These 5 Renewable Energy Stocks Can Benefit as Europe Braces for Harsh Winter

Page 5 of 5

1. SolarEdge Technologies, Inc. (NASDAQ:SEDG)

Number of Hedge Fund Holders: 40

SolarEdge Technologies, Inc. (NASDAQ:SEDG) is an Israel-based solar company that operates through Solar, Energy Storage, e-Mobility, Critical Power, and Automation Machines segments. The company’s Q2 results showed declining margins, driven by a weak Euro. Since 47% of SolarEdge Technologies, Inc. (NASDAQ:SEDG)’s revenue is generated in Europe, the CFO Ronen Faier said lower margins in the near-term will result in long-term growth, given the huge demand in Europe. 

On August 18, Morgan Stanley analyst Stephen Byrd raised the price target on SolarEdge Technologies, Inc. (NASDAQ:SEDG) to $352 from $316 and maintained an Equal Weight rating on the shares. The analyst increased growth rates for renewables due to the clean energy support from the new Inflation Reduction Act legislation. 

According to Insider Monkey’s data, SolarEdge Technologies, Inc. (NASDAQ:SEDG) was part of 40 hedge fund portfolios at the end of June 2022, compared to 47 funds in the last quarter. Ian Simm’s Impax Asset Management is the leading stakeholder of the company, with 580,909 shares worth $158.20 million. 

Here is what ClearBridge International Growth EAFE Portfolio has to say about SolarEdge Technologies, Inc. (NASDAQ:SEDG) in its Q2 2022 investor letter:

“We are well-positioned to participate in the accelerating energy transition. High and rising utility costs combined with policy support are driving increased penetration of home solar plus storage systems in Europe. Israel-based SolarEdge Technologies (NASDAQ:SEDG) expects to see significant growth in solar installations in this market led by Germany and Italy, among others, where consumers are not only demanding solar on the roof but a complete system solution including batteries. This phenomenon is accelerating revenue growth for these companies.”

You can also tale a look at Best Cybersecurity Stocks to Buy Now and Best High-Yield Dividend Stocks for Retirees in 2022

Page 5 of 5