First Solar Executives Accused of False Statements and Material Omissions, Class-Action Lawsuit Filed

A securities class-action lawsuit has been filed against First Solar and certain of its officers, brought by the law firm Bronstein, Gewirtz & Grossman , alleging the company made materially false and misleading statements and failed to disclose material adverse facts between February 26, 2025 and February 24, 2026. Investors who purchased First Solar securities during that window have until August 24, 2026 to seek appointment as lead plaintiff.

The suit centers on First Solar's fourth-quarter 2025 earnings report, released February 24, 2026, in which the company forecast 2026 revenue of $4.9 billion to $5.2 billion, nearly $1 billion below Wall Street's roughly $6.1 billion consensus, and reported earnings per share of $4.84 versus consensus estimates near $5.14 to $5.22. The complaint alleges First Solar understated how much its response to US tariff policy, including intentionally running its Malaysia and Vietnam facilities at just 20% capacity while attempting to relocate production to the US, would weigh on 2026 results. The company has separately quantified a direct $135 million tariff-related headwind and $115 million to $155 million in warehousing and underutilization costs for 2026. Shares fell as much as 18% following the guidance cut, and BMO Capital Markets and Baird both downgraded the stock, citing an elevated policy risk premium.

Beyond the guidance miss itself, the litigation adds a new layer of legal risk that could extend for months or years, potentially resulting in a settlement, dismissal, or continued discovery. Investors could watch the lead plaintiff appointment process ahead of the August 24 deadline, any amended complaint detailing specific statements at issue, and whether First Solar's permitting delays and capacity underutilization persist into 2027. The case adds to a broader set of policy-related headwinds facing US solar manufacturers navigating tariff and permitting uncertainty.