In this article, we discuss the 5 best alternative energy stocks to buy now. If you want to read our detailed analysis of these companies, go directly to the 10 Best Alternative Energy Stocks to Buy Now.
5. Dominion Energy, Inc. (NYSE: D)
Number of Hedge Fund Holders: 39
Forward P/E Ratio: 19.95
Dominion Energy, Inc. (NYSE: D) is a producer and distributor of energy and ranks 5th on our list of the best alternative energy stocks to buy now. The company’s Gas Distribution segment distributes nonregulated renewable natural gas while serving residential, commercial, and industrial areas.
On June 9th, the company completed the syndication of sustainable credit facilities, totaling up to $6.9 billion. This May, Dominion Energy, Inc. (NYSE: D) also announced a $0.63 per share quarterly dividend, with a forward yield of 3.25%, payable on June 20. Additionally, its Q1 non-GAAP EPS of $1.09 beat EPS estimates for the quarter by $0.01.
Dominion Energy, Inc. (NYSE: D) gained 4.55% in the past 6 months and 5.37% year to date.
4. NextEra Energy, Inc (NYSE: NEE)
Number of Hedge Fund Holders: 63
Forward P/E Ratio: 29.23
NextEra Energy, Inc (NYSE: NEE) is an electric power generating company. It ranks 4th on our list of the best alternative energy stocks to buy now. The company uses wind, solar, nuclear, and other energy-generating sources to produce electricity.
This May, the company announced a $0.385 per share quarterly dividend, with a forward yield of 2.07%. In their first quarter of 2021 report, NextEra Energy, Inc (NYSE: NEE) revealed a $3.73 billion revenue and $1.67 in earnings. Alongside this, they also beat EPS estimates for the first quarter by $0.08, with their EPS being $0.67 in the first quarter, a growth from the $0.40 EPS of the last quarter.
By the end of Q1, 63 hedge funds held stakes in NextEra Energy, Inc (NYSE: NEE) worth over $2.72 billion. The number of hedge fund holders for the first quarter has increased compared to the previous quarter when it was 61.
3. General Electric Company (NYSE: GE)
Number of Hedge Fund Holders: 68
Forward P/E Ratio: 55.22
General Electric Company (NYSE: GE) is a high-tech industrial company worldwide, and it’s ranked 3rd on our list of the best alternative energy stocks to buy now. The company’s renewable energy sector provides customers with energy generated from onshore and offshore wind, hydroelectric, storage, solar, and grid solutions, among others.
UBS recently reiterated a “Buy” rating for the General Electric Company (NYSE: GE) stock, alongside its $17 price target. General Electric Company (NYSE: GE) reported revenue of $17.12 billion in the first quarter of 2021 and its $0.03 EPS for the quarter beat estimates by $0.02, compared to last quarter’s miss by $0.01 with $0.08 EPS. The stock also gained 26.41% in the past 6 months and 30.75% year to date.
As of the end of the first quarter, 68 hedge funds held stakes in General Electric Company (NYSE: GE) worth $6.16 billion.
Vulcan Value Partners, in its Q1 2021 investor letter, mentioned General Electric Company (NYSE: GE). Here is what Vulcan Value Partners has to say about General Electric Company in its letter:
“General Electric is outperforming our expectations for 2021 as the economic recovery is occurring faster than expected. We are particularly pleased with its free cash flow generation. We are happy to own it in our portfolio.”
2. Enphase Energy, Inc. (NASDAQ: ENPH)
Number of Hedge Fund Holders: 49
Forward P/E Ratio: 76.62
Enphase Energy, Inc. (NASDAQ: ENPH) works with home energy solutions for the solar photovoltaic industry in the US and internationally. The company ranks 2nd on our list of the best alternative energy stocks to buy now and also offers semiconductor-based microinverters which convert energy at the solar module level.
This May, Enphase Energy, Inc. (NASDAQ: ENPH) announced the launch of a $500 million buyback program.
Enphase Energy, Inc. (NASDAQ: ENPH) also reported in its first-quarter report that the company had revenue of $301.75 million for the first quarter, alongside $31.7 million in earnings. The stock also beat EPS estimates for the quarter by $0.11 with its $0.56 EPS, a growth from the $0.51 EPS of last quarter. Enphase Energy, Inc. (NASDAQ: ENPH) also gained 2.88% in the past 6 months.
In the first quarter of 2021, 49 hedge funds held stakes in Enphase Energy, Inc. (NASDAQ: ENPH) worth over $803 million. The number of hedge fund holders for the stock has increased by 1 since the previous quarter.
1. Tesla, Inc. (NASDAQ: TSLA)
Number of Hedge Fund Holders: 62
Forward P/E Ratio: 133.03
Elon Musk’s Tesla, Inc. (NASDAQ: TSLA) is a company that manufactures and sells electric vehicles (EVs), and energy generation and storage systems in the US and internationally. The company’s Energy Generation and Storage segment in particular works on solar energy generation and energy storage products. Tesla, Inc. (NASDAQ: TSLA) ranks 1st on our list of the best alternative energy stocks to buy now.
Mizuho recently reiterated its Buy rating for Tesla, Inc. (NASDAQ: TSLA), citing strengths in battery electric vehicle sales trends. The firm points to data that indicates that Tesla remains the market leader in the BEV industry with a 24% market share. The firm has a $820 price target for Tesla.
In the first quarter of 2021, Tesla, Inc. (NASDAQ: TSLA) reported revenues of $10.39 billion and earnings of $438 million. The stock also beat EPS estimates for the quarter by $0.14 with an EPS of $0.93, a rise from the $0.80 EPS of last quarter which missed estimates by $0.23.
In the first quarter of 2021, 62 hedge funds held stakes in the company worth over $10 billion, compared to 68 hedge fund holders in the previous quarter having stakes worth over $12 billion in Tesla, Inc. (NASDAQ: TSLA).
See also 10 Largest Wind Energy Companies In The World and 10 Emerging Energy Technologies You Can Invest In Today.
