Yahoo Finance Solar Revolution Gaining Traction: 3 Stocks to Keep an Eye on
The urgency to transition to solar energy has intensified in the effort to combat greenhouse gas emissions. Moving away from fossil fuels to embrace renewable energy sources presents significant investment opportunities despite the substantial financial commitments and time required for this shift. In this context, companies like SunPower SPWR, Nextracker NXT, and First Solar FSLR are strategically positioned to benefit from this transition.
Solar Leads in New Energy Capacity Additions
The share of renewable energy in electricity generation is rapidly increasing in the United States. According to the U.S. Energy Information Administration’s (“EIA”) latest short-term energy outlook, the proportion of renewables in domestic electricity generation will rise to 23% this year from 21% last year. Conversely, coal's share is projected to decline from 17% to 16%.
The EIA anticipates a 3% increase in total U.S. electricity generation this year. Significantly, renewables will drive the largest portion of this growth, with solar energy solely responsible for more than 70% of the increase in domestic power generation.
3 Stocks to Gain
Thus, it is time for investors to keep an eye on solar energy stocks. We have zeroed in on three such stocks.
In the United States,SunPower is among the leading solar companies delivering personalized, premium renewable energy solutions for homes designed to address the specific requirements of families. The company recently announced that it is including the Tesla Powerwall 3 in its carefully selected range of premium yet affordable solar and storage solutions. It carries a Zacks Rank #3 (Hold).
Nextracker is expected to experience growth due to its provision of intelligent, integrated solar tracker and software solutions. A strong balance sheet, substantial backlog and widespread global demand are the main factors driving the company’s success. Currently, Nextracker carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
To accelerate its fight against global warming, First Solar is primarily engaged in providing eco-efficient solar modules. The advanced thin-film photovoltaic modules of First Solar, with a Zacks Rank of 3, represent highly advanced solar technologies of the next generation.
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First Solar, Inc. (FSLR) : Free Stock Analysis Report
SunPower Corporation (SPWR) : Free Stock Analysis Report
Nextracker Inc. (NXT) : Free Stock Analysis Report
