Why First Solar (FSLR) Is Rallying Today

First Solar (FSLR) is jumping 11% after the solar panel maker reported higher-than-expected fourth-quarter revenue and provided 2025 sales guidance that was also above analysts’ average estimates.

Additionally, FSLR disclosed that it had taken “legal action” against China-based solar-cell maker JinkoSolar (JKS).

A photovoltaic field at dawn, its solar panels shimmering in the light of a new day.

The Highlights of FSLR’s Q4 Results and 2025 Guidance

The company’s Q4 revenue jumped 30% versus the same period a year earlier to $1.5 billion. The latter figure was $30 million above analysts’ average estimate. First Solar’s operating income jumped to $456.77 million, up from $397.78 million in Q4 of 2023. However, its earnings per share, excluding certain items, came in at $3.65, meaningfully below analysts’ mean outlook of $4.69.

But FSLR provided 2025 sales guidance of $5.3 billion to $5.8 billion, or $5.55 billion at the midpoint. The latter figure was slightly above the average estimate of $5.52 billion.

FSLR’s Comments

“We believe that the age of electrification is upon us, where electricity is a lifeblood of the modern economy and the way of life. While meeting this unprecedented demand for electricity is going to require diverse sources of energy generation, we believe that solar will be a key part of the solution mix,” CEP Mark Widmar said on the company’s earnings call.

Widmar added that the company has been looking to upgrade its CadTel semiconductor technology.

FSLR Sues JKS

First Solar sued JinkoSolar for patent infringement in a federal court based in Delaware. The American firm is alleging that JKS violated its patents on a technology called TOPCon which makes solar panels more efficient.

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Disclosure: None. This article is originally published at Insider Monkey.