10 Best Sustainability Stocks to Buy Now

8. Enphase Energy Inc. (NASDAQ:ENPH)

Market Cap: $5.4 Billion

Number of Hedge Fund Holders: 40

Enphase Energy Inc. (NASDAQ:ENPH) is one of the 10 best sustainability stocks to buy now. The company designs microinverters and energy storage systems that form the backbone of many decentralized solar installations. By allowing each solar panel to operate independently, its microinverters improve uptime and energy generation.

Enphase is helping accelerate the global shift toward renewable energy and energy independence. As of December 2024, the company had shipped approximately 28.10 GW DC power of Enphase microinverters, helping avoid 72 million metric tons of carbon dioxide emissions that would have come from conventional sources. To put that in perspective, it’s roughly the same as powering 14.9 million homes for one year.

In an update on July 1, a Wells Fargo analyst commented on the revised Senate tax bill recently released, highlighting important implications for Enphase Energy. The latest version removes the proposed one-time 30%–50% excise tax on foreign content, a move seen as favourable for the broader solar sector. While this may reduce First Solar’s (NASDAQ:FSLR) relative advantage, Enphase stands to benefit from extended project timelines. Specifically, solar projects beginning construction within a year of the bill’s enactment will enjoy a four-year safe harbor, allowing tax credit eligibility through mid-2030. This update strengthens the outlook for Enphase and other providers of residential and commercial solar components.

Enphase Energy Inc. (NASDAQ:ENPH) is a global energy technology company specializing in microinverter-based solar and battery systems.