On August 22, Maheep Mandloi, Mizuho Americas Director of Clean Energy Equity Research, joined Worldwide Exchange on CNBC to discuss tariffs and US solar manufacturing growth. In the recent past, President Trump has been seen referring to solar and wind energy as the scam of the century. Despite this strong stance and the Trump administration’s cutting of federal funding for projects, Mandloi remains rather optimistic about this sector. This is because he clarified that less than 5% of projects are subject to federal funding or approval. The vast majority are built on private land and instead rely on federal tax credits. He pointed out that Congress has already approved these tax credits and that good news for the industry was just announced: the tax credits will be available through the end of 2030. From this perspective, Mandloi believes the sector seems less risky. He acknowledged the risk from tariffs, but also believes that higher demand will be a greater catalyst.
However, the sector has faced tariffs since 2012. These tariffs could shake up investors and question their impact, especially on solar, which is a sector known for its thin margins. This suggests that tariffs on components would increase costs for an industry that already operates on thin margins. But Mandloi stated that the new tariffs on wind are a new development, and the outcome remains to be seen. On the solar side, Mandloi explained that solar models are already three times more expensive in the US than in the rest of the world due to existing tariffs. This has led to a lot of manufacturing moving to the US. He expressed a preference for investing in stocks of companies with a domestic manufacturing footprint in the solar industry.
That being said, we’re here with a list of the 7 best performing solar stocks to buy now.
Our Methodology
We used the Finviz stock screener to compile a list of the 7 best-performing S&P 500 stocks with the highest year-to-date performance (more than 10%), as of September 3. We narrowed down our selection to stocks with the most hedge fund ownership. The stocks are ranked in ascending order of their year-to-date performance. We’ve also added the hedge fund sentiment for each stock, as of Q2 2025.
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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
7 Best Performing Solar Stocks To Buy Now
7. FTC Solar Inc. (NASDAQ:FTCI)
Number of Hedge Fund Holders: 1
Year-to-Date Performance as of September 3: 11.43%
FTC Solar Inc. (NASDAQ:FTCI) is one of the best performing solar stocks to buy now. On August 26, FTC Solar announced a new agreement with Levona Renewables to supply trackers and software for a one-gigawatt portfolio of solar projects. Shipments are set to begin in early 2026. The partnership will use FTC Solar’s Pioneer 1P trackers and its SunPath software to optimize energy yield through terrain-based backtracking and diffuse light optimization.
The first project under this agreement is “CT Solar One,” which is a 140-megawatt utility-scale solar facility in Snyder, Texas. The project is being developed on 478 acres within a much larger 27,000-acre site. Construction for this initial phase is scheduled to begin in early 2026. Following this, two more projects, “CT Solar Two” and “CT Solar Three,” will add another 650 megawatts to the overall site development. The flagship development for Levona Renewables is this 1.6 GW site in Snyder, Texas.
Levona Renewables is a consulting and engineering firm with headquarters in Plano, Texas, and a branch in Brazil. According to Fernando Queiroz, Levona’s CEO, the FTC team has provided significant value by optimizing the site for location, layout, row efficiency, and energy yield, which has also helped to avoid civil costs.
FTC Solar Inc. (NASDAQ:FTCI) engages in the manufacture and service of solar tracker systems in the US, Asia, Europe, the Middle East, North Africa, South Africa, and Australia.
6. Shoals Technologies Group Inc. (NASDAQ:SHLS)
Number of Hedge Fund Holders: 27
Year-to-Date Performance as of September 3: 21.52%
Shoals Technologies Group Inc. (NASDAQ:SHLS) is one of the best performing solar stocks to buy now. On August 21, Shoals Technologies Group announced the appointment of Aaron Zadeh as its new Country Manager for the Pacific region. In this role, he will be responsible for Shoals Technologies Group’s business in Australia, New Zealand, and the Pacific islands to accelerate solar growth.
Aaron Zadeh brings over 2 decades of experience in the energy sector, specifically in solar and energy storage. He has a background in driving strategic growth and managing large-scale projects across various global markets, including Australia, Europe, the UK, the Middle East, and the Asia-Pacific.
Before joining Shoals, Zadeh held senior positions at companies such as Array Technologies, FIMER, ABB, and AGL. His prior work includes establishing local manufacturing for Array trackers and developing FIMER & ABB’s inverter & medium-voltage skid integration center. Aaron holds an engineering degree in Materials Science and Solar Power, along with a Master of Business Management from the University of New South Wales.
Shoals Technologies Group Inc. (NASDAQ:SHLS) provides electrical balance of system/EBOS solutions and components in the US and internationally.
5. Tigo Energy Inc. (NASDAQ:TYGO)
Number of Hedge Fund Holders: 4
Year-to-Date Performance as of September 3: 43.16%
Tigo Energy Inc. (NASDAQ:TYGO) is one of the best performing solar stocks to buy now. On September 2, Tigo Energy announced that its 3-phase Tigo EI Residential solution has been certified for deployment in Slovakia. The certification was granted after the system completed compliance testing in partnership with Východoslovenská distribučná, a.s./VSD, which is a Slovak distribution system operator.
The certification confirms that the solution is compatible with local grid requirements and adheres to national standards on the quality of electricity distribution. The Tigo EI Residential 3-Phase Inverters were specifically tested and demonstrated their ability to safely disconnect from the grid during voltage loss events, which prevents unintended power from being fed back into the system.
The system’s effectiveness was demonstrated during a widespread blackout in the Czech Republic in June 2025, where it kept critical household loads running. The Slovak residential solar sector saw significant growth in 2024, accounting for ~43% of the total solar market growth. During this period, about 120 MW of rooftop solar systems were deployed across the country. Of these, more than 4 MW were equipped with Tigo MLPE/Module Level Power Electronics solutions, highlighting the growing adoption of Tigo’s technology.
Tigo Energy Inc. (NASDAQ:TYGO) provides solar and energy storage solutions worldwide. It offers module-level power electronics/MLPEs to maximize the energy output of individual solar modules for utility, commercial, and residential solar arrays.
4. Sunrun Inc. (NASDAQ:RUN)
Number of Hedge Fund Holders: 39
Year-to-Date Performance as of September 3: 72.22%
Sunrun Inc. (NASDAQ:RUN) is one of the best performing solar stocks to buy now. On September 4, Christine Cho CFA from Barclays reiterated a Hold rating on Sunrun, with a price target of $15.00. The company’s shares closed today at $16.49. Before this sentiment was reiterated, Sunrun announced its financial results for Q2 2025, where the company delivered a record performance from strong growth in its residential battery storage business.
The company reported a record Contracted Net Value Creation of $376 million, or $1.64 per share, marking a 316% increase year-over-year. This was achieved by expanding margins by 17 percentage points compared to the prior year, leading to the strongest Upfront Net Subscriber Value ever reported by the company. The company also saw a 40% year-over-year growth in its Aggregate Subscriber Value, which reached $1.6 billion in Q2.
Sunrun’s focus on residential battery storage is paying off. The company’s storage attachment rate hit an all-time high of 70% in Q2, up from 54%. Customer additions with storage increased by 50%. Sunrun has now installed more than 195,000 solar and storage systems, accumulating over 3.2 gigawatt-hours of Networked Storage Capacity. This has allowed Sunrun to operate as a large-scale distributed power plant, providing over 650 megawatts of peak power to the grid and helping to avoid blackouts, including a significant dispatch of over 340 megawatts during a heat wave in June.
Sunrun Inc. (NASDAQ:RUN) designs, develops, installs, sells, owns, and maintains residential solar energy systems in the US.
3. Nextracker Inc. (NASDAQ:NXT)
Number of Hedge Fund Holders: 50
Year-to-Date Performance as of September 3: 82.64%
Nextracker Inc. (NASDAQ:NXT) is one of the best performing solar stocks to buy now. On August 18, Nextracker released its FY2025 Sustainability Report, its second annual publication on environmental, social, and governance/ESG initiatives. The report highlights the company’s commitment to transparency and accountability and aligns with various standards and frameworks.
As a key milestone, Nextracker published its first TCFD index, which is based on a climate risk assessment and ensures compliance with California SB 261 law. The company also obtained a third-party assurance for its Scope 1 and Scope 2 Greenhouse Gas/GHG emissions data. In terms of product and supply chain responsibility, Nextracker introduced its new NX Foundation Solutions, including the NX Anchor, to improve solar deployment across different soil types.
It also launched the NX Horizon low-carbon tracker/LCT systems, which can reduce tracker-related carbon emissions by up to 35%. The company has achieved ISO 9001 quality management certification for its operations in Brazil, India, and the US, and earned ISO 14001:2015 certification for its Environmental Management System in the US, while also maintaining it in Brazil.
Nextracker Inc. (NASDAQ:NXT) provides solar tracker technologies and solutions for utility-scale and distributed generation solar applications in the US and internationally.
2. SolarEdge Technologies Inc. (NASDAQ:SEDG)
Number of Hedge Fund Holders: 27
Year-to-Date Performance as of September 3: 131.84%
SolarEdge Technologies Inc. (NASDAQ:SEDG) is one of the best performing solar stocks to buy now. On August 25, Guggenheim raised the firm’s price target on SolarEdge to $7 from $5, while keeping a Sell rating on the shares. The firm updated its model following the company’s Q2 2025 earnings report, where the total revenue for the quarter was $289 million.
When excluding $8 million from discontinued operations, the non-GAAP revenue was $281 million. This marks the second consecutive quarter of sequential and year-over-year revenue growth and margin expansion for the company. Revenue breakdown by region showed that the US contributed $185 million (66% of non-GAAP revenue), Europe contributed $65 million (23%), and other international markets accounted for $31 million (11%).
Despite a net loss, SolarEdge showed significant financial improvement. Its non-GAAP gross margin increased to 13.1% in Q2, up from 7.8% in Q1. The non-GAAP operating loss narrowed to $48.3 million, a considerable improvement from the $72.4 million loss reported in Q1. The non-GAAP operating expenses decreased to $85 million from $89 million in the previous quarter.
SolarEdge Technologies Inc. (NASDAQ:SEDG) together with its subsidiaries, designs, develops, manufactures, and sells direct current/DC optimized inverter systems for solar photovoltaic/PV installations in the US, Germany, the Netherlands, Italy, Europe, and internationally.
1. VivoPower International (NASDAQ:VVPR)
Number of Hedge Fund Holders: 1
Year-to-Date Performance as of September 3: 261.65%
VivoPower International (NASDAQ:VVPR) is one of the best performing solar stocks to buy now. On August 18, VivoPower International announced an agreement with Energi Holdings Limited, whereby Energi will acquire a 51% shareholding in VivoPower’s subsidiary, Tembo e-LV B.V. The strategic investment is based on a total enterprise valuation for 100% of Tembo of $200 million.
The deal allows for the resumption of Tembo’s planned business combination with the special purpose acquisition company/SPAC, Cactus Acquisition Corp 1 Limited/CCTSF, which values Tembo at an equity valuation of $838 million. The investment by Energi Holdings is a private investment in public equity/PIPE transaction. The final equity purchase price for the 51% stake will be calculated from the $200 million enterprise valuation, after adjustments for Tembo’s net debt and other customary closing conditions.
VivoPower will continue to hold a significant share in Tembo after the SPAC merger is completed. The immediate next step for the transaction is the filing of a registration statement on Form F-4 with the US Securities and Exchange Commission/SEC. In anticipation of Tembo becoming a publicly listed company, VivoPower has already started recruiting a dedicated board of directors for the subsidiary.
VivoPower International (NASDAQ:VVPR) provides energy solutions for customized and ruggedized fleet applications, battery & microgrids, and solar & critical power technology & services. It operates through Electric Vehicles, Sustainable Energy Solutions, and Solar Development segments.
While we acknowledge the potential of VVPR to grow, 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 VVPR and that has 100x upside potential, check out our report about this cheapest AI stock.
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