First Solar's "encouraging" medium-term prospects "should get even better" if the Trump Administration revokes an exemption on Section 201 tariffs for imported bi-facial solar panels as signaled on October 4, JPMorgan analyst Paul Coster tells investors in a research note. A 25% duty on these imported modules might slow "torrid" U.S. adoption generally, but it would "specifically strengthen" First Solar's position in the domestic utility-scale solar market for the next couple of years, contends the analyst. Prospects for an earnings "surge through 2020 look very good," adds Coster, who reiterates an Overweight rating on First Solar with an $82 price target.

Wells Fargo notes that a group of seven domestic solar product makers, including First Solar (FSLR), filed a petition to levy anti-dumping and countervailing duties on solar imports from Cambodia, Malaysia, Thailand and Vietnam, looking for duties ranging from 70.4% to 271.5%. The firm, which included the "important reminder" that "this is just a petition," says the uncertainty created by the petition is "incrementally positive" for First Solar and negative for Canadian Solar (CSIQ), Array Technologies (ARRY) and Nextracker (NXT).

As previously reported, Evercore ISI analyst Sean Morgan upgraded First Solar to Outperform from In Line with an unchanged price target of $227. The market is expecting the Biden administration to remove a trade exemption for bifacial solar modules imported to the U.S., which now represent about 98% of U.S. solar imports, the analyst noted. Solar panel imports skyrocketed in 2023 to 54GW and some market participants have stated that reliance on imports and oversupply are negatively impacting solar domestic factories, which have been a priority for the current U.S. administration, putting pressure on greater U.S. trade protections and policy support, the analyst added.

Evercore ISI analyst Sean Morgan upgraded First Solar to Outperform from In Line with a $227 price target.