The renewable energy production was around 8314 trillion British thermal units in 2010. And in 2020, it went to 11,348 trillion British thermal units. (Source: Statista)
The global economy is gradually shifting its power sources from fossil fuels to renewable energy. The result of which is the continuous positive growth of the renewable energy industry. And that’s the reason why renewable energy stocks are getting so popular among investors these days.
This global shift of power sources will take decades and trillions of dollars to complete, but it has the potential to fill the pockets of investors that are interested in green energy investments.
There are many renewable energy stocks to watch in 2021 and invest in.
How to decide which one to watch or trade? Do your own research first. Adopt daily trading habits and then build your stock watchlist which is a part of a traders’ daily routine. Here is a list of recommended renewable energy stocks that have nice stock chart patterns and a high chance to skyrocket.
Brookfield Renewable Partners (NYSE: BEPC)
Brookfield Renewable Partners is one of the largest global renewable energy companies. It sells the power it produces in bulk under fixed-rate and long term purchase agreements. These contracts offer them stable cash flow, which the company uses to invest in the expansion of its portfolio and to pay attractive dividends.
According to Brookfield, they are financially capable of investing $800 million to $1 billion per year for expanding their renewable energy portfolio by the end of 2025, with a major focus on new solar power energy developments. These investments, if made as planned, should grow their cash flow and share price 11% – 16%. In addition, the company’s dividend will also increase to around 5% – 9%.
Because of its strong financial profile and plans regarding the expansion of the solar energy platform, Brookfield can offer great investment returns so adding them to your watchlist is worth it.
NextEra Energy (NYSE: NEE)
NextEra Energy operates two business segments:
- A competitive energy segment – it transports natural gas and generates electricity under fixed-fee and long-term agreements.
- Rate-regulated electric utilities, with a major goal to distribute power to businesses and consumers.
With these segments, this company produces energy from sun and wind more than any other firm in the world. In addition, this also helps the company generate a steady cash flow and enough money to invest for expansion of its operations and to pay for dividends on time.
The company is financially strong and is planning to invest billions of dollars in the development of new renewable energy projects in the coming years. And a good portion of that investment is going toward solar energy. These investments will grow their earnings at least 6% to 8% per year by 2023.
Moreover, it will also allow NextEra to increase the dividend rate by approximately 10% annually till 2022. Thus, it’s best if you add this stock to your portfolio so that you won’t miss the chance to benefit from it.
First Solar (NASDAQ: FSLR)
First Solar is one of the leading companies engaged in producing thin-film solar panels. Their large modules produce electricity at a lower price per watt than the traditional silicon-based panels. Their panels also perform great in humid, hot and other climatic conditions. Those are the characteristics that make their products perfect for utility-scale applications.
This company also has a large and steady cash flow, which provides it with high-interest income. First Solar’s strong financial strength not only helps it reduce the production costs of its panels but also to continue the expansion of its manufacturing capacity to meet red-hot demand.
First, Solar provides investors with a high growth potential because of its expansion plans regarding solar panel manufacturing capacity. So it’s best if you keep an eye on this renewable stock and make the right investment move at the right time.
One Step Forward To Renewable Stocks
Renewable energy stocks are a great investment.
Investing in renewable energy penny stocks is another great option that you must consider. But what exactly are these stocks? The stocks that have a price value under $1 are known as penny stocks. They are popular investments because of their low price and volatile nature. Investors can gain quick profits from them.
Here are top renewable energy penny stocks that have high chances to grow in the near future:
ReneSola Ltd (NYSE: SOL)
ReneSola Ltd is a solar project operator and developer. The company provides solar power project financing, construction management and project development services. ReneSola has signed JV agreements with Eiffel Investment Group with an aim to accelerate their solar development. According to their first-quarter financial results for 2021, the company is expected to increase their revenue to $90 TO $100 MILLION. Therefore investors might experience a rise in the share price of this penny stock.
Sunworks Inc. (NASDAQ: SUNW)
The stock of Sunworks climbed to $1.82 during the first half of 3Q. Moreover, the company has a merger pending with The Peck Company. While the deal is still on the table, both the companies have seen making strong moves in the market recently. Thus, there are great chances that the share price of this company might increase in future, because of the merger and other policies. So keep an eye on this penny stock and invest at the perfect time.
While choosing the right stocks to trade, you will come across many investors and traders who will recommend to you their choice of stocks with the guarantee of high price increase. But you should perform your own research and then buy those stocks that you are 100 percent sure about.
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