5 Most Undervalued Solar Stocks To Buy According To Hedge Funds

1. NextEra Energy, Inc. (NYSE:NEE)

Number of Hedge Fund Holders: 59

P/E Ratio as of November 2: 15.88

NextEra Energy, Inc. (NYSE:NEE) produces, transmits, and distributes electricity in North America. They generate power from different sources including wind, solar, nuclear, coal, and natural gas. NextEra Energy, Inc. (NYSE:NEE) develops and manages long-term contracted assets involving clean energy solutions like renewable facilities, battery storage projects, and electric transmission. It is one of the most undervalued solar stocks according to hedge funds. On October 13, NextEra Energy, Inc. (NYSE:NEE) declared a $0.4675 per share quarterly dividend, in line with previous. The dividend is payable on December 15, to shareholders of record on November 24. 

According to Insider Monkey’s second quarter database, 59 hedge funds were bullish on NextEra Energy, Inc. (NYSE:NEE), same as the last quarter. John Overdeck and David Siegel’s Two Sigma Advisors is a significant stakeholder of the company, with 2.56 million shares worth $190.4 million. 

Madison Sustainable Equity Fund made the following comment about NextEra Energy, Inc. (NYSE:NEE) in its Q3 2023 investor letter:

“Although NextEra Energy, Inc. (NYSE:NEE) reported an in-line second quarter, the stock has been weak primarily because of rising interest rates. NextEra also reported slower renewables backlog growth than expected. We do not view this as an issue as we expect the development pipeline timeline may not be as predictable as investors would like. The environment for renewables remains favorable both from a demand perspective as well as cost perspective.”

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