In this article, we discuss the 5 best climate change stocks to buy according to hedge funds. If you want to read about some more climate change stocks, go directly to 14 Best Climate Change Stocks To Buy According to Hedge Funds.
5. Enphase Energy, Inc. (NASDAQ:ENPH)
Number of Hedge Fund Holders: 43
Enphase Energy, Inc. (NASDAQ:ENPH) markets home energy solutions and has operations across the world. On March 11, investment advisory Piper Sandler maintained a Neutral rating on Enphase Energy, Inc. (NASDAQ:ENPH) stock and lowered the price target to $113 from $117.
At the end of the fourth quarter of 2023, 43 hedge funds in the database of Insider Monkey held stakes worth $638 million in Enphase Energy, Inc. (NASDAQ:ENPH), compared to 40 the preceding quarter worth $521 million.
In its Q4 2023 investor letter, Aristotle Atlantic Partners, an asset management firm, highlighted a few stocks and Enphase Energy, Inc. (NASDAQ:ENPH) was one of them. Here is what the fund said:
“We sold our position in Enphase Energy, Inc. (NASDAQ:ENPH) due to slowing demand for residential solar energy, primarily driven by rising interest rates and potentially increasing competition. During the second quarter earnings report in July, the company lowered its guidance for the third quarter microinverter, and we believed there was a heightened risk that Enphase would lower guidance again. We remain optimistic about Enphase’s competitive advantages over the long term in the residential solar energy market, but we prefer to wait for more apparent evidence of a rebound before considering a reinvestment in the company.”
4. First Solar, Inc. (NASDAQ:FSLR)
Number of Hedge Fund Holders: 47
First Solar, Inc. (NASDAQ:FSLR) provides global photovoltaic (PV) solar energy solutions. On February 28, investment advisory RBC Capital maintained an Outperform rating on First Solar, Inc. (NASDAQ:FSLR) stock with a price target of $195.
At the end of the fourth quarter of 2023, 47 hedge funds in the database of Insider Monkey held stakes worth $1.1 billion in First Solar, Inc. (NASDAQ:FSLR), compared to 49 in the preceding quarter worth $1 billion.
3. NextEra Energy, Inc. (NYSE:NEE)
Number of Hedge Fund Holders: 65
NextEra Energy, Inc. (NYSE:NEE) is an electrical utility company based in Florida. On March 15, investment advisory Mizuho maintained a Buy rating on NextEra Energy, Inc. (NYSE:NEE) stock and raised the price target to $67 from $65.
Among the hedge funds being tracked by Insider Monkey, California-based investment firm Cavalry Asset Management is a leading shareholder in NextEra Energy, Inc. (NYSE:NEE) with 14,969 million shares worth more than $909,000.
2. Tesla, Inc. (NASDAQ:TSLA)
Number of Hedge Fund Holders: 82
Tesla, Inc. (NASDAQ:TSLA) is an automotive and clean energy company. On March 13, investment advisory Wedbush maintained an Outperform rating on Tesla, Inc. (NASDAQ:TSLA) stock with a price target of $315.
At the end of the fourth quarter of 2023, 82 hedge funds in the database of Insider Monkey held stakes worth $6.2 billion in Tesla, Inc. (NASDAQ:TSLA), compared to 81 in the previous quarter worth $5.8 billion.
Here is what Fred Alger Management has to say about Tesla, Inc. (NASDAQ:TSLA) in its Q4 2023 investor letter:
“Tesla, Inc. (NASDAQ:TSLA) is an electric vehicle manufacturer with a significant technological lead in its large and rapidly growing addressable market. Tesla is a transportation company that is setting the pace for industry innovation, in our view. During the quarter, the company reported weaker-than-expected fiscal third quarter earnings, where gross margins were negatively impacted by factory downtime and ramping production volumes at new manufacturing plants. However, the company noted that they remain confident by the amount of data that Tesla’s established and growing fleet of vehicles has gathered, which may bode well for the company’s full self-driving capabilities.”
1. General Electric Company (NYSE:GE)
Number of Hedge Fund Holders: 92
General Electric Company (NYSE:GE) is a high-tech industrial firm with extensive interests in the energy world. On March 11, investment advisory Goldman Sachs maintained a Buy rating on General Electric Company (NYSE:GE) stock and raised the price target to $177 from $156.
At the end of the fourth quarter of 2021, 92 hedge funds in the database of Insider Monkey held stakes worth $12.2 billion in General Electric Company (NYSE:GE), compared to 76 in the previous quarter worth $10.3 billion.
You can also take a peek at 20 Most Owned Stocks by Hedge Funds Now and 11 Fastest Growing AI Stocks To Invest In Now.
