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You might be wondering why Arizona-based First Solar is on this list. FSLR has had an excellent six months, rewarding shareholders with triple-digit gains since May. Then how come I think you should give this a stock a rest.
Well, my thesis is based on two factors: thin-film solar technologies and China.
Thin-film production market share in the global solar PV market grew from a mere 2.8% in 2001 to 25% in 2009. However, post-2009, the situation has become very different. In 2011, thin-film solar technologies constituted 11% of the global solar panel production, marking a steep drop in uptake.
Expectations are that thin-film solar PV technology will eventually outpace conventional solar PV technology in the long run. However, the writing is on the wall. It will be tough for First Solar and other thin-film solar panel makers to compete against silicon solar panel makers. The technology was already dominating the market before 2009. But the