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Jim Cramer on First Solar: “This Stock’s Just Been Overlooked, I Think It’s Too Cheap”

First Solar, Inc. (NASDAQ:FSLR) was among the stocks Jim Cramer discussed on Mad Money as he addressed investors’ recent overblown worries and growth stocks stuck in bear-market territory. Cramer highlighted the company’s low valuation, as he stated:

Finally, there’s First Solar, the solar panel maker that’s down nearly 30% from its peak set last December, even as the company’s expected to post 27% earnings growth this year. Oh, and the stock trades at just over 11 times this year’s numbers, insanely cheap when you consider that First Solar’s still up huge from its post-Liberation Day lows roughly a year ago. For what it’s worth, Larry Fink, the CEO of BlackRock, the largest money manager in the world, told me this morning that solar could be huge for our country. He’s a big bull on solar. I think that’s a clarion call to own the stock of First Solar. I think this one’s been hurt by some misconceptions that the Trump administration’s attitude toward renewable energy is to dislike this.

Look, we know Trump dislikes wind, okay, maybe because there are offshore wind turbines running in the view of one of his golf courses in Scotland. I don’t know… But he’s got no real animosity that I’ve heard toward solar. Have you?… Plus, First Solar’s a national champion of sorts with a significant advantage in a high-tariff era because so much of its production is domestic. And there’s a new catalyst, too. Spiking oil prices tend to be great news for alternative energy stocks. At 11 times earnings, this stock’s just been overlooked. I think it’s too cheap.

Photo by jason briscoe on Unsplash

First Solar, Inc. (NASDAQ:FSLR) specializes in manufacturing advanced thin-film solar modules that provide a cleaner, more sustainable alternative to traditional silicon panels.

While we acknowledge the risk and potential of FSLR as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than FSLR and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years 

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