How Low Can First Solar Stock Go In A Market Crash

-0.20%
Downside
273
Market
272
Trefis
FSLR: First Solar logo
FSLR
First Solar

First Solar has consistently underperformed the S&P 500 during major market crashes, with an average decline of 56%. Notable drops include 72% during the Global Financial Crisis compared to 57% for the S&P 500, and 53% during the 2018 Correction versus 20%. Typically, First Solar took significant time to find its bottom, ranging from one to six months after crises. Recovery times also varied: it took four months to regain pre-crisis levels post-COVID and Inflation Shock, but 22 months after the 2018 Correction, and it has yet to recover from the Global Financial Crisis. This historical pattern underscores First Solar’s vulnerability and sensitivity to market downturns, rather than demonstrating resilience.

First Solar Stock Performance In Market Crashes:

FSLR S&P 500
   
Global Financial Crisis    
% Change from Pre-Recession Peak -72% -57%
# of Months for Full Recovery Yet to Recover 49
   
2018 Correction    
% Change from Pre-Recession Peak -53% -20%
# of Months for Full Recovery 22 4
   
Covid Pandemic    
% Change from Pre-Recession Peak -49% -34%
# of Months for Full Recovery 4 5
   
Inflation Shock    
% Change from Pre-Recession Peak -49% -25%
# of Months for Full Recovery 4 15

Worried that FSLR is yet to hit the bottom? You could take a look at the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming the S&P 500 over the last 4-year period. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.

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