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First Solar Shares Slide on Weak 2026 Sales Outlook, Tariff Headwinds

Tariff exposure, policy uncertainty and permitting delays cloud the company’s near-term prospects.

Overview

  • The company projected 2026 net sales of $4.9 billion to $5.2 billion on 17.0 GW to 18.2 GW of modules, well below analyst estimates near $6 billion.
  • Shares fell as much as 16.7% in premarket trading after the guidance, with the stock later closing down about 13.6% on the day.
  • Executives flagged a 2026 tariff impact of $125 million to $135 million as the Commerce Department issued preliminary countervailing duties on crystalline silicon cells from India, Indonesia and Laos.
  • First Solar filed an ITC complaint alleging TOPCon patent infringement by 10 foreign-headquartered manufacturers and separately secured a U.S. perovskite patent license from Oxford PV.
  • Operational steps include underutilizing some Southeast Asian lines, shipping equipment to U.S. facilities, launching a South Carolina finishing line targeted for Q4 2026, and a cautious CuRe rollout expected to trim gross margin by about 3%, despite record 2025 net sales of $5.2 billion and Q4 revenue of $1.68 billion.