5 Stocks to Buy as the Senate Passes Inflation Reduction Act

In this article, we discuss the 5 stocks to buy as the Senate passes the Inflation Reduction Act. If you want to read about some more stocks to buy as the Senate passes the Inflation Reduction Act, go directly to 10 Stocks to Buy as the Senate Passes Inflation Reduction Act.

5. SolarEdge Technologies, Inc. (NASDAQ:SEDG)

Number of Hedge Fund Holders: 47  

SolarEdge Technologies, Inc. (NASDAQ:SEDG) markets semiconductor equipment to the solar industry. Even though the company missed market expectations on revenue for the second quarter of 2022 in recently announced earnings results, the stock has gained in the past few weeks due to the successful passage of the Inflation Reduction Act in the US Senate. The new Act has set aside nearly $60 billion to incentivize solar and wind power manufacturing inside the United States. 

On August 8, JPMorgan analyst Mark Strouse maintained an Overweight rating on SolarEdge Technologies, Inc. (NASDAQ:SEDG) stock and raised the price target to $419 from $373, noting that investor expectations with the industry would remain materially high in the coming months. 

Among the hedge funds being tracked by Insider Monkey, London-based investment firm Impax Asset Management is a leading shareholder in SolarEdge Technologies, Inc. (NASDAQ:SEDG), with 588,056 shares worth more than $188 million. 

In its Q1 2022 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and SolarEdge Technologies, Inc. (NASDAQ:SEDG) was one of them. Here is what the fund said:

“The Strategy is well-exposed to this secular shift and to accelerated spending on alternative energy sourcing and generation. Growth in renewables should benefit SolarEdge Technologies, Inc. (NASDAQ:SEDG), a company we repurchased on weakness in the first quarter that develops electronics for solar installations and should take advantage of greater incentives for solar installations in many geographies. SolarEdge Technologies, Inc. (NASDAQ:SEDG) has expanded its products offering to address larger markets in commercial and utility solar on top of its traditional residential solar market.”