In this article, we will discuss the 8 Best Solar Energy Stocks to Buy Right Now.
On May 1, Mark Widmar, CEO of First Solar, joined ‘Squawk on the Street’ on CNBC to discuss the demand for solar energy. Widmar’s company reaffirmed its full-year guidance after delivering solid Q1 2026 earnings, while he also acknowledged ongoing challenges, specifically trade policy uncertainty and tariffs impacting the global supply chain. Widmar highlighted the significant load growth and the increasing need for electrons to support industrial expansion, particularly the massive energy requirements of AI. He explained that the industry must be nimble and agile to manage the friction caused by shifting policies, though he expects these pressures to lessen as the focus remains on reshaping the industry to create a more stable domestic presence. He emphasized that the path forward involves providing tech that adds significant value to customers who prioritize reliable and affordable energy.
Widmar advocates for an all-of-the-above strategy to ensure energy diversification and reliability. He compared the energy landscape to the military, noting that just as different branches must cooperate for success, different forms of generation must be optimized together to provide power at the most affordable cost points. He observed that because of current constraints with grid connection, there is a significant shift toward behind-the-meter or off-grid generation. This approach allows large-scale users to co-locate generation on-site, often using batteries to create a hybrid structure that combines grid-connected and independent capacity. Discussing the economic foundation of the sector, Widmar insisted that while subsidies have been helpful, the industry must eventually be viable and economical on its own merits. He argued that certain renewable technologies represent the lowest cost of energy and electricity available today.
Our Methodology
We used the Finviz Stock Screener to identify solar energy stocks, and limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. These stocks are also popular among analysts and elite hedge funds. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q4 2025.
Note: All data was sourced on May 8.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
8 Best Solar Energy Stocks to Buy Right Now
8. Daqo New Energy Corp. (NYSE:DQ)
Number of Hedge Fund Holders: 20
Daqo New Energy Corp. (NYSE:DQ) is one of the best solar energy stocks to buy right now. On April 29, Daqo New Energy reported a sharp revenue decline to $26.7 million for Q1 2026, down from $221.7 million in the previous quarter. This resulted in a gross loss of $139.4 million and a net loss of $88.4 million, or $1.31 per ADS. The downturn was primarily driven by a decision to reduce sales volume to avoid selling below production costs, coupled with significant inventory impairment provisions.
Operationally, Daqo New Energy Corp. produced 43,402 MT of polysilicon, exceeding its guidance despite an industry-wide slowdown. However, sales volume dropped to 4,482 MT as management maintained a disciplined approach toward low market prices. Total production costs rose slightly to $5.95/kg, yet the company ended the quarter with a robust balance sheet featuring $2.00 billion in cash and liquid assets and zero debt.
For the remainder of 2026, the company expects a full-year production range of 140,000 MT to 170,000 MT, with Q2 targets set between 35,000 MT and 40,000 MT. Management anticipates that government anti-involution policies will eventually stabilize the current overcapacity. Looking ahead, Daqo remains focused on cost optimization through digital transformation and high-efficiency N-type technology to navigate the market recovery.
Daqo New Energy Corp. is a provider of polysilicon to photovoltaic product manufacturers. The company’s products are utilized in ingots, wafers, and modules for solar power solutions.
7. SunPower Inc. (NASDAQ:SPWR)
Number of Hedge Fund Holders: 22
SunPower Inc. (NASDAQ:SPWR) is one of the best solar energy stocks to buy right now. On April 28, SunPower closed a $41 million private placement of senior convertible debenture notes featuring a 10% coupon. The proceeds are designated to enhance liquidity and facilitate debt reduction, specifically by paying off $28.75 million in existing obligations. Additionally, investors holding prior 7.0% convertible notes agreed to exchange $21.25 million of principal for equity, contributing to a total debt reduction of $40 million for the company.
As part of the transaction, Sunder, a recently acquired solar sales firm, swapped $10 million in acquisition debt for notes in this new offering. CEO T.J. Rodgers indicated that the resulting cash plan is designed to sustain operations through 2026, targeting a move into positive cash flow by 2027. This financial restructuring arrives amid broader market volatility, including the recent bankruptcy of a major competitor.
Despite industry headwinds, SunPower Inc. climbed to the number five spot in US residential solar and is targeting the number three position. Growth is being further supported by the recruitment of ~600 sales representatives from recently distressed firms. Detailed insights into the cash plan and future outlook are scheduled to be discussed in the upcoming investor report on May 12.
SunPower Inc. is a US-based residential solar installation, storage, and technology provider. The company focuses on high-efficiency solar panels, battery systems, and financing solutions.
6. Sunrun Inc. (NASDAQ:RUN)
Number of Hedge Fund Holders: 35
Sunrun Inc. (NASDAQ:RUN) is one of the best solar energy stocks to buy right now. On May 6, Sunrun reported total revenue of $722.2 million for Q1 2026, marking a 43% increase compared to the same period last year. While the company achieved a record storage attachment rate of 73% and a net income of $167.6 million, cash generation was negative $59 million. Management attributed this cash deficit to a shift in the timing of project finance activities into Q1 and investments in equipment safe harbor.
The company continued to strengthen its financial position by paying down $92 million of recourse debt, including the remaining balance of its 2026 convertible senior notes. Sunrun Inc. also expanded its capital access by increasing its warehouse facility commitments to $2.7 billion and extending its availability through 2029. Despite a 25% year-over-year decrease in subscriber additions during the quarter, the total customer base surpassed 1.1 million, reflecting an 11% growth in subscribers compared to the prior year.
Looking forward, Sunrun reiterated its full-year 2026 cash generation guidance of $250 million to $450 million. The company expects Q2 aggregate subscriber value to fall between $1.1 billion and $1.2 billion, with contracted net value creation estimated between $100 million and $200 million. Leadership remains focused on a storage-first strategy and using its scale to navigate current industry dislocations and stabilize the power grid.
Sunrun Inc. designs, develops, installs, sells, owns, and maintains residential solar energy systems. It sells solar services and installs solar energy systems for homeowners.
5. SolarEdge Technologies Inc. (NASDAQ:SEDG)
Number of Hedge Fund Holders: 35
SolarEdge Technologies Inc. (NASDAQ:SEDG) is one of the best solar energy stocks to buy right now. On May 6, SolarEdge reported Q1 2026 revenues of $310.5 million, representing 46% year-over-year growth despite a 7.4% sequential decline from the previous quarter. The company posted a GAAP net loss of $57.4 million, or $0.95 per share, which showed improvement compared to the $132.1 million loss in Q4 2025. During the period, SolarEdge recognized revenue from approximately 50.5 thousand inverters, 2.4 million optimizers, and 331 MWh of battery storage.
The company achieved its sixth consecutive quarter of margin expansion, with non-GAAP gross margins reaching 23.5%. While operating expenses rose slightly to $123.3 million on a GAAP basis, management noted that excluding a one-time $14 million expense, the underlying operating loss remained flat sequentially. SolarEdge continues to maintain a positive cash position, generating $20.7 million in free cash flow and ending the quarter with a net cash and investment portfolio of $246.2 million.
Looking ahead to Q2 2026, SolarEdge Technologies Inc. expects revenues to rise to between $325 million and $355 million. Management signaled that a return to operating profitability is in sight, driven by the rollout of the Nexis platform and a new focus on AI data-center power solutions.
SolarEdge Technologies Inc. develops energy technologies and delivers inverter solutions. The company operates in two segments: solar and all other.
4. Array Technologies Inc. (NASDAQ:ARRY)
Number of Hedge Fund Holders: 35
Array Technologies Inc. (NASDAQ:ARRY) is one of the best solar energy stocks to buy right now. On May 6, Array Technologies reported Q1 2026 revenue of $223.4 million, exceeding previous expectations and achieving a record orderbook of $2.4 billion. While the company posted a GAAP net loss of $13.5 million, or $0.09 per share, it recorded an adjusted EBITDA of $28.8 million and an adjusted net income of $0.06 per diluted share.
The company is expanding its international footprint with new contracted projects in Turkey, Peru, and Colombia. To support this global growth, Array introduced the DuraTrack D2S, a next-gen dual-row tracker specifically designed for international markets that incorporates patented wind stow technology and SmarTrack software. Additionally, the company opened a new headquarters and innovation site to centralize its research and training efforts for integrated tracking and foundation solutions.
Management reaffirmed its full-year 2026 guidance, projecting revenue between $1.4 billion and $1.5 billion and adjusted EBITDA in the range of $200 million to $230 million. For Q2, the company expects revenue to increase to between $300 million and $320 million. Array Technologies Inc. continues to focus on maintaining margin resilience through commercial excellence and strategic investments in its software and service business segments.
Array Technologies Inc. is a global provider of solar tracking technology and fixed-tilt systems used in utility-scale and distributed solar power projects.
3. Shoals Technologies Group Inc. (NASDAQ:SHLS)
Number of Hedge Fund Holders: 36
Shoals Technologies Group Inc. (NASDAQ:SHLS) is one of the best solar energy stocks to buy right now. On May 5, Shoals Technologies reported Q1 2026 revenue of $140.6 million, a 75% increase year-over-year. While the company achieved an income from operations of $7.7 million and an adjusted EBITDA of $21.1 million, it posted a slight net loss of $0.3 million. This performance was supported by record backlog and awarded orders reaching $758 million, driven by sustained demand in domestic utility-scale solar and expansion into international and battery energy storage markets.
The company’s gross margin was 29.2%, down from 35.0% in the prior year due to higher tariff payments, material costs, and expenses related to the opening of a new consolidated operations facility. G&A expenses also rose to $31.0 million, primarily due to increased legal fees for ongoing intellectual property and shareholder litigation. Despite these costs, the company reported a significant increase in adjusted net income, which rose to $12.1 million compared to $5.7 million in the previous year.
Supported by strong market demand and its new production facility, Shoals Technologies Group Inc. raised its full-year 2026 guidance, now expecting revenue between $600 million and $640 million. For Q2, the company anticipates revenue in the range of $150 million to $170 million and adjusted EBITDA between $28 million and $33 million.
Shoals Technologies Group Inc. provides electrical balance-of-system solutions for solar power installations, battery storage systems, and related energy infrastructure projects.
2. Enphase Energy Inc. (NASDAQ:ENPH)
Number of Hedge Fund Holders: 47
Enphase Energy Inc. (NASDAQ:ENPH) is one of the best solar energy stocks to buy right now. On May 7, Enphase Energy signed a new $52 million safe harbor agreement with a US solar and battery financing company focused on third-party ownership/TPO models. The deal involves the supply of IQ9 Microinverters produced at domestic manufacturing facilities for use in future residential and commercial projects.
This agreement is designed to help project owners secure eligibility for the base investment tax credit and the domestic content bonus credit. With this latest contract, Enphase’s total physical work test/PWT order backlog with TPO providers has reached approximately $873.7 million. Most of this volume was secured throughout early 2026, totaling $754 million before the most recent agreement.
Enphase Energy Inc. expects to recognize the associated revenue between 2027 and 2030, depending on specific customer project timelines and market demand. The current backlog exclusively covers IQ9 Microinverters, leaving room for additional revenue through the future attachment of IQ Batteries, cables, and other accessories.
Enphase Energy Inc. is an energy technology company. It designs and manufactures microinverter-based solar and battery storage systems for residential and commercial applications.
1. First Solar Inc. (NASDAQ:FSLR)
Number of Hedge Fund Holders: 79
First Solar Inc. (NASDAQ:FSLR) is one of the best solar energy stocks to buy right now. On April 30, First Solar reported a strong start to 2026 with Q1 net sales of $1.04 billion, a 24% increase compared to the prior year. This growth was fueled by record sales in India and higher module volumes sold to third parties. Net income reached $347 million, or $3.22 per diluted share, representing a 65% year-over-year increase, while adjusted EBITDA grew to $520 million, surpassing the company’s initial expectations.
The company maintained a massive contracted sales backlog of 47.9 GW as of March 31. While the net cash balance decreased to $2.0 billion due to seasonal working capital needs and investments in its South Carolina finishing facility, management emphasized that their domestic manufacturing footprint and independence from Chinese supply chains continue to strengthen their competitive position. For Q2, First Solar Inc. anticipates module sales between 3.4 GW and 4.0 GW and adjusted EBITDA between $400 million and $500 million.
First Solar reaffirmed its full-year 2026 guidance, projecting net sales between $4.9 billion and $5.2 billion and adjusted EBITDA between $2.6 billion and $2.8 billion. This outlook assumes approximately $2.1 billion to $2.2 billion in Section 45X tax credits and a stable US policy environment. The company expects total volume sold for the year to range from 17.0 GW to 18.2 GW as it continues to scale its operations and advance its differentiated thin-film technology.
First Solar Inc. is a leading American solar technology company specializing in advanced thin-film photovoltaic modules used primarily in utility-scale solar developments. It falls 3rd in the list of 11 most profitable renewable energy stocks right now.
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