Below we listed the top 5 climate change stocks to buy now. For a detailed discussion as well as a more comprehensive list please see 10 Best Climate Change Stocks To Buy Now.
5. Plug Power, Inc. (NASDAQ:PLUG)
No of HFs: 21
Total Value of HF Holdings: $389 Million
Plug Power, Inc. is an American company that focuses on the development of hydrogen fuel cell systems that replace conventional batteries in equipment and vehicles powered by electricity. During the third quarter of 2020, the company posted revenue of $106.99 million surpassing Zacks Consensus estimate by 1.99%. Plug Power, Inc. is a 2020 honoree of the Albany Business Review’s Best Places to Work.
In an article, North Carolina-based asset management firm Massif Capital, LCC highlighted a few stocks and PLUG was one of them
“We also closed our short position in Plug Power this quarter as the market was subsumed with enthusiasm over their recent acquisitions, resulting in an almost 80% rally in the stock over ten trading days. Our decision to exit was painful at the time as we were forced to reconcile with a collective exuberance that was (and is, in our opinion) not grounded reality. In hindsight, it was the correct decision as we avoided most of its recent vertical trajectory.”
4. Canadian Solar, Inc. (NASDAQ:CSIQ)
No of HFs: 25
Total Value of HF Holdings: $245 Million
Canadian Solar, Inc. is a solar power company that focuses on the designing, manufacturing, and marketing of solar module products that convert sunlight into electricity for a variety of uses. During the third quarter of 2020, the company reported net revenue of $913 million.
Canadian Solar, Inc. recently announced that they have completed the sale of Gunma Aramaki, a 19 MWp operational solar power plant in the Yamaguchi Prefecture in Japan to Tokyo Electic Power Company for approximately $64 million. Chairman and CEO of Canadian Solar, Dr. Shawn Qu mentioned,
“We have significantly enhanced the value of the Gunma Aramaki power plant over the past two years by acquiring the land for this project, and have meanwhile benefitted from the asset’s strong cash generation, Gunma Aramaki’s new owners have invested in our previous projects, and we are pleased to continue working with them. As we remain the asset manager and O&M service provider for this project, we will continue to capture a share of the project’s value creation through stable and long-term revenue streams, in addition to the profits from the sale.”
3. Solaredge Technologies (NASDAQ:SEDG)
No of HFs: 31
Total Value of HF Holdings: $553 Million
Solaredge Technologies is headquartered in Israel. The company provides a power optimizer, solar inverter, and monitoring systems for photovoltaic arrays which aims to increase energy output through module-level Maximum Power Point Tracking. During the third quarter of 2020, SEDG earned a $338.1 million revenue, a marginal increase of 2% from the prior quarter.
The top hedge fund holder for this stock is Ian Simm’s Impax Asset Management which had over $114 million invested in the stock at the end of September.
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2. First Solar, Inc. (NASDAQ:FSLR)
No of HFs: 40
Total Value of HF Holdings: $283 Million
First Solar, Inc. is one of the leading providers of comprehensive PV solar solutions that use its advanced module and system technology. PV Solar Solutions provide an economically attractive alternative to fossil-fuel electricity generation today. During the third quarter of 2020, the company reported net sales of $928 million, an increase of $285 million compared to the prior quarter.
First Solar’s Photovoltaic Technology became the longest-running research project at the Outdoor Test Facility where the product was continuously monitored for 25 years. Nick Strevel, the company’s vice president for product management mentioned that they are more confident now of their product,
“Our product encapsulation technology and materials today are far superior, this helps us understand a legacy performance baseline and provides further confidence in the superior long-term durability and long-term degradation performance of today’s product.”
First Solar has risen 10% in the last one year, underperforms the market. In an article, we mentioned what White Brook Capital’s had to say about it,
“First Solar is a provider of solar modules to the industrial and commercial segment. Despite lackluster earnings reported during the second quarter, the stock appreciated due to the growth in the backlog as their offering continues to be attractive to industrial customers globally.
Solar is having its second moment, and I believe that First Solar is the best positioned to take advantage. First Solar is an industrial and commercial solar module producer. While often thought of as a homogenous solution, solar generation assets should be considered on a spectrum with retail and industrial applications on opposite ends.
1. Enphase Energy, Inc. (NASDAQ:ENPH)
No of HFs: 42
Total Value of HF Holdings: $1.04 Billion
The top climate change stock to buy now is Enphase Energy, Inc. They are a technology company that designs and produces software-driven energy solutions that span solar generation, home energy storage, and web-based monitoring and control. The company’s first product was the M175, it was designed to output 175 Watts of AC power which was later on replaced by the M190 that offers a higher power rating of 190 Watts. During the third quarter of 2020, the company reported a revenue of $178.5 million, along with a record 41.0% for non-GAAP gross margin.
Enphase Energy, Inc recently launched its Enphase Installer Network in Australia. The product is designed to help Enphase installers grow their business with a range of innovative digital tools and exclusive benefits. These include allowing access to sales leads and metrics and analytics that can be leveraged to improve business efficiency and profits.
The top hedge fund holder for this stock is Daniel Patrick Gibson’s Sylebra Capital Management which had over $345 million invested in the stock at the end of September.
Please also see 11 Best Lithium and Battery Stocks To Buy Now and 12 Best Large Biotech Stocks to Buy Now
Disclosure: None.
