5 Best Climate Change Stocks To Buy According To Hedge Funds

3. Tesla, Inc. (NASDAQ:TSLA)

Number of Hedge Fund Holders: 60    

Tesla, Inc. (NASDAQ:TSLA) is perhaps the most well-known renewable energy company in the world. Although it is famous for producing electric cars that help reduce the carbon footprint of the auto industry, it also makes and sells solar energy solutions. In fact, the solar business of the firm is growing at a spectacular pace. In the second quarter, the firm installed 1,274 megawatt-hours of energy storage. This was a 205% increase from the same period last year and brought in revenue worth $370 million. 

Tesla, Inc. (NASDAQ:TSLA) is placed third on our list of 11 best climate change stocks to buy according to hedge funds. The firm recently announced plans to shift headquartered to Texas from California. Several market analysts remain bullish on the firm, with advisories like Wedbush, Canaccord, and Deutsche Bank highlighting several growth catalysts for the firm in investor notes recently.

At the end of the second quarter of 2021, 60 hedge funds in the database of Insider Monkey held stakes worth $9 billion in Tesla, Inc. (NASDAQ:TSLA), down from 62 in the previous quarter worth $10 billion.

Here is what Baron Partners Fund has to say about Tesla, Inc. (NASDAQ:TSLA) in its Q1 2021 investor letter:

“Tesla, Inc. designs, manufactures, and sells fully electric vehicles, solar products, energy storage solutions, and battery cells. The stock fell during the quarter as a result of general market dynamics and a potential production slowdown due to parts shortages. A refreshed S/X and China Model Y ramp could also have a negative impact on margins in early 2021. We anticipate strong growth and improved margins driven by new production capacity, manufacturing efficiencies, localization of its manufacturing and supply chain, and maturation of Tesla’s full self-driving technology.”