The firm said it reduced its rating on the solar power systems manufacturer as it is expecting flat revenue growth this year and next.
Shares of First Solar are tumbling by 4.25% to $52.73 in pre-market trading this morning.
RBC reduced its price target on First Solar to $34 from $54.
"While we are modeling gross margin in line with company expectations provided at the 2014 analyst day, we model flattish revenue growth in 2015 and 2016, compared to the company's previous guidance of 19% growth in 2015 and 2.5% growth in 2016," the firm said in an analyst note.
"Our revenue estimate is based on an analysis of reported backlog and projects listed in company filing. Given the company's high exposure to utility scale projects and the long lead time and development cycle of those projects, we don't see upside surprise to our project revenue estimate," the note said.
Separately, TheStreet Ratings team rates FIRST SOLAR INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate FIRST SOLAR INC (FSLR) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures and reasonable valuation levels. We feel its strengths outweigh the fact that the company has had sub par growth in net income."