First Solar's stock plummeted 14.27% in pre-market trading on Wednesday, extending losses from the previous post-market session.
The solar panel maker reported fourth-quarter earnings of $4.84 per share, missing the average analyst estimate. While quarterly sales beat expectations, investors focused on the company's disappointing revenue outlook for 2026, which was significantly below Wall Street forecasts.
First Solar guided for 2026 net sales in the range of $4.9 billion to $5.2 billion, well below the $6.12 billion analysts had anticipated. Management cited customer headwinds including federal permitting approval delays under the current administration and an expected tariff impact of $125 million to $135 million. Weak residential solar demand due to high interest rates and metering reforms also contributed to the cautious outlook. Following the results, several analysts including JP Morgan and RBC cut their price targets on the stock.