In this article, we discuss the 5 green energy stocks that analysts are recommending for the future. If you want to read our detailed analysis of these stocks, go directly to Analysts Are Recommending These 10 Green Energy Stocks for the Future.
5. SolarEdge Technologies, Inc. (NASDAQ:SEDG)
Number of Hedge Fund Holders: 34
SolarEdge Technologies, Inc. (NASDAQ:SEDG) markets semiconductor equipment to the solar industry. Major hedge funds hold bullish positions on the firm. Among the hedge funds being tracked by Insider Monkey, London-based investment firm Impax Asset Management is a leading shareholder in SolarEdge Technologies, Inc. (NASDAQ:SEDG) with 754,007 shares worth more than $210 million.
On February 17, Citi analyst JB Lowe maintained a Buy rating on SolarEdge Technologies, Inc. (NASDAQ:SEDG) stock and raised the price target to $320 from $310, noting that the firm was poised to grow in the commercial solar business in 2022.
In its Q2 2021 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and SolarEdge Technologies, Inc. (NASDAQ:SEDG) was one of them. Here is what the fund said:
“Our sustainability orientation has led us to favor renewable energy providers such as SolarEdge Technologies, Inc. (NASDAQ:SEDG) over traditional fossil fuel energy companies. Renewables stocks moved up very strongly over the last several quarters on optimism about huge green stimulus plans in Europe and the U.S. so we took profits and sold SolarEdge Technologies, Inc. (NASDAQ:SEDG) as valuations became demanding.”
4. First Solar, Inc. (NASDAQ:FSLR)
Number of Hedge Fund Holders: 36
First Solar, Inc. (NASDAQ:FSLR) provides solar energy solutions. On January 4, investment advisory Raymond James upgraded the stock to Market Perform from Underperform without a price target. Analyst Pavel Molchanov issued the ratings update.
The hedge fund sentiment around First Solar, Inc. (NASDAQ:FSLR) is largely positive. At the end of the fourth quarter of 2021, 36 hedge funds in the database of Insider Monkey held stakes worth $199 million in First Solar, Inc. (NASDAQ:FSLR), up from 31 in the preceding quarter worth $266 million.
In its Q1 2021 investor letter, White Brook Capital, an asset management firm, highlighted a few stocks and First Solar, Inc. (NASDAQ:FSLR) was one of them. Here is what the fund said:
“First Solar, Inc. (NASDAQ:FSLR) and Itron (ITRI), both of which I’ve written about in past In Focus sections were long-term positions that were sold as their prices exceeded price targets. Both are solid companies that remain on my watchlist, but the opportunity cost of not investing in other potential investments exceeded their potential mid-term returns.”
3. NextEra Energy, Inc. (NYSE:NEE)
Number of Hedge Fund Holders: 55
NextEra Energy, Inc. (NYSE:NEE) is a Florida-based electric utility firm. It is a favorite utilities stock in the finance world. Among the hedge funds being tracked by Insider Monkey, Washington-based investment firm Fisher Asset Management is a leading shareholder in NextEra Energy, Inc. (NYSE:NEE) with 15 million shares worth more than $1.4 billion.
In December, BMO Capital analyst James Thalacker had maintained an Outperform rating on NextEra Energy, Inc. (NYSE:NEE) stock and raised the price target to $98 from $89, identifying the stock as a “core” holding for investors due to an “industry-leading profile” in the renewables business.
2. General Electric Company (NYSE:GE)
Number of Hedge Fund Holders: 57
General Electric Company (NYSE:GE) is a high-tech industrial firm. On February 18, Wolfe Research analyst Nigel Coe maintained an Outperform rating on the stock with a price target of $127, noting that the cautious first quarter commentary of the firm in a recent newsletter did not threaten the overall earnings outlook.
Hedge funds have been loading up on General Electric Company (NYSE:GE). At the end of the fourth quarter of 2021, 57 hedge funds in the database of Insider Monkey held stakes worth $6.26 billion in General Electric Company (NYSE:GE), up from 53 in the previous quarter worth $6.24 billion.
In its Q1 2021 investor letter, Vulcan Value Partners, an asset management firm, highlighted a few stocks and General Electric Company (NYSE:GE) was one of them. Here is what the fund said:
“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.”
1. Tesla, Inc. (NASDAQ:TSLA)
Number of Hedge Fund Holders: 91
Tesla, Inc. (NASDAQ:TSLA) is an EV maker and clean energy firm. At the end of the fourth quarter of 2021, 91 hedge funds in the database of Insider Monkey held stakes worth $12.9 billion in Tesla, Inc. (NASDAQ:TSLA), up from 60 in the previous quarter worth $10.6 billion.
On February 14, Piper Sandler analyst Alexander Potter maintained an Overweight rating on Tesla, Inc. (NASDAQ:TSLA) stock and raised the price target to $1,350 from $1,300, backing the firm to post 69% delivery growth in 2022.
Here is what Baron Partners Fund has to say about Tesla, Inc. (NASDAQ:TSLA) in its Q1 2021 investor letter:
“Tesla, Inc. designs, manufactures, and sells fully electric vehicles, solar products, energy storage solutions, and battery cells. The stock fell during the quarter as a result of general market dynamics and a potential production slowdown due to parts shortages. A refreshed S/X and China Model Y ramp could also have a negative impact on margins in early 2021. We anticipate strong growth and improved margins driven by new production capacity, manufacturing efficiencies, localization of its manufacturing and supply chain, and maturation of Tesla’s full self-driving technology.”
You can also take a peek at 12 Best Environmental Stocks to Invest In and 10 Best Nickel Stocks to Buy Now.
