8 Best Cheap Growth Stocks To Invest In Now

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

Forward P/E Ratio: 18.94

Earnings Growth This Year: 75.50%   

Number of Hedge Fund Holders: 66

First Solar, Inc. (NASDAQ:FSLR) is a technology company that focuses on solar energy. It produces photovoltaic (PV) modules and solar panels that convert sunlight to electricity. The company has manufacturing plants in several countries including Malaysia, Vietnam, and the United States.

The company holds an important place in the energy sector of the United States as its business model aligns with the Government’s agenda of shifting towards renewable sources of energy. This automatically puts First Solar, Inc. (NASDAQ:FSLR) on the growth track for years to come.

Moreover, the stock is trading below its pre-pandemic earnings levels. It is currently trading at only 19 times its forward earnings, while analysts expect its earnings to grow by 75.5%.

The tailwinds from government measures to support solar and wind energy businesses are proving to be good for the company. During the second quarter of 2024, its revenue increased by 24.7% to $1.10 billion. Moreover, due to increased selling price, its margins came in high at more than 49%.

Apart from the government factor, artificial intelligence is also one of the key factors that will contribute heavily to its growth. Artificial intelligence and data centers require large amounts of electricity and they are looking for solar and other renewable energy companies to fulfill their energy requirements.

This robust investment case combined with its cheap valuation makes First Solar, Inc. (NASDAQ:FSLR) one of the best cheap growth stocks to invest in now.