Will FSLR Price Descend More?

The First Solar stock recently publicized its Q2 earnings report on July 27th, 2023. The reported earnings gave a positive surprise of 60.06% from the estimated earnings. Moreover, the reported revenue also gave a positive surprise by 12.25% from the estimated revenue.

After, a positive return the stock invited profit booking, and the price still declined from the trendline showing that the selling strength is tremendous and pointing to more upcoming falls on the charts.

First Solar has a debt-to-equity ratio of 7.2%, as reported by Simply Wall St., a financial website. This implies that it has less debt than equity, which is the difference between its total assets of $9 Billion and total liabilities of $2.96 Billion. First Solar debt is $437.41 Million, while its equity is $6.04 Billion.

First Solar experienced a decline in its earnings at a rate of 32.7% per year on average, according to Simply Wall St. The semiconductor industry’s average annual earnings growth is 31.4%. Therefore, First Solar earnings are slightly higher than the industry average.

Moreover, First Solar Inc. (FSLR) stock’s market capitalization is $18.909 Billion and the shares float is $101.147 Million. Moreover, the stock’s basic EPS is $1.46 and the price-to-earnings ratio is 117.17.

Technical Analysis of FSLR Stock Price in 1-D Timeframe

The price action shows that First Solar Inc. (NASDAQ: FSLR) stock price took major support at $115 around October 2022 and has been on a continued inclining trend for the year to date as well, increasing 17.21% making higher highs and higher lows.

At the time of writing, FSLR stock is trading at around $177 and facing major resistance around $220 declining from the trendline and making new lows.

Therefore, if the FSLR price fails to sustain the current level and decreases, it might hit the nearest support levels of $171 and $160.

However, if it maintains the current level, the FSLR price could continue to move upward and reach the first and second resistances of $183 and $193.

Source: FSLR.1D.NASDAQ by TradingView

At the time of publishing, First Solar Inc. (NASDAQ: FSLR) is trading below the major 20 and 50-day EMA (exponential moving averages), which rejects the FSLR price trend.

The MACD line at 3.98 and signal line at 3.59 are below the zero line and both lines have crossed each other multiple times but the gap is lean in a histogram showing traits of consolidation in price.

The current value of RSI is 42.81 points. The 14 SMA is below the median line at 43.23 points which indicates that the FSLR stock is in a bearish territory and both lines are moving closely.

Combiningly, all indicators indicate consolidation to bearishness.

Summary

First Solar Inc. (NASDAQ: FSLR) chart indicates that the traders and investors of the stock price are neutral to bearish on the 1-D time frame. The price action shows a bearish outlook at the time of publishing as profit booking has not stopped yet and it is still decreasing with respect to the trendline. The technical analysis tools of First Solar stock price show consolidation to bearishness.

Technical Levels

Support levels: $171 and $160
Resistance levels: $183 and $193

Disclaimer

In this article, the views and opinions stated by the author, or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss