First Solar Shares Slammed After Funding Shortrfall
First Solar (NASDAQ:FSLR) declined in after hours trading because the company revealed it has yet to receive funding for a 230 megawatt California plant. The plant was originally sold by First Solar to Exelon for $75 million. If the Department of Energy does not provide funding for the project by February 24th, First Solar would be liable for the original price and any additional expenses incurred by Exelon as well.
First Solar was up with other solar stocks on Thursday after Deutsche Bank reported that demand for solar energy is increasing. However, some traders attribute the sharp rise yesterday to a desire to cover up short-selling.
Here’s how First Solar shares are reacting to the news:
First Solar, Inc. (NASDAQ:FSLR): FSLR shares recently traded at $44.68, down $4.35, or 8.87%. They have traded in a 52-week range of $42.50 to $175.45. Volume today was 4,657,100 shares versus a 3-month average volume of 4,181,120 shares. The company’s trailing P/E is 7.34, while trailing earnings are $6.09 per share.
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