5 Best Green Energy Penny Stocks to Invest In

4. Fuel Tech Inc (NASDAQ:FTEK)

Stock Price: $1.39

Number of Hedge Fund Holders: 4

Upside Potential: 212.50%

Fuel Tech Inc (NASDAQ:FTEK) is one of the best green energy penny stocks to invest in. Fuel Tech Inc (NASDAQ:FTEK) stock is up around 60% over the past 12 months. The Street expects it to explode more than 200% from its current level.

In its Q1 2026 report, released on May 5, Fuel Tech Inc (NASDAQ:FTEK) said its consolidated revenue declined to $6.1 million from $6.4 million a year ago. That’s a drop of 5% YoY. Additionally, the company’s net loss increased to $1.4 million from $0.7 million a year ago.

Those were the results. But getting into the details, Fuel Tech’s high-margin air pollution control (APC) business continued to grow. The APC segment revenue increased 23% to $1.6 million, and segment gross margin expanded to 38.3%, compared with 32.6% a year ago.

Fuel Tech closed Q1 with a backlog of $6.9 million in its APC segment, and the backlog has expanded since. On April 28, the company announced winning multiple APC contracts worth $10 million. It secured these contracts with utility and industrial customers.

The largest of these contracts was secured from a Midwest municipal utility. It involves integrating Fuel Tech’s Selective Catalytic Reduction pollution control technology with the utility’s natural gas-fired turbines.

Fuel Tech Inc (NASDAQ:FTEK) provides technologies for air pollution control, water treatment, and process optimization. Its solutions help support grid reliability and resilience. Moreover, the company offers systems that support the production of green hydrogen, a source of clean energy.