First Solar (FSLR) is shining.
At the moment, shares are up about $4.80 a share after the U.S. government banned the import of certain solar panels from China-based Hoshine Silicon Industry.
“The U.S. Commerce Department separately restricted exports to Hoshine, three other Chinese companies and the paramilitary Xinjiang Production and Construction Corps (XPCC), saying they were involved with the forced labor of Uyghurs and other Muslim minority groups in Xinjiang,” as reported by CNBC.
With the ban, companies like First Solar have less of a competitive threat.
If FSLR can maintain its momentum, it could test a prior high of $90 a share, near-term.
However, that’s not the only catalyst for FSLR.
Moving forward, the FSLR stock should continue to benefit from Biden’s push for a greener future. The U.S. just pledged to reduce emissions by up to 52% over the next several years. Europe wants to cut CO2 emissions by up to 55% by 2030. China says it’ll stop releasing CO2 in the next 40 years. All should be beneficial for the solar market.
Better, “according to Facts and Factors, the global Solar Energy Market in 2019 was valued at about $50 billion. The market is projected to rise at 20% CAGR to exceed $200 billion by 2026,” as highlighted by Street Insider.
Helping, Bank of America upgraded the FSLR stock to a buy with a price target of $91 a share.