First Solar rises after Wolfe Research upgrades rating

Shares of solar panel maker First Solar FSLR.O rise 9.5% premarket to $171 after Wolfe Research upgrades rating to "outperform"

Brokerage attributes the upgrade to better clarity on 45X credit rules, adding co stands to earn $10 bln or ~$92/share of credits through 2031

45X tax credits offer better tax incentives to companies for making clean energy products

Wolfe says FSLR is set to benefit as the "only domestic solar module manufacturer of scale" and its non reliance on foreign parts such as cells or wafers

Brokerage adds the Department of Energy's Bipartisan Infrastructure Law bill's Foreign Entity of Concern restrictions favor the company

"... Restrictions are relatively strict and another good signal that it will be tough for Chinese manufacturers to compete in the U.S." - Wolfe

34 of 40 analysts rate stock as "buy" or higher, 5 "hold" and 1 "sell"; Median PT is $199

As of last close, FSLR down 11.4% YTD vs S&P 500 Information Technology index's .SPLRCT decline of 3.9%