10 Stocks Analysts Are Upgrading Today

6. First Solar, Inc. (NASDAQ:FSLR)

Stock Upgrade: Peer Perform to Outperform

Stock Price Target: $221

Stock Upside Potential as of May 13: 15.70%

First Solar, Inc. (NASDAQ:FSLR) is a solar technology company providing photovoltaic (PV) solar energy solutions. It 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. The company’s outlook received a significant boost after an early draft of the Republican tax and spending bill turned out not to be as bad for renewable energy as initially feared.

Likewise, Wolfe Research upgraded First Solar, Inc. (NASDAQ:FSLR) to ‘Outperform’ from ‘Peer Perform’ and set a new price target of $221. The upgrade comes amid growing confidence that First Solar will be one of the beneficiaries of the Inflation Reduction Act and anti-China sentiment. A confirmation that the 45X tax credit for renewables is unlikely to be repeated also bolstered the company’s outlook.

In a research note to investors, Wolfe Research pointed out that the political climate and legislative actions are increasingly creating a favorable environment for First Solar, Inc. (NASDAQ:FSLR) and other renewable energy companies.

“We’re upgrading FSLR on better clarity on 45X credits for the first time since election year politics started in early 2024. We have been wary of IRA risks for 18 months on FSLR and view the House Ways & Means slight shortening of 45X credits as a relief,” Wolfe analysts wrote in a note Monday.