First Solar Shares Plunge On 3Q Revenue Miss

NEW YORK (AP) — Shares of First Solar Inc. tumbled Thursday after the nation's largest solar panel maker reported third-quarter revenue far below analyst expectations, even though analysts remained bullish on the company.

First Solar shares plunged $22.69, or 15 percent, to $128.89 in afternoon trading. The stock has traded between $85.28 and $207.51 over the past year.

Late Wednesday, the company reported a 55 percent leap in third-quarter earnings on a 38 percent increase in revenue. But sales of $480.9 million missed the average analyst estimate of $528.8 million, as measured by a Thomson Reuters survey.

The company said its Sarnia project in Canada is about 65 percent complete. Although all modules produced during the quarter were shipped, about $58 million in revenue won't be recognized until the fourth quarter, the company said.

"This is truly a timing issue," Chairman Mike Ahearn said on a conference call with analysts. "That project has been sold, the contract wasn't signed until early in the fourth quarter. We remain on track for annual guidance."