Green Energy Stocks to Buy

Enda Trading

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Green stocks are plentiful and most people want to change society, so they're popular. They want to help the environment and wildlife. As people become more aware of global warming, green and eco stocks have gained popularity.

Green and eco-friendly stocks have drawbacks, these stocks don't provide consistent profits, for example. Market conditions affect returns. Diversify your investments given the volatile market and check the company's financial health to avoid putting all your eggs in one basket. Long-term investment success in this category may require hard work.

Green and eco-friendly stocks to consider buying include:

Energy Enphase

Enphase Energy offers green stocks. Enphase Energy's solar and wind energy systems are reliable, low-maintenance, and good for your bottom line. Residential customers can enjoy a reliable green & eco-friendly stock portfolio and energy-saving technology. Industrial customers can save money and reduce greenhouse gas emissions with a reliable energy system.

Enphase Energy Inc is the top green and eco-friendly stock. Their residential solar energy system offers huge savings to their customers. Enphase Energy Inc. sells green appliances and parts and they offer low prices on energy-saving appliances and guarantee great service for years to come. Their environmentally friendly equipment makes them a leader in both technology and environmental awareness.

Bloom Energy
Bloom Energy has been improving its product since it entered the automotive market two years ago. Solid oxide fuel cells use hydrogen peroxide to produce clean electricity. Cell, battery, connector, fastener, and wiring are included.

The company believes its new Solid Oxide fuel cells can reduce manufacturing costs. It also wants a larger market, which it believes is possible if it cracks the top ten in the next few years. Bloom Energy aims to promote green living and eliminate pollution worldwide. Its market plan aims to produce 10 million solar cells this year.

Tesla
Tesla's shares are up 27% so far in 2022. Elon Musk's company makes electric vehicles and software, including autonomous car software. With governments around the world phasing out fossil-fueled vehicles, EVs are the future. In July 2022, the Nasdaq-listed company made 258,000 cars in its second quarter. Despite supply chain issues, labor shortages, and Shanghai factory shutdowns due to Covid lockdowns.

Its new 'gigafactory' in Berlin produces 1,000 cars a week, and the company says 2022 will be a "record" With $18 billion in the bank, it expects to increase vehicle deliveries by 50% per year. Musk's failed bid to buy Twitter hurt Tesla shares. Investors fear Musk has been distracted from Tesla's business and plans to use Tesla shares as collateral. While expensive (price earnings ratio > 50), the shares are off their November 2021 high of $1,243. Recent weakness offers investors a good entry point.

NextEra Energy
NextEra Energy wasn't always a green energy leader. Florida Power & Light, NEE's first incarnation, is now a subsidiary of NextEra Energy. NEE uses wind, solar, nuclear, coal, and natural gas to power 11 million people in Florida and beyond. With deep roots in Florida, NEE investors watched the news when the Florida legislature passed a net metering bill that would have reduced solar subsidies. Luckily for NextEra, Governor Ron DeSantis vetoed the bill.

NextEra's focus on renewable energy and new four-year rate plan should benefit the company, says Argus Research analyst Marie Ferguson (Buy). She's referring to the company's 2022 rate plan, which will keep customers' bills low and allow for solar power expansion.

Ferguson likes NEE's "solid balance sheet, dividend record, and growth potential." In the coming years, the company's fundamentals are strong. Kirk Crews, NextEra Energy's CFO, said in the company's first-quarter earnings call that the company is well-positioned financially through 2025. Six of 20 Koyfin analysts rate the utility stock a Strong Buy, nine a Buy, and five a Hold. Koyfin rates NEE a Buy.

Conclusion
Climate change and SRI drive the clean energy revolution. These factors will drive trillions in renewable energy investments in the coming decades. Renewable energy stocks should generate some of the best returns for investors as the tide rises. These green energy companies have proven to be value creators and have the financial strength to capture opportunities that should yield outsized total returns.
 
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