system solutions. It operates through the following segments: Module Products, Generating Systems, and Others. The Module Products segment designs, develops, manufactures, and sells solar modules. The Generating Systems segment provides solar generating systems that are connected to the power grid and generate electricity. The Others segment comprises of silicon wafers, solar cells, and other products. JinkoSolar was founded on September 28, 2006 and is headquartered in Shanghai, China.

– Solar Philippines Nueva Ecija Corp ($PSE:SPNEC)

Solar Philippines Nueva Ecija Corp is a solar power company that develops, builds, owns, and operates solar power plants in the Philippines. The company has a market capitalization of 11.9 billion as of 2022 and a return on equity of -3.62%. Solar Philippines Nueva Ecija Corp is engaged in the business of developing, constructing, owning, and operating solar power plants.

– Folkup Development Inc ($OTCPK:FLDI)

Folkup Development Inc has a market cap of 49M as of 2022, a Return on Equity of 40.0%. The company is engaged in the business of developing software applications. It has a strong focus on delivering high quality products and services to its clients. The company’s products are used by major corporations around the world. Folkup Development Inc has a strong reputation for delivering innovative and reliable software solutions.

Summary

Investors in First Solar, Inc. should be encouraged by the positive performance reported by the company for the second quarter of 2023. Total revenue increased by 30.6% to US$810.7 million compared to the same quarter of the previous year, with net income rising from US$55.8 million to US$170.6 million. This improvement in financial performance suggests that shareholders may be able to benefit from healthy dividend payments and share price growth in the near future as the company continues to benefit from strong demand for its solar products.