First Solar's $2 Billion Problem
Key Points
First Solar continues to churn out profits, but are they sustainable.
Nearly all of the company's profit comes from subsidies, which may not be durable for investors.
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First Solar (NASDAQ: FSLR) continues to churn out profitable quarters, but the company is playing a dangerous game with subsidies. Most of its gross profit comes from government subsidies, which may not last. And even with those subsidies, the company's backlog isn't growing as you may expect. In this video, I go over both the numbers and the precarious position First Solar has gotten itself into going all-in on the U.S. solar market.
*Stock prices used were end-of-day prices of Feb. 25, 2026. The video was published on March 1, 2026.
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Travis Hoium has positions in First Solar. The Motley Fool has positions in and recommends First Solar. The Motley Fool has a disclosure policy. Travis Hoium is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.
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