In this article, we will take a look at the Goldman Sachs Solar and Green Energy Stocks: Top 5 Stock Picks. For a deeper discussion and an extended list, please see the Goldman Sachs Solar and Green Energy Stocks: Top 10 Stock Picks.
5. First Solar, Inc. (NASDAQ:FSLR)
Goldman Sachs’ Stake Value: $120.57 million
On March 4, 2026, GLJ Research lowered First Solar, Inc. (NASDAQ:FSLR) to Hold from Buy.
On February 25, 2026, Reuters reported that First Solar, Inc. (NASDAQ:FSLR) anticipated net sales of $4.9 billion to $5.2 billion in 2026, falling short of analysts’ average estimate of $6 billion, according to LSEG data. Executives noted policy uncertainties in the United States and delays in permitting for large projects under the Trump administration. Management also anticipated tariff charges of $125 million to $135 million in 2026. Analysts identified tariff pressures and a freeze on large solar project approvals as major hurdles to industry expansion and project timeframes.
Christopher Dendrinos of RBC Capital Markets commented that the 2026 estimate represents increased curtailment effort, but it may position the firm for higher volumes in later periods if tariffs stabilize. First Solar, Inc. (NASDAQ:FSLR) also reported limited demand for its Series 6 solar modules manufactured in Malaysia and Vietnam. The company intends to open a finishing line in South Carolina during the fourth quarter to upgrade freight functionality, reduce tariff exposure, and increase the usage of local resources. Citigroup’s Vikram Bagri hailed the company as a “long-term growth story.”
First Solar, Inc. (NASDAQ:FSLR) is a solar technology firm that provides solar modules. It designs, manufactures, and sells cadmium telluride solar modules, which convert sunlight into electricity.
4. Sunrun Inc. (NASDAQ:RUN)
Goldman Sachs’ Stake Value: $319.39 million
On March 13, 2026, Morgan Stanley analyst David Arcaro reduced Sunrun Inc. (NASDAQ:RUN)’s price objective from $21 to $15 while keeping an Equal Weight rating following the fourth-quarter results. The analyst upgraded the firm’s model, noting slower year-on-year solar origination growth.
On February 26, 2026, Sunrun Inc. (NASDAQ:RUN) published fourth-quarter and full-year 2025 financial results, with a net change of $290 million in cash and restricted cash and $377 million in cash generation in 2025.
CEO Mary Powell noted the company’s storage-first approach and the growing distributed power plant network, catering to more than one million customers. CFO Danny Abajian reported that margin discipline supports higher upfront subscription values. Sunrun Inc. (NASDAQ:RUN) has also launched a financing collaborative venture with Hannon Armstrong Sustainable Infrastructure Capital, as well as distributed power partnerships with NRG Energy, Inc., and Pacific Gas and Electric Company. The company estimated that it will generate $250 million to $450 million in cash by 2026.
Sunrun Inc. (NASDAQ:RUN) designs, develops, installs, sells, owns, and maintains residential solar energy systems. It sells solar services and installs solar energy systems for homeowners.
3. Cummins Inc. (NYSE:CMI)
Goldman Sachs’ Stake Value: $345.09 million
On February 10, 2026, Argus analyst Bill Selesky boosted Cummins Inc. (NYSE:CMI) ‘s price objective to $696 from $573, retaining a Buy rating. The analyst said that truck and machinery makers have solid long-term demand, which is being driven in part by infrastructure expansion in developing areas. Argus forecasts the firm’s Power Segment to continue growing, and the business will manage tariff expenses and trade disruptions.
On February 5, 2026, Reuters reported that Cummins Inc. (NYSE:CMI) generated $8.54 billion in fourth-quarter revenue, a 1% rise year on year. The corporation’s profitability was driven by strong demand in the power-generating systems and distribution segments, while softer North American truck demand hampered its engine and components businesses. Power Systems, which manufactures generators, gained revenues by 11% year on year, while Distribution, which provides global service, sales, and support, raised revenue by 7%. Accelera Innovations Inc., the clean-energy division, increased revenue by 31% during the quarter. Despite the sales growth, the stock sank nearly 9% in morning trading.
Cummins Inc. (NYSE:CMI) announced a quarterly profit of $4.27 per share, a 41% increase over the previous year, which included $1.54 per share in charges related to Accelera Innovations Inc.’s strategic evaluation. The company reported a $218 million charge for the segment’s electrolyzer unit. CEO Jennifer Rumsey said the firm expects to see slightly increased North American truck demand in the second half of 2026, as well as sustained solid demand for data center backup power. CFO Mark Smith noted that the existing tariff system will result in around 50 basis points of annual margin dilution, while the company expects sales growth of 3% to 8% for 2026.
Cummins Inc. (NYSE:CMI) designs, manufactures, and distributes diesel, natural gas, electric, and hybrid powertrains, as well as powertrain-related components. It functions in the following segments: Engine, Distribution, Components, Power Systems, and Accelera.
2. Constellation Energy Corporation (NASDAQ:CEG)
Goldman Sachs’ Stake Value: $651.96 million
On February 9, 2026, Constellation Energy Corporation (NASDAQ:CEG) entered a 20-year agreement with the Tennessee Titans to be the preferred energy source for the new Nissan Stadium. The corporation will operate an on-site facility to offer heating and cooling when the 60,000-capacity stadium opens in 2027.
On February 24, 2026, Reuters reported that Constellation Energy Corporation (NASDAQ:CEG) surpassed Wall Street expectations for fourth-quarter adjusted profit, reporting $2.30 per share compared to an average analyst estimate of $2.23, according to LSEG data.
CEO Joe Dominguez noted the firm’s nuclear fleet as a critical component in managing increased electricity demand caused by electrification and the data economy. Constellation Energy Corporation (NASDAQ:CEG) has struck a contract with CyrusOne to set up a new data center near the Freestone Energy Center in Texas, as well as deals with Meta Platforms and Microsoft Corporation for nuclear reactor operations. The corporation also closed on the $16.4 billion acquisition of Calpine Corporation in January.
Constellation Energy Corporation (NASDAQ:CEG) generates, supplies, and markets clean electricity, as well as renewable energy products and solutions. The company also provides wholesale energy, retail products, and services.
1. NextEra Energy, Inc. (NYSE:NEE)
Goldman Sachs’ Stake Value: $1,436.51 million
On February 26, 2026, Reuters reported that NextEra Energy, Inc. (NYSE:NEE) will conduct a $2 billion public offering of equity units to fund energy and power projects. The company valued each equity unit at $50 and combined it with a contract that allows investors to buy NextEra Energy common stock within 3 years. The firm also plans to offer underwriters the option to purchase up to $300 million in additional equity units to cover any overallotment.
U.S. utilities continue to invest extensively in grid upgrades as rapid data center construction fuels record-breaking electricity demand. Following the news announcement, NextEra Energy, Inc. (NYSE:NEE) shares fell roughly 1% in premarket trade. Wells Fargo Securities, BofA Securities, Citigroup Inc., and Mizuho Financial Group will act as joint book-running managers for the transaction.
Separately, on March 5, 2026, UBS raised NextEra Energy, Inc.’s (NYSE:NEE) price objective from $91 to $104 while keeping a Buy rating. The firm noted a considerable need for increased power generation, particularly at NextEra Energy Resources, LLC (NEER), which serves large-load clients like data centers. According to UBS, next-generation transactions have the potential to increase investor confidence and value.
NextEra Energy, Inc. (NYSE:NEE) provides renewable energy. It operates through two segments: FPL and NEER.
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