Latest Ratios: P/E Ratio 16.0x · EV/EBITDA 10.0x · ROE 17.4%. (2001–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $24.5B | $28.1B | $19.0B | $18.5B | $16.0B | $9.3B | $10.6B | $5.9B | $4.5B | $7.0B | $3.3B |
| Enterprise Value | $22.2B | $25.8B | $18.0B | $17.2B | $14.7B | $8.3B | $9.8B | $5.1B | $3.6B | $5.2B | $2.2B |
| P/E Ratio → | 16.03 | 18.38 | 14.66 | 22.26 | — | 19.90 | 26.52 | — | 31.22 | — | — |
| P/S Ratio | 4.69 | 5.38 | 4.51 | 5.57 | 6.09 | 3.19 | 3.89 | 1.92 | 2.01 | 2.39 | 1.14 |
| P/B Ratio | 2.57 | 2.95 | 2.38 | 2.77 | 2.73 | 1.56 | 1.91 | 1.16 | 0.86 | 1.38 | 0.63 |
| P/FCF | 20.61 | 23.66 | — | — | — | — | — | — | — | 8.52 | — |
| P/OCF | 11.89 | 13.66 | 15.56 | 30.71 | 18.27 | 39.23 | 284.30 | 33.83 | — | 5.25 | 15.97 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 4.94 | 4.29 | 5.18 | 5.62 | 2.83 | 3.62 | 1.68 | 1.59 | 1.77 | 0.75 |
| EV / EBITDA | 10.02 | 11.65 | 9.93 | 14.74 | 60.68 | 9.76 | 17.82 | 117.55 | 20.89 | 17.78 | — |
| EV / EBIT | 13.17 | 15.32 | 12.49 | 18.99 | 706.58 | 14.13 | 30.92 | — | 25.66 | 22.87 | — |
| EV / FCF | — | 21.72 | — | — | — | — | — | — | — | 6.31 | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 40.6% | 40.6% | 44.2% | 39.2% | 2.7% | 25.0% | 25.1% | 17.9% | 17.5% | 18.7% | 22.0% |
| Operating Margin | 32.3% | 32.3% | 33.2% | 25.8% | -1.0% | 20.1% | 11.7% | -5.3% | 1.8% | 6.0% | -19.6% |
| Net Profit Margin | 29.3% | 29.3% | 30.7% | 25.0% | -1.7% | 16.0% | 14.7% | -3.8% | 6.4% | -5.6% | -14.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 17.4% | 17.4% | 17.6% | 13.3% | -0.7% | 8.2% | 7.5% | -2.2% | 2.8% | -3.2% | -7.7% |
| ROA | 12.0% | 12.0% | 11.5% | 8.9% | -0.6% | 6.5% | 5.4% | -1.6% | 2.1% | -2.4% | -5.9% |
| ROIC | 17.6% | 17.6% | 16.8% | 12.9% | -0.4% | 9.1% | 5.2% | -2.8% | 0.8% | 3.6% | -9.7% |
| ROCE | 15.9% | 15.9% | 14.6% | 10.5% | -0.4% | 9.1% | 5.1% | -2.6% | 0.6% | 2.9% | -9.2% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.05 | 0.05 | 0.09 | 0.09 | 0.04 | 0.07 | 0.09 | 0.12 | 0.09 | 0.09 | 0.04 |
| Debt / EBITDA | 0.23 | 0.23 | 0.40 | 0.54 | 0.97 | 0.47 | 0.88 | 13.63 | 2.73 | 1.49 | — |
| Net Debt / Equity | — | -0.24 | -0.11 | -0.20 | -0.21 | -0.18 | -0.13 | -0.15 | -0.18 | -0.36 | -0.22 |
| Net Debt / EBITDA | -1.04 | -1.04 | -0.50 | -1.14 | -5.14 | -1.24 | -1.35 | -17.34 | -5.48 | -6.25 | — |
| Debt / FCF | — | -1.94 | — | — | — | — | — | — | — | -2.22 | — |
| Interest Coverage | 38.15 | 38.15 | 37.18 | 69.75 | 1.70 | 44.65 | 13.20 | -3.44 | 5.37 | 8.84 | -25.16 |
Net cash position: cash ($2.8B) exceeds total debt ($499M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 2.67 | 2.67 | 2.45 | 3.55 | 3.65 | 4.39 | 3.56 | 2.73 | 4.57 | 5.89 | 4.21 |
| Quick Ratio | 2.35 | 2.35 | 1.80 | 2.77 | 2.90 | 3.26 | 2.73 | 2.35 | 4.04 | 5.58 | 3.74 |
| Cash Ratio | 1.27 | 1.27 | 0.86 | 1.61 | 2.48 | 2.51 | 2.06 | 1.64 | 3.01 | 4.60 | 2.17 |
| Asset Turnover | — | 0.39 | 0.35 | 0.32 | 0.32 | 0.39 | 0.38 | 0.41 | 0.32 | 0.43 | 0.42 |
| Inventory Turnover | 4.21 | 4.21 | 1.74 | 1.99 | 3.25 | 2.68 | 2.89 | 5.06 | 4.16 | 11.89 | 5.32 |
| Days Sales Outstanding | — | 90.49 | 156.95 | 154.82 | 45.93 | 56.77 | 39.62 | 84.88 | 99.67 | 52.00 | 64.18 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 6.2% | 5.4% | 6.8% | 4.5% | — | 5.0% | 3.8% | — | 3.2% | — | — |
| FCF Yield | 4.9% | 4.2% | — | — | — | — | — | — | — | 11.7% | — |
| Buyback Yield | 0.1% | 0.1% | 0.1% | 0.2% | 0.1% | 0.2% | 0.1% | 0.3% | 0.2% | 0.1% | 0.6% |
| Total Shareholder Yield | 0.1% | 0.1% | 0.1% | 0.2% | 0.1% | 0.2% | 0.1% | 0.3% | 0.2% | 0.1% | 0.6% |
| Shares Outstanding | — | $108M | $108M | $107M | $107M | $107M | $107M | $105M | $106M | $104M | $103M |
Subsidy-dependent policy exposure
According to current market data, First Solar trades at a forward P/E of 13.51, which appears to incorporate a significant policy premium compared to global peers, reflecting investor confidence in the company's domestic manufacturing moat despite the inherent volatility of its utility-scale project-based revenue model.
The valuation multiples suggest that the market is pricing in sustained growth driven by domestic content incentives rather than traditional commodity hardware cycles. Investors should monitor whether this premium is sustainable if federal manufacturing credits face legislative headwinds or if competitive capacity additions lead to ASP compression.
Based on reported figures, the company's ROIC has fluctuated between 2.5% and 5.6% over the last ten quarters, indicating that the aggressive expansion of manufacturing capacity is currently suppressing the overall efficiency of capital deployment relative to the company's historical performance and broader industrial sector benchmarks.
While the company is successfully scaling its footprint, the low ROIC suggests that the massive capital outlays for new facilities have yet to generate commensurate returns. This trend warrants further investigation into whether the current asset base can achieve higher utilization rates to drive meaningful compounding of invested capital.
As reported in financial statements, the cash conversion cycle has shown extreme volatility, peaking at 387 days in 2025Q1, which highlights the significant operational challenges in managing inventory and receivables within a project-heavy, utility-scale manufacturing business model that is sensitive to site readiness and shipping schedules.
The wide swings in the CCC suggest that working capital management is highly dependent on the timing of large-scale project deliveries. This inefficiency may indicate that the company lacks the leverage to dictate payment terms, potentially exposing the balance sheet to liquidity strain during periods of slower project execution.
According to recent SEC filings, First Solar maintains a debt-to-equity ratio of 0.04, a figure that underscores a fortress-like balance sheet that remains largely insulated from the interest rate sensitivity that currently plagues more leveraged competitors within the renewable energy infrastructure and manufacturing space.
The minimal reliance on debt financing provides the company with significant strategic flexibility to navigate potential industry downturns or regulatory shifts. This conservative posture appears to be a deliberate management choice to prioritize long-term solvency over aggressive, debt-funded growth in a capital-intensive environment.
As indicated by the company's financial disclosures, the P/E ratio is a frequently misapplied metric for this business model because it fails to account for the non-recurring nature of Section 45X tax credits, which artificially inflate net income and mask the underlying operational manufacturing margins.
Investors should instead focus on adjusted EBITDA or cash flow metrics that strip out the impact of federal subsidies to better assess the company's true competitive standing. Relying on headline P/E ratios may lead to an overestimation of the company's ability to generate sustainable earnings in a post-subsidy environment.
Includes 30+ ratios · 23 years · Updated daily
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Quick answers to the most common questions about buying FSLR stock.
First Solar, Inc.'s current P/E ratio is 16.0x. The historical average is 28.5x. This places it at the 31th percentile of its historical range.
First Solar, Inc.'s current EV/EBITDA is 10.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 16.0x.
First Solar, Inc.'s return on equity (ROE) is 17.4%. The historical average is 6.8%.
Based on historical data, First Solar, Inc. is trading at a P/E of 16.0x. This is at the 31th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
First Solar, Inc. has 40.6% gross margin and 32.3% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
First Solar, Inc.'s Debt/EBITDA ratio is 0.2x, indicating low leverage. A ratio below 2x is generally considered financially healthy.