Analyzing First Solar (FSLR) & Its Competitors

First Solar (NASDAQ:FSLR) is one of 221 publicly-traded companies in the “Semiconductors & Semiconductor Equipment” industry, but how does it compare to its competitors? We will compare First Solar to related companies based on the strength of its profitability, analyst recommendations, dividends, earnings, valuation, institutional ownership and risk.

Institutional and Insider Ownership

92.1% of First Solar shares are owned by institutional investors. Comparatively, 54.6% of shares of all “Semiconductors & Semiconductor Equipment” companies are owned by institutional investors. 0.4% of First Solar shares are owned by company insiders. Comparatively, 11.9% of shares of all “Semiconductors & Semiconductor Equipment” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Risk & Volatility

First Solar has a beta of 1.73, indicating that its stock price is 73% more volatile than the S&P 500. Comparatively, First Solar’s competitors have a beta of 2.80, indicating that their average stock price is 180% more volatile than the S&P 500.

Profitability

This table compares First Solar and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Solar	37.12%	18.33%	13.77%
First Solar Competitors	-1,280.35%	-126.32%	-3.97%

Valuation and Earnings

This table compares First Solar and its competitors revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
First Solar	$5.22 billion	$1.53 billion	11.64
First Solar Competitors	$7.28 billion	$2.48 billion	8.24

First Solar’s competitors have higher revenue and earnings than First Solar. First Solar is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Analyst Ratings

This is a summary of recent ratings for First Solar and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Solar	2	9	24	3	2.74
First Solar Competitors	3497	12345	25773	996	2.57

First Solar currently has a consensus target price of $257.38, indicating a potential upside of 27.96%. As a group, “Semiconductors & Semiconductor Equipment” companies have a potential upside of 53.44%. Given First Solar’s competitors higher possible upside, analysts plainly believe First Solar has less favorable growth aspects than its competitors.

Summary

First Solar beats its competitors on 8 of the 13 factors compared.

About First Solar

First Solar, Inc., a solar technology company, provides photovoltaic (PV) solar energy solutions in the United States, France, Japan, Chile, and internationally. The company manufactures and sells PV solar modules with a thin film semiconductor technology that provides a lower-carbon alternative to conventional crystalline silicon PV solar modules. It designs, manufactures, and sells cadmium telluride solar modules that converts sunlight into electricity. The company's residual business operations include project development activities, operations and maintenance services, and the sale of PV solar power systems to third-party customers. It serves developers and operators of systems, utilities, independent power producers, commercial and industrial companies, and other system owners. The company was formerly known as First Solar Holdings, Inc. and changed its name to First Solar, Inc. in 2006. First Solar, Inc. was founded in 1999 and is headquartered in Tempe, Arizona.