Should Investors Consider Investing In These Top Solar Stocks Right Now?
Solar stocks, also known as solar energy stocks, are publicly traded companies that focus on renewable energy, specifically solar power. In fact, solar energy is one of the fastest-growing forms of renewable energy, and it’s a popular investment choice for many environmentalists and socially responsible investors in the stock market now. Solar stocks can be a good way to profit from the growth of the solar industry while also making a positive impact on the environment.
Solar stocks have been outperforming the overall broad market so far this year. For example, some notable large-cap solar companies are names such as First Solar Inc. (NASDAQ: FSLR) and SunPower Corporation (NASDAQ: SPWR) to name a few. Year-to-date shares of both solar companies are up 30% and 16% respectively. There are even a few ETFs that track solar stocks, making it easy to invest in this sector. Solar stocks can be a volatile investment, but for long-term investors, they offer the potential for strong returns. If this sounds like you, here are another three solar stocks to watch in the stock market before September 2022.
Solar Stocks To Watch In The Stock Market Today
- Enphase Energy Inc. (NASDAQ: ENPH)
- NextEra Energy Inc. (NYSE: NEE)
- Brookfield Renewable Partners L.P (NYSE: BEP)
Enphase Energy (ENPH Stock)
First up, Enphase Energy (ENPH) is a global energy technology company that delivers smart, easy-to-use solutions that connect solar generation, storage and management on one intelligent platform. The Company provides its customers with independence and choice in how they generate and consume energy. Shares of ENPH stock have outperformed the overall broad market year-to-date. In detail, ENPH stock is up over 57% year-to-date, while trading on Friday afternoon at $289.88 per share.
At the end of last month, the company announced stronger-than-expected financial results for its Q2 2022 reporting. Diving in, Enphase posted earnings per share of $1.07, with revenue of $530.2 million. This is compared with analysts consensus estimates of earnings per share of $0.82, and revenue estimates of $504.0 million. Moreover, the company also prvided some updated guidance for Q3 2022. Specifically, ENPH announced its revenue estimates for Q3 2022 are in the range of $590.0 million and $630.0 million.
The company’s President and CEO, Badri Kothandaraman commented in his letter to shareholders, “Our total revenue increased 20%, compared to the first quarter of 2022. Our microinverter shipments were up 18%, compared to the first quarter of 2022. Our IQ Battery shipments were up 10%, compared to the first quarter of 2022.Our quarterly revenue in the second quarter of 2022 was driven by strong demand for Enphase Energy Systems, powered by IQ® Microinverters and IQ Batteries. IQ8™ Microinverters constituted 37% of all our microinverter shipments during the second quarter.” Given the momentum ENPH has experienced so far this year, do you think ENPH is a good solar stock to add to your watchlist today?
NextEra Energy (NEE Stock)
Second, NextEra Energy (NEE) is a clean energy company and a freelance provider of electric utility services in North America. As of 2022, NEE is the largest provider of renewable energy in the world. Moreover, NEE’s operations are organized into three primary business segments: NextEra Energy Resources, NextEra Energy Services and NextEra Transmission. Moving on, just last month the company has made some recent announcements.
First, at the end of July, NEE announced it’s Board Of Directors have declared a regular quarterly common stock dividend of $0.425 per share. Currently NEE has an annual dividend yield of 1.91%. Also in July, NextEra Energy reported its second quarter of 2022 financial results. In the report, NEE notched earnings of $0.81 per share on revenue of $5.2 billion for the quarter. Meanwhile, analysts estimates on Wall Street were earnings of $0.75 per share, and revenue estimates of $5.2 billion. What’s more, the company reported a 32% increase in revenue during the same period, a year prior.
John Ketchum, chairman and CEO of NextEra Energy Partners stated, “NextEra Energy Partners delivered outstanding operational and financial performance during the quarter, with second-quarter 2022 adjusted EBITDA and CAFD up approximately 43% and 37%, respectively, against the prior-year comparable quarter,” said John Ketchum, chairman and chief executive officer of NextEra Energy Partners.” In the last 6 months of trading, NEE stock has rebounded over 13%, while still being down just over 2% in 2022 so far. With all this, do you think NEE is a good stock to buy right now?
Brookfield Renewable Partners (BEP Stock)
Lastly, Brookfield Renewable Partners (BEP) is one of the world’s largest publicly traded, pure-play renewable power platforms. In detail, its portfolio consists of hydroelectric, wind, solar and storage facilities in North America, South America, Europe and Asia,. For a sense of scale, its portfolio totals an estimated 23,000 megawatts of installed capacity and a projected 75,000-megawatt and 8 million metric tons per annum of carbon dioxide development pipeline. Currently, BEP has an annual dividend yield of 3.29%. What’s more, earlier this month the company posted its second quarter 2022 fiscal results.
In detail, BEP reported a loss of $0.03 per share. In addition, the company notched in revenue of $1.3 billion. For context, Wall Street’s consensus earnings were estimates of $0.09 per share on revenue of $1.2 billion. Though, the company was able to record a 25% increase in revenue year-over-year during the same time period. Similar to ENPH and NEE, Brookfield Renewable Partners have outperformed the overall stock market so far year-to-date. Specifically, shares of BEP stock are up over 4% since the start of 2022, after trading on Friday afternoon $37.59 per share.
“The business performed well this quarter, as we delivered strong financial results, commissioned 1,000 megawatts of development, and deployed and committed $3 billion into growth initiatives,” commented Connor Teskey, CEO of Brookfield Renewable in his letter to shareholdres. “Given the depth of our operating capabilities, globally diverse asset base, and strong access to capital, we are well positioned in all market environments to be a partner of choice in helping governments and businesses achieve their goals of low-cost energy, net-zero, and energy security.” All in all, will you be adding BEP stock to your list of solar stocks to watch in September 2022?