Jefferies upgrades First Solar as 'only game in town' due to looming import restrictions
First Solar is now the "only game in town" thanks to the likely passage of legislation by the Senate designed to disrupt the supply chains of the renewable energy industry, according to Jefferies. Jefferies upgraded First Solar to buy from hold, with a stock price target of $192, up from $157 previously, implying nearly 17% upside from Tuesday's close of $164.62 shares. The Senate appears likely to pass legislation that would quickly phase out Inflation Reduction Act tax credits for clean energy companies that receive "material assistance" from some foreign suppliers. The provision essentially targets imports of basic materials from China. This will trigger a temporary pullback for the utility-scale solar industry, according to Jefferies. First Solar, however, will benefit because its product is increasingly manufactured in the U.S. It could see strong average selling prices for solar modules as a consequence of the restrictions, according to Jefferies. "We believe IRA is going to shape-out net positive for FSLR ... or at least better than contemplated," analysts led by Julien Dumoulin-Smith told clients in a note published Wednesday. In a separate note, Jefferies downgraded Sunrun to underperform from hold and cut its 12-month price target to $5 from $6. "Budget reconciliation has residential solar on the chopping block, and while we expect some improvements on IRA post Senate, we see limited upside for resi, exposing RUN to both [near term] and [long term] headwinds," the investment bank wrote.
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Trump tax bill would help the richest, hurt the poorest, CBO says
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Los Angeles Times
35 minutes ago
- Los Angeles Times
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Yahoo
38 minutes ago
- Yahoo
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U.S. Sen. Jim Justice (R-WV) speaks to reporters at the U.S. Capitol on March 25, 2025 in Washington, D.C. (Kevin Dietsch | Getty Images) As legislation cutting a food assistance program that helps feed thousands of state residents makes its way through Congress, several advocacy groups, businesses and organizations are calling on West Virginia Sen. Jim Justice to speak against the plan. 'Given that SNAP is the most effective anti-hunger program in the state, we ask that you oppose structural changes, cuts and efforts to weaken SNAP,' an open letter to Justice reads. 'Cutting SNAP would have devastating consequences for the 278,978 children, parents, older adults, veterans, people with disabilities and others in our state who rely on the program to keep hunger at bay. 'The research is clear: SNAP improves health outcomes, reduces child hospitalizations and developmental delays and supports educational success. It also decreases health care spending and helps stabilize families during times of crisis and job loss,' they wrote. The letter from the American Friends Service Committee Wednesday is signed by nearly 60 West Virginia food banks, small businesses, congregations and organizations. The U.S. House of Representatives passed a bill last month that would cut the Supplemental Food Nutrition Program by $300 billion through 2034 and push a portion of the cost of the program to the states to backfill. The program currently is funded solely by the federal government. States split the cost of administering the program with the federal government. The Senate Agriculture Committee, of which Justice is a member, this week took up its portion of the Republican tax and budget reconciliation legislation. The bill has yet to be voted on by the full Senate. If the Senate passes the bill, the House of Representatives would need to sign off on any changes the Senate makes. The latest version of the legislation would still push some of the cost of SNAP onto the states, but would penalize states less harshly than the version the House of Representatives passed last month. Under the House bill, the federal government would shift between 5 to 25% of the cost of SNAP benefits to state governments beginning in 2028 depending on their payment error rate. That version of the bill could put West Virginia on the hook for $28 million and up to about $141 million, depending on the state's error rate. In the Senate Agriculture Committee's version, most states would be required to pay between 5 and 15% of the food benefits program beginning in 2028. Only those with an error rate of 6% would have to pay for the program, according to an analysis by the Center on Budget and Policy Priorities. The Senate proposal would have West Virginia paying up to $84 million, according to the analysis. 'The cuts and cost shifts in the House bill would lead to greater food insecurity and place even greater pressure on our food banks and charities, which already struggle to meet demand,' the letter says. 'For every one meal provided by a food bank, SNAP provides nine. Our state's charitable food system cannot fill the gap that would be created by the magnitude of these cuts.' Justice this week told a reporter that cutting SNAP could cost Republicans' their supermajority. 'If we don't watch out, people are going to get hurt, people are going to be upset. It's going to be the No.1 thing on the nightly news all over the place,' Justice said in an interview with Politico Tuesday. 'And then, we could very well awaken to a situation in this country where the majority quickly becomes the minority.' When a West Virginia Watch reporter asked a Justice spokesman for comment on the letter, he referred her to Justice's comments to Politico. The Senate bill also makes changes to the work requirement exceptions. Historically, SNAP recipients with children have not been subject to work requirements for the program. The House version of the bill expanded work requirements to parents of children age 7 and up. In the Senate version, parents of children age 10 and up are subject to the requirements, said Kelly Allen, director of the West Virginia Center on Budget and Policy. The Senate bill also gets rid of work requirement exemptions for people including veterans, homeless people and gives states more flexibility to issue exemptions on a case by case basis, Allen said. Overall, the Senate agriculture committee is just 'tinkering around the edges' with the bill that passed in the House last month, Allen said. 'It's still the largest cut to SNAP in history,' she said. 'It's still a dramatic expansion of bureaucratic barriers that will result in people losing food assistance, including households with children. And it still abandons that commitment to federally funding SNAP benefits and likely creates pretty significant burden for state lawmakers in the state budget at a time when the state budget is already crunched.' SUPPORT: YOU MAKE OUR WORK POSSIBLE
