1. GE Vernova Inc. (NYSE:GEV)
Number of Hedge Fund Investors: 92
Stock Upside Potential: 8.84%
GE Vernova Inc. (NYSE:GEV) is one of the best wind power and solar stocks to buy, thanks to its diversified portfolio of products and services for generating, transferring, and storing renewable energy. The company’s wind segment uses wind-generation technologies, including onshore and offshore wind turbines and blades.
GE Vernova Inc. (NYSE:GEV)’s competitive edge stems from the fact that it is one of the leaders in the manufacturing, storage, and servicing of wind turbines. The company has installed more than 55,000 units worldwide, affirming the strength of its recurring servicing revenue.
Moreover, GE Vernova possesses a significant and expanding portfolio of wind projects, both onshore and offshore, which is expected to lead to consistent expansion in the near future. While it’s not exclusively focused on wind energy, GE Vernova Inc. (NYSE:GEV) offers investors a chance to be part of the industry and the broader movement towards lower carbon energy.
Amid the growing demand for clean energy to power data centers for the artificial intelligence revolution, GE Vernova is one of the companies well-positioned to benefit. The company has already started leveraging artificial intelligence to manage power more efficiently, having also released an AI-powered autonomous inspection software designed to transform energy asset inspections.
In its first quarter since being spun off by General Electric, GE Vernova Inc. (NYSE:GEV) posted a quarterly loss of $106 million, an improvement from the net loss of $346 million delivered a year ago. Nevertheless, revenues were up 6% to $7.26 billion.
Analysts on Wall Street remain upbeat about the company’s long-term prospects, with an average price target of $200.55, implying 8.84% upside potential. Likewise, 92 hedge funds out of 912 tracked by Insider Monkey held stakes in GE Vernova Inc. (NYSE:GEV) as of the end of the second quarter.
Here is what Carillon Eagle Mid Cap Growth Fund said about GE Vernova Inc. (NYSE:GEV) in its Q2 2024 investor letter:
“GE Vernova Inc. (NYSE:GEV) is a global electric power company that was recently spun out of a much larger industrial conglomerate. The company’s shares performed well in their first quarter as a standalone company, primarily as a result of the increasing outlook for power demand growth, both domestically and abroad. We believe GE Vernova is well positioned to capitalize on this growing trend across its various products and services, but most notably within its large-scale gas turbine equipment and related services, as well as in its high-voltage electrical transmission products.”
The best wind power and solar stocks to buy offer some of the best opportunities amid the clean energy push fuelled by the electric vehicle revolution and bid to combat climate change. However, given that the artificial intelligence arms race is just but starting, there are under-the-radar AI stocks trading at highly discounted valuations that hold greater promise for anyone looking to diversify their portfolio. If you are looking for an AI stock that is more promising than NVDA, check out our report about the cheapest AI stock.
READ NEXT: $30 Trillion Opportunity: 15 Best Humanoid Robot Stocks to Buy According to Morgan Stanley and Jim Cramer Says NVIDIA ‘Has Become A Wasteland’.
Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.
