In this article, we will discuss the 5 Most Profitable Renewable Energy Stocks Right Now. For deeper discussion and analysis, read 11 Most Profitable Renewable Energy Stocks Right Now.
5. WEC Energy Group, Inc. (NYSE:WEC)
Net Profit Margin TTM: 15.9%
WEC Energy Group, Inc. (NYSE:WEC) received a higher valuation on April 21 when Wells Fargo raised its price target to $127 from $117 while maintaining an Overweight rating. The firm updated first-quarter estimates to reflect identifiable operational drivers across regulated utility coverage and also raised sector valuation multiples.
On the same day, Truist initiated coverage of WEC Energy Group, Inc. (NYSE:WEC) with a Hold rating and a $124 price target. The firm noted that vertically integrated utilities stand to benefit from rising infrastructure needs tied to data center power demand, though it expressed a stronger preference for select peers.
WEC Energy Group, Inc. (NYSE:WEC) is a major utility holding company providing electricity and natural gas service to roughly 4.7 million customers across the Midwestern United States. Headquartered in Milwaukee, Wisconsin, the company traces its origins to 1896 and is investing heavily in solar, wind, battery storage, and a path toward net-carbon-neutral electric generation by 2050.
With an impressive net profit margin TTM, WEC ranks 5th among the most profitable renewable energy stocks right now. The substantial Wells Fargo target increase signals confidence in WEC’s steady regulated earnings growth and capital investment pipeline. Combined with an expanding renewable portfolio, the company offers a blend of defensive stability and long-duration infrastructure upside.
4. Public Service Enterprise Group Incorporated (NYSE:PEG)
Net Profit Margin TTM: 17.2%
Public Service Enterprise Group Incorporated (NYSE:PEG) initiated new analyst coverage momentum on April 21 when Truist began coverage with a Hold rating and a $91 price target. The firm noted that vertically integrated electric utilities are among the clearest beneficiaries of infrastructure buildouts needed to serve accelerating load growth from data centers, highlighting favorable structural demand trends for the sector.
On April 15, Jefferies downgraded Public Service Enterprise Group Incorporated (NYSE:PEG) to Hold from Buy and lowered its price target to $89 from $90. The firm cited reduced confidence in existing nuclear plant data center transaction opportunities and noted that a ratepayer protection pledge could reduce hyperscaler interest in contracting with current generation assets absent new capacity additions.
Public Service Enterprise Group Incorporated (NYSE:PEG) is a predominantly regulated energy company based in New Jersey that provides electric and natural gas service. Founded in 1903, the company has evolved into a major utility infrastructure operator focused on clean energy, grid modernization, and customer efficiency programs, including its Solar 4 All initiative.
Even with more cautious near-term analyst sentiment, PEG retains valuable regulated utility assets in a power market benefiting from rising electricity demand. Its clean generation base and grid investment opportunities provide a stable platform for earnings growth over time.
3. First Solar, Inc. (NASDAQ:FSLR)
Net Profit Margin TTM: 29.3%
First Solar, Inc. (NASDAQ:FSLR) saw Citi analyst Vikram Bagri lower the firm’s price target on April 21 to $243 from $300 while maintaining a Buy rating on the shares. The revision came as part of a broader first-quarter preview across alternative energy equipment and services, with Citi warning that the sector could face a difficult earnings season in the near term.
On the same day, Barclays analyst Christine Cho reduced the price target on First Solar, Inc. (NASDAQ:FSLR) to $213 from $228 while keeping an Overweight rating. The firm stated that gross margins could improve from roughly 7% this year to 12%-13% next year, though a return to the 20% range may depend on a favorable Section 232 trade outcome. Barclays also noted ongoing risks from elevated shipping and raw material costs.
First Solar, Inc. (NASDAQ:FSLR) 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. The company focuses on supplying modules for large solar power plants and is headquartered in Tempe, Arizona. First Solar was founded in 1999.
Despite near-term sector headwinds, both analysts maintained constructive ratings, reflecting confidence in First Solar’s competitive position and earnings power. Its domestic manufacturing footprint, utility-scale exposure, and margin recovery potential support an attractive long-term investment case as solar deployment accelerates.
2. Stem, Inc. (NYSE:STEM)
Net Profit Margin TTM: 88.2%
Stem, Inc. (NYSE:STEM) received a price target reduction on April 9 when Susquehanna lowered its objective to $10 from $21 while maintaining a Neutral rating. The firm updated estimates and valuation targets ahead of first-quarter earnings for companies in its alternative energy coverage universe, reflecting a more cautious sector backdrop.
On March 10, UBS also reduced its price target on Stem, Inc. (NYSE:STEM) to $12 from $18 while keeping a Neutral rating on the shares. The revision suggested tempered expectations despite continued recognition of the company’s software-led position in energy storage optimization.
Stem, Inc. (NYSE:STEM) is a leader in artificial intelligence-driven clean energy solutions focused on optimizing electricity usage for commercial, industrial, and utility-scale customers. Following its acquisition of AlsoEnergy, the company offers the PowerTrack software platform for monitoring and managing solar, storage, and hybrid energy assets. Stem was founded in 2009 and is headquartered in Houston, Texas.
Although analysts have reduced near-term targets, Stem remains strategically positioned at the intersection of AI, battery storage, and distributed energy management. As grid complexity increases and energy optimization becomes more valuable, the company retains meaningful upside if execution improves.
1. XCF Global, Inc. (NASDAQ:SAFX)
Net Profit Margin TTM: 384.5%
XCF Global, Inc. (NASDAQ:SAFX) announced on April 16, alongside DevvStream Corp., that under their previously disclosed three-party business combination agreement with Southern Energy Renewables, the combined entity will explore creating an integrated platform to generate, verify, and monetize Section 45Z Clean Fuel Production Credits tied to sustainable aviation fuel output. Management indicated that, if successfully executed, the model could become an industry-first structure linking domestic SAF production directly with the transfer and sale of clean fuel tax credits, supported by XCF’s New Rise Reno facility, which has permitted annual nameplate capacity of 38 million gallons. The company noted that qualifying SAF production could be eligible for transferable credits of up to $0.60 per gallon through December 31, 2029, subject to final regulations and market conditions.
On the same day, Roth Capital analyst Craig Irwin raised the price target on XCF Global, Inc. (NASDAQ:SAFX) to $1.20 from $0.40 while maintaining a Neutral rating. The firm cited tangible operational progress, stating that restart milestones for the New Rise facility remain on schedule relative to its model assumptions, while also highlighting the company’s collaboration and licensing agreement with Axens as a meaningful validation of XCF’s SAF technology platform.
XCF Global, Inc. (NASDAQ:SAFX) is a renewable fuels company focused on developing and operating production facilities for sustainable aviation fuel, renewable diesel, and naphtha to support aviation decarbonization goals. The company is headquartered in Houston, Texas, and was founded in 2016.
The potential monetization of 45Z tax credits could materially enhance project economics and create a differentiated recurring value stream beyond fuel sales alone. Combined with analyst recognition of restart progress and third-party technology endorsement, XCF Global appears positioned as a high-upside speculative play on the expanding sustainable aviation fuel market.
While we acknowledge the potential of SAFX as the most profitable renewable energy stock right now, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than SAFX and that has 100x upside potential, check out our report about this cheapest AI stock.
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