First Solar (SYM: FSLR) is still exploding higher.
When we first mentioned FSLR on April 30, we said, “FSLR is consolidating around $182 a share. From here, we’d like to see it break higher, with a potential test of $200 near term.”
Today, FSLR is up about $35 a share to $247.13.
All after UBS analysts reiterated a buy rating, with a price target of $270, noting FSLR is “an overlooked, direct beneficiary” of the ramp-up on artificial intelligence driven power demand.
As noted by Barron’s, “There’s a direct line from artificial intelligence to First Solar, the team said, noting how a reply from AI uses about 10 times more electricity than a typical Google search. ‘Under ’100% Renewable’ sustainability policies the large tech companies match their nonrenewable electricity consumption through Power Purchase Agreements (PPAs).” They pointed to tech companies, like Amazon, Microsoft, Meta, and Alphabet.
Analysts at Piper Sandler also raised their target on FSLR to $219, with an overweight rating.
In addition, as noted by CNBC, “AI uses 10 times more electricity than traditional Google search, according to UBS. As electricity demand from AI grows, Amazon, Microsoft, Meta and Alphabet’s Google unit have committed to buying renewable power that matches their consumption.
