We recently published an article titled Why These 15 Large-Cap Stocks Are Plunging So Far In 2025. In this article, we are going to take a look at where First Solar, Inc. (NASDAQ:FSLR) stands against the other large-cap stocks.
The big and large-cap stocks have spearheaded the rally in the past two years, but Wall Street’s expectations have gotten ahead of many of their fundamentals. The Nasdaq briefly entered correction territory as the stock market cooled over the past week due to tariff fears and a perceived slowdown in the growth of AI, which then spilled into the data center industry.
Wall Street is now reassessing the growth premium they are paying for many of these large-cap stocks. A lot of them have tumbled in the past week and have done so in a much more severe way than the broader market.
That said, large companies have staying power, and many of them could now be undervalued.
Methodology
For this article, I screened the worst-performing large-cap stocks ($10 billion to $100 billion) year-to-date.
I will also mention the number of hedge fund investors in these stocks. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A solar panel farm with an orange sky illuminating the vast landscape.
First Solar, Inc. (NASDAQ:FSLR)
Number of Hedge Fund Holders In Q4 2024: 65
First Solar, Inc. (NASDAQ:FSLR) is a solar company that makes and sells photovoltaic solar modules.
The stock is down significantly so far in 2025, as First Solar reported EPS of $3.65 for Q4 2024. This significantly missed analysts’ consensus estimate of $4.81 by $1.16.
First Solar, Inc. (NASDAQ:FSLR) did manage to beat revenue expectations of $1.48 billion by reporting $1.51 billion in revenue but the profitability guidance overshadowed the beat, especially since the guidance was also weaker than expected when it came to gross margins.
Plus, the return of Donald Trump to the presidency brought even more trouble to the renewable energy sector.
The consensus price target of $262.08 implies 100.22% upside.
First Solar, Inc. (NASDAQ:FSLR) stock is down 25.73% year-to-date.
Overall FSLR ranks 8th on our list of the large-cap stocks that are plunging so far in 2025. While we acknowledge the 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 but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
