Analyzing First Solar (NASDAQ:FSLR) and TOYO (NASDAQ:TOYO)

TOYO (NASDAQ:TOYO) and First Solar (NASDAQ:FSLR) are both energy companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, profitability, dividends, risk, analyst recommendations, earnings and institutional ownership.

Volatility & Risk

TOYO has a beta of 0.78, meaning that its share price is 22% less volatile than the S&P 500. Comparatively, First Solar has a beta of 1.6, meaning that its share price is 60% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations and price targets for TOYO and First Solar, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TOYO	0	1	0	0	2.00
First Solar	0	6	27	2	2.89

First Solar has a consensus target price of $271.27, indicating a potential downside of 1.12%. Given First Solar’s stronger consensus rating and higher probable upside, analysts plainly believe First Solar is more favorable than TOYO.

Institutional & Insider Ownership

84.6% of TOYO shares are owned by institutional investors. Comparatively, 92.1% of First Solar shares are owned by institutional investors. 0.3% of TOYO shares are owned by insiders. Comparatively, 0.5% of First Solar shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares TOYO and First Solar”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TOYO	$176.96 million	1.27	$40.61 million	N/A	N/A
First Solar	$4.21 billion	7.00	$1.29 billion	$13.02	21.07

First Solar has higher revenue and earnings than TOYO.

Profitability

This table compares TOYO and First Solar’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TOYO	N/A	N/A	N/A
First Solar	27.73%	16.61%	11.08%

Summary

First Solar beats TOYO on 13 of the 13 factors compared between the two stocks.

About TOYO

TOYO Co. Ltd. engages in the design, manufacture, and sale of solar cells and modules. It is involved in integrating the upstream production of wafer and silicon, midstream production of solar cell, downstream production of photovoltaic (PV) modules, and potentially other stages of the solar power supply chain. The company was founded on November 8, 2022 and is headquartered in Tokyo, Japan.

About First Solar

First Solar, Inc., a solar technology company, provides photovoltaic (PV) solar energy solutions in the United States, France, Japan, Chile, and internationally. The company manufactures and sells PV solar modules with a thin film semiconductor technology that provides a lower-carbon alternative to conventional crystalline silicon PV solar modules. It designs, manufactures, and sells cadmium telluride solar modules that converts sunlight into electricity. The company's residual business operations include project development activities, operations and maintenance services, and the sale of PV solar power systems to third-party customers. It serves developers and operators of systems, utilities, independent power producers, commercial and industrial companies, and other system owners. The company was formerly known as First Solar Holdings, Inc. and changed its name to First Solar, Inc. in 2006. First Solar, Inc. was founded in 1999 and is headquartered in Tempe, Arizona.