Mark R. Widmar, the Chief Executive Officer of First Solar, Inc. (NASDAQ:FSLR), has disposed of 11,226 shares of the company's common stock. These transactions took place over two days in May 2026, specifically on May 11 and May 13.
The divestment was carried out through multiple trades. On May 11, Mr. Widmar sold 9,926 shares across seven different transactions. He followed this with the sale of an additional 1,300 shares on May 13. The total value of these sales reached approximately $2.63 million, with individual share prices recorded between a low of $230.18 and a high of $240.02.
These sales were conducted under a Rule 10b5-1 trading plan that the CEO had adopted on November 6, 2025. Following these recent transactions, Mr. Widmar maintains a direct holding of 93,848 shares of First Solar common stock. At the time of reporting, First Solar's market capitalization stands at $25.24 billion, with the stock trading at $234.63. Analysis from InvestingPro indicates that these current prices are positioned near a Fair Value estimate of $229.93.
Financial Performance and Market Context
The insider selling occurs alongside recent updates regarding First Solar's fiscal performance. For the first quarter of 2026, the company reported earnings per share (EPS) of $3.22, a figure that exceeded the $3.08 anticipated by market analysts. However, while EPS outperformed expectations, revenue for the same period reached $1.04 billion, falling slightly short of the projected $1.05 billion.
The broader solar sector has seen varied activity. Nextpower recently reported fourth-quarter fiscal 2026 results that beat Wall Street estimates, posting an adjusted diluted EPS of $1.05 against a consensus estimate of $0.93. This performance contributed to positive sentiment across the industry, influencing other players such as Enphase Energy Inc. and SolarEdge Technologies Inc.
Analyst Perspectives and Outlooks
Financial institutions have responded to First Solar's recent developments with varying adjustments to their valuation models:
- Argus: Has increased its price target for the company to $275, highlighting the strategic importance of the firm's domestic manufacturing capabilities.
- Freedom Broker: Upgraded the stock to a Buy rating and raised its price target to $260 following the recent earnings release.
- Jefferies: Set a price target of $199, acknowledging the strength shown in the first quarter but expressing caution regarding potential margin pressures during the second quarter.
Key Points
- Executive Divestment: The CEO's sale of over 11,000 shares via a scheduled trading plan provides insight into internal liquidity management.
- Earnings Divergence: First Solar demonstrated an ability to beat EPS expectations while simultaneously missing revenue targets, illustrating a complex growth profile in the renewable energy sector.
- Sector Sentiment: Strong results from peers like Nextpower have created a tailwind for solar-related equities including Enphase Energy Inc. and SolarEdge Technologies Inc.
Risks and Uncertainties
- Margin Compression: As noted by Jefferies, there is an explicit concern regarding potential pressure on profit margins in the upcoming second quarter.
- Revenue Volatility: The recent slight miss in quarterly revenue compared to analyst expectations suggests ongoing uncertainty in meeting top-line growth projections.