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First Solar Nearing 20-Year High on Investor Excitement

  //stocks-investing.news-articles.net/content/202 .. nearing-20-year-high-on-investor-excitement.html
  Published in Stocks and Investing on Thursday, January 22nd 2026 at 13:48 GMT by CNBC
      Locales: California, New York, UNITED STATES

Thursday, January 22nd, 2026 - Renewable energy stocks are drawing significant attention, and one name in particular, First Solar (FSLR), is generating considerable excitement amongst investors. Driven by a confluence of favorable factors - including supportive government policies, surging demand, and a bullish assessment from prominent financial figures - the stock is nearing a 20-year high and analysts are predicting further gains.

First Solar's recent performance has been impressive. Year-to-date, shares have already climbed roughly 12%, demonstrating robust investor confidence. This positive momentum isn't isolated; it's being fueled by underlying strengths within the company and within the broader solar energy market.

The driving force behind this optimism is largely attributable to supportive government initiatives. The Inflation Reduction Act (IRA), with its substantial tax credits and incentives for renewable energy development, is playing a key role in bolstering the solar sector's growth. These incentives significantly lower the cost of solar projects, making them increasingly competitive with traditional energy sources and spurring increased adoption.

Beyond government support, the demand for solar energy is steadily increasing globally. Concerns surrounding climate change, coupled with the falling costs of solar technology, are driving both individual consumers and large corporations to embrace renewable energy solutions. This heightened demand is directly benefiting companies like First Solar, a leading manufacturer of thin-film solar panels.

The positive sentiment surrounding First Solar is further amplified by the endorsement of industry experts. Josh Brown, CEO of Ritholtz Wealth Management and host of CNBC's "The Wrap," has long been a proponent of the stock. During a recent appearance on "Power Lunch," Brown confidently stated his belief that First Solar is poised for a "breakout," suggesting further price appreciation is likely. His perspective carries significant weight within the financial community, lending further credibility to the bullish outlook.

This optimism isn't limited to Brown's assessment. A consensus of analysts are also revising their price targets upwards. The current consensus price target sits around $200, representing a substantial increase from current trading levels. This demonstrates a widespread belief in the company's long-term potential and its ability to deliver significant returns to investors.

However, not all perspectives are uniformly positive. While acknowledging the stock's strong fundamentals, one anonymous analyst cautioned that First Solar might currently be "overbought" in the short term. This observation reflects the inherent volatility of the stock market and highlights the potential for temporary pullbacks following periods of rapid gains. The analyst's advice to exercise caution, particularly for those considering entering the stock at its current price, is a prudent reminder for investors to manage risk effectively.

Despite this short-term caution, Brown maintains a long-term, bullish perspective. He believes that First Solar's strong fundamentals provide a solid foundation for continued growth, suggesting it's a stock suitable for investors seeking a long-term investment horizon. The company's technological leadership, strong financial position, and the tailwind of supportive government policies, are all factors contributing to this confidence.

Looking Ahead:

Investors are closely watching First Solar's performance in the coming months, particularly as the impact of the Inflation Reduction Act continues to unfold and demand for solar energy remains robust. While short-term volatility is always a possibility, the underlying fundamentals appear to be strongly in the company's favor, positioning First Solar for continued success in the rapidly expanding renewable energy landscape.