First Solar Kills Estimates, But Mute on Guidance (FSLR, TAN)

First Solar, Inc. (Nasdaq: FSLR) has just given its earnings report.  The solar leader in the U.S. reported its revenues were $525.9 million.  While this is up from $418.2 million in the first quarter of 2009 and up from $267.0 million in the quarter a year ago, this is a substantial win over the $459.12 million estimates from Thomson Reuters.

Net income for the second quarter came to $180.6 million, or $2.11 EPS. This is above the $1.99 EPS a quarter ago and well above the $0.85 a year ago, but the Thomson Reuters estimate was a mere $1.62 EPS per share on a fully diluted basis for the second quarter of fiscal 2008.

Shares closed up 3.3% at $173.55 today, but we have shares trading up above $189.00 in the first after-hours reaction.  Unfortunately, First Solar did not give guidance and said it would offer guidance in the conference call.  Until that data is out, this is still something traders will consider as unfinished business or incomplete data.

Despite no guidance, the magnitude of the outperformance here is enough to have shares of the Claymore/MAC Global Solar Energy (NYSE: TAN) ETF trading up over 2% at $10.35 in the after-hours report.  First Solar is over 10% of that ETF.

JON C. OGG
JULY 30, 2009