First Solar Inc. (NASDAQ:FSLR) falls to the bottom of the S&P (NYSE:SPY) due to bad-timing of Congressional inquiries into the bankruptcy of Solyndra, a manufacturer of solar panels. Solyndra recently received government grants exceeding $500 million and their dissolution raised a large controversy.
“Analysts at Collins Stewart said in a note to clients that First Solar (NASDAQ:FSLR) has three projects lined up to receive federal loan guarantees by the end of the month” according to MarketWatch. Though if rejected, it will have a negative effect on First Solar’s earnings forecast and also future federal support for clean energy.
First Solar’s stock is down 5.76% to $74.54 on the news. Shares are down 40.16% year to date. The stock has traded in a 52-week range between $72.59 and $175.45.
Traders done a lot of selling in the solar sector today: Suntech Power Holdings (NYSE:STP), Yingli Green Energy Hold. Co. Ltd. (NYSE:YGE), LDK Solar Co. (NYSE:LDK), Canadian Solar Inc. (NASDAQ:CSIQ), JA Solar Holdings Co. (NASDAQ:JASO), MEMC Electronic Materials(NYSE:WFR), and GT Solar International Inc. (NASDAQ:SOLR), and SunPower Inc (NASDAQ:SPWRA). Trina Solar Limited (NYSE:TSL) is the only winner.