In this article, we will discuss the 5 Most Undervalued Renewable Energy Stocks to Invest In. For deeper discussion and analysis, read 11 Most Undervalued Renewable Energy Stocks to Invest In.
5. First Solar, Inc. (NASDAQ:FSLR)
Forward P/E: 8.23
On March 5, Evercore ISI analyst Nicholas Amicucci lowered the firm’s price target on First Solar, Inc. (NASDAQ:FSLR) to $212 from $241 while maintaining an In Line rating on the shares. The analyst updated financial estimates for several companies in the power and utilities sector following the conclusion of the fourth-quarter earnings season, adjusting valuation models to reflect updated operating performance and sector trends.
On March 3, Barclays reiterated an Overweight rating on First Solar, Inc. (NASDAQ:FSLR) while reducing its price target to $228 from $279. Despite the lower valuation target, the firm maintained a positive outlook for the company, citing continued short-term and intermediate-term demand for domestically produced solar modules. Barclays also noted that strong customer demand for First Solar’s products could enable the company to benefit from the 10% domestic-content adder associated with U.S. policy incentives, which could further enhance project economics for customers and support sustained order growth.
First Solar, Inc. (NASDAQ:FSLR) is an American manufacturer of solar panels. The company uses rigid thin-film module technology and produces cadmium telluride (CdTe) solar panels that use cadmium telluride as a semiconductor material. The company was founded in 1990 by inventor Harold McMaster as Solar Cells, Inc. First Solar is widely recognized as one of the largest and most influential solar energy companies in the United States and globally, positioning it to benefit from rising demand for domestically produced renewable energy technology.
4. Array Technologies, Inc. (NASDAQ:ARRY)
Forward P/E: 7.69
On March 6, UBS lowered the firm’s price target on Array Technologies, Inc. (NASDAQ:ARRY) to $10 from $15 while maintaining a Buy rating on the shares. The adjustment reflects updated valuation assumptions following the company’s recent earnings results, though the firm continues to see long-term upside potential tied to the global expansion of utility-scale solar installations and the role of solar tracking technology in improving project efficiency.
On March 2, Morgan Stanley analyst David Arcaro lowered the firm’s price target on Array Technologies, Inc. (NASDAQ:ARRY) to $7 from $9 while maintaining an Equal Weight rating. The firm said it revised its financial model and valuation metrics after reviewing the company’s latest earnings report and updated operating outlook.
On February 25, the company reported full-year 2025 revenue of nearly $1.3 billion, representing approximately 40% year-over-year growth. The increase was supported by a 35% rise in tracker volume shipments, reflecting continued demand for solar tracking systems that optimize energy generation in large-scale solar projects.
For 2026, Array Technologies, Inc. (NASDAQ:ARRY) expects revenue of $1.4 billion to $1.5 billion with adjusted gross margins between 26% and 27%. Adjusted EBITDA is projected at $200 million to $230 million, while adjusted diluted earnings per share are expected to range between $0.65 and $0.75. Free cash flow conversion as a percentage of adjusted EBITDA is expected to remain broadly consistent with 2025 levels.
The company anticipates first-quarter 2026 revenue of approximately $200 million and expects revenue generation to be weighted toward the second half of the year, with an estimated 40/60 split between the first and second halves. The outlook is supported by a record $2.2 billion order book, including roughly $100 million from APA Corporation, along with strong financial performance in 2025.
Array Technologies, Inc. (NASDAQ:ARRY) is a global provider of solar tracking technology and fixed-tilt systems used in utility-scale and distributed solar power projects. Its systems enable solar panels to follow the movement of the sun throughout the day, increasing energy production and improving project efficiency for renewable energy developers.
3. JinkoSolar Holding Co., Ltd. (NYSE:JKS)
Forward P/E: 5.54
On February 17, Nextpower announced its second major commercial order for U.S.-manufactured steel module frames, entering into a multi-year supply agreement with JinkoSolar Holding Co., Ltd. (NYSE:JKS). Under the agreement, Nextpower plans to supply more than one gigawatt of steel frames, with the potential to scale up to 3 gigawatts over a three-year period. The frames will support module manufacturing at JinkoSolar’s facility in Jacksonville, Florida, with production expected to begin in mid-2026.
The supply agreement highlights the growing adoption of steel module frames as a more durable and cost-effective alternative to traditional aluminum frames used in solar modules. The arrangement also reflects broader efforts to localize the solar supply chain within the United States, which could strengthen domestic manufacturing capabilities and reduce reliance on overseas components.
Third in the list of most undervalued renewable energy stocks to invest in, JinkoSolar Holding Co., Ltd. (NYSE:JKS) is a Chinese company that develops and markets photovoltaic products. Founded in 2006, the company provides solar system integration services, energy storage solutions, and solar power generation as well as engineering, procurement, and construction services for solar projects.
2. XPLR Infrastructure, LP (NYSE:XIFR)
Forward P/E: 4.45
On March 5, Evercore ISI downgraded XPLR Infrastructure, LP (NYSE:XIFR) to In Line from Outperform and reduced its price target to $10.80 from $15. The firm acknowledged the company’s progress in simplifying its corporate structure but noted that such restructuring efforts typically take time to fully translate into improved market perception and valuation. According to the analyst, while turnaround stories often attract investor interest, market enthusiasm for the company’s restructuring narrative appears to have diminished in the near term.
On February 10, the company reported adjusted EBITDA of $1.88 billion and free cash flow before growth of $746 million for full-year 2025, highlighting the strong cash-generation capacity of its contracted clean energy assets.
For 2026, XPLR Infrastructure, LP (NYSE:XIFR) expects adjusted EBITDA between $1.75 billion and $1.95 billion and free cash flow before growth of $600 million to $700 million. Management indicated that its capital investment program will primarily be funded through retained cash flows, supplemented by approximately $1.6 billion in project financing commitments and selective corporate debt issuance.
The company also expanded its repowering program to approximately 2.1 gigawatts through 2030, up from a previous target of 1.6 gigawatts, with about 1.3 gigawatts already completed. In addition, XPLR announced a co-investment arrangement with NextEra Energy to develop four co-located battery projects totaling 400 megawatts, expected to reach commercial operation by the end of 2027.
XPLR Infrastructure, LP (NYSE:XIFR) is a limited partnership headquartered in Juno Beach, Florida. The company owns and operates a portfolio of contracted clean energy assets across wind, solar, and battery storage projects throughout the United States.
1. SunPower Inc. (NASDAQ:SPWR)
Forward P/E: 2.30
On March 13, SunPower Inc. (NASDAQ:SPWR) announced the successful completion of its integration of Sunder Energy. SunPower Chairman and CEO T. J. Rodgers noted that acquisition integrations often fail due to poor execution, which can lead to the loss of both talent and enterprise value. Rodgers explained that the company employs a structured acquisition process consisting of five stage-gates designed to ensure comprehensive integration across operations, sales, branding, and management structures.
The process begins with Integration Review Zero, which establishes a detailed roadmap outlining hundreds of tasks required for a successful merger. Subsequent phases integrate core corporate functions, align product and sales organizations, unify branding and pricing strategies, and ultimately conclude with a final review by a six-member integration board led by Rodgers. According to management, this systematic approach has been successfully applied across dozens of acquisitions in multiple technology companies.
Earlier, on February 5, SunPower Inc. (NASDAQ:SPWR) appointed Wendell Laidley as Chief Financial Officer, reporting directly to Rodgers. Laidley previously held roles in equity research and investment banking, including positions at Deutsche Bank and Credit Suisse. He later served as a portfolio manager at RS Investments and held finance leadership positions at technology firms, including AppDynamics and Big Switch Networks, both of which were eventually acquired.
SunPower Inc. (NASDAQ:SPWR) is a U.S.-based residential solar installation, storage, and technology provider headquartered in Fremont, California. Formerly known as Complete Solaria before its name change in October 2025, the company focuses on high-efficiency solar panels, battery systems, and financing solutions. It operates as a major participant in the residential solar market, providing end-to-end solar energy services for homeowners and light commercial customers.
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