A novel multiband absorption based solar cell is disclosed by using the europium chalcogenides (EuX, X═O, S, Se, Te) and related magnetic semiconductor materials, in which an intermediate band is formed by the localized Eu 4f electrons between p-states of chalcogen ions and Eu s-d states. The energy gaps among the multibands can be in the spectral range of the sunlight, thus they can serve as better sunlight absorbers in solar cells than the conventional single band-gap semiconductors such as Si and GaAs. With these multiband semiconductors, the bottleneck in current power conversion efficiency can be potentially overcome in single junction photovoltaics.