Using the industry peer median P/E multiple (trailing + forward), First Solar, Inc. (FSLR) has a fair value of $308.50 based on 4 comparable companies in the Solar industry.
USD in millions except Fair Price. Subject company highlighted.
| Mkt Cap ($M) | Trailing P/E | Forward P/E | |
|---|---|---|---|
| First Solar, Inc.FSLR | 20,132 | 13.2x | 10.3x |
| Targa Resources Corp.TRGP | 53,910 | 29.4x | 24.9x |
| EQT CorporationEQT | 41,845 | 20.3x | 14.0x |
| Halliburton CompanyHAL | 33,093 | 26.2x | 17.7x |
| Expand Energy CorporationEXE | 27,022 | 14.8x | 12.5x |
| Industry Median | 23.2x | 15.8x | |
| (*) Profit after tax | 1,528 | 1,946 | |
| Equity Value | 35,504 | 30,847 | |
| (/) Outstanding shares | 108 | 108 | |
| Fair Price | $330 | $287 | |
This P/E relative valuation uses the industry peer median Price-to-Earnings ratio to estimate fair value. Both trailing (last 12 months) and forward (next fiscal year analyst estimates) P/E multiples are computed independently.
The industry median trailing P/E is applied to the company's TTM net income, and the forward P/E to analyst-estimated net income. Each produces an equity value divided by shares outstanding to yield a fair price per share. The selected fair value is the average of the trailing and forward legs.