Is T1 Energy Moving Toward Vertical Integration in Solar?
T1 Energy Inc. TE is expanding beyond solar-module manufacturing to build a more vertically integrated U.S. solar supply chain. The company operates G1_Dallas for module production and is developing G2_Austin, a planned 2.1 GW solar-cell facility. G1_Dallas produced 935 MW of modules in the second quarter of 2026. The company expects production to increase in the second half of 2026, with full-year output reaching the upper end of its 3.1 GW to 4.2 GW guidance.
Meanwhile, construction of G2_Austin is progressing, with first solar-cell production targeted for first-quarter 2027. Once operational, G2_Austin could supply cells directly to G1_Dallas, reducing reliance on externally sourced cells.
Technology is another component of the integration strategy. In July 2026, T1 acquired foundational solar patents and other intellectual property from Evervolt for $135 million. The acquired technology relates to TOPCon solar cells and modules, which T1 describes as advanced, commercially viable solar technology.
T1 is also integrating the upstream solar supply chain through agreements with Hemlock Semiconductor for U.S.-produced polysilicon and Corning for U.S.-produced wafers. The wafers will supply G2_Austin for cell production, with those cells then used in modules at G1_Dallas, creating a domestic chain from polysilicon and wafers to cells and finished modules.
If T1 completes G2_Austin and develops its planned domestic sourcing network, it could evolve from a module manufacturer into a more vertically integrated solar producer. Its existing module capacity would be complemented by domestic cell production, while investments in polysilicon, wafers and technology could extend integration further upstream.
Companies Building Integrated Solar Supply Chains
Several solar manufacturers are also expanding their capabilities across multiple stages of the solar value chain.
First Solar FSLR operates an integrated thin-film solar manufacturing model, producing its own solar technology and modules across a network of U.S. and international facilities.
JinkoSolar JKS operates across multiple stages of crystalline-silicon solar manufacturing, including polysilicon, wafers, cells, and modules, providing an example of how vertical integration can extend across the solar value chain.
TE’s Earnings Estimates
The Zacks Consensus Estimate for 2026 and 2027 earnings per share (EPS) indicates an increase of 78.68% and 114.29%, respectively, year over year.
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TE Stock Trading at a Discount
T1 Energy is trading at a discount relative to the industry, with a forward 12-month price-to-sales of 0.91X compared with the industry average of 1.72X.
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TE Stock Price Performance
In the past year, the company’s shares have risen 73.4% against the industry’s 26.4% decline.
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TE’s Zacks Rank
The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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This article originally published on Zacks Investment Research (zacks.com).
