Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 66% of retail investor accounts lose money when spread betting and/or trading CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money

66% of retail investor accounts lose money when spread betting and/or trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

  • Updates
  • clean energy
  • electric vehicles
  • lithium

Tesla’s Top Competitors In The Clean Energy Market Right Now

Tesla is at the top of its game for a clean energy company, providing the world with many well-loved vehicles, as well as clean energy solutions such as solar panels, and becoming the face of and de-facto leader in the renewable energy market right now. But there are other companies worth investor’s attention too; ones, which after Biden’s electoral win, are likely to grow over the next 4 years. 

This article was originally published on MyWallSt — Investing Is for Everyone. We Show You How to Succeed.

Indeed, after COVID-19 created uncertainty in the oil market earlier this year, it might be time to look at renewable energy as a long-term alternative to traditional energy stocks. So we have provided a selection of three stocks worth considering instead of Tesla.  

 

SolarEdge 

SolarEdge (NASDAQ: SEDG) was one of Tesla’s collaborators, whereby it created PV inverters that were fully compatible with Tesla’s own Powerwall storage system. Although SolarEdge has typically remained in the solar power market, with its most recent earnings showing $312.5 million in revenue from solar products alone, it has taken a bold step into the EV sector. Without the need to build up too much of a customer base, SolarEdge could be a powerful rival for Tesla. 

Producing the world’s first EV charging inverter, SolarEdge combines both grid power and solar power in an easy-to-use system which allows users to charge electric vehicles directly from the power of the sun. In addition, this new inverter will have the ability to charge an EV 2.5 times faster due to its solar boost function and its combined power function. 

SolarEdge is likely to eat up market share in multiple areas of clean energy solutions, including solar power systems, inverters, and power storage, as well as the current trend of EV charging. 

 

Sun Power

Much like SolarEdge, Sun Power (NASDAQ: SPWR) is a company that provides the hardware and services that solar installation companies need to install solar panels. It is a leading company in this rapidly growing industry. Currently, there is a huge trend of solar panels being installed, with massive growth predicted over the next few years for commercial installations which will drive long-term revenue streams. 

Sun Power has increased its customer base over the last quarter by more than 10’000 customers to over 338’000. Although COVID-19 hit this company’s revenue with a 9% decrease in Q3 YoY to $275 million, Sun Power is doing well as it managed to increase its recurring revenue by $10 million to $575 million. This is a strong showing and as such Goldman Sachs raised its price target in early November, meaning that even some of the biggest names in finance are now looking more positively at the renewable energy sector and at Sun Power in particular. 

This stock would be a great addition to an eco-conscious portfolio, or for those who wish to move with the times and profit from the solar energy boom.

 

NextEra Energy

With share prices currently up around 24% year-to-date, this stock is an important one to consider if looking into the clean energy sector. NextEra Energy (NYSE: NEE) is the largest utility company in the world, but on top of that, it is also one of the largest contracted solar power providers in the world. In August this company had a backlog of more than 14 gigawatts of clean and renewable energy projects. This means that company growth in terms of solar power is set to continue for a good few years. 

NextEra Energy is also one of the world’s largest wind power electricity providers with 126 wind projects across the U.S. and Canada. Over the past decade, its wind energy capacity has more than tripled and it has plans to keep on growing. 

Oil was rather volatile during the general lockdown, so NextEra Energy might be an alternative solution for continuing investment growth in the utility sector, as well as being easy on the planet’s resources. As a nice addition, this stock has been increasing its dividend payments by around 10% annually and will continue to do so until at least 2022.

 

MyWallSt makes it easy for you to pick winning stocks. Start your free trial with us today— it's the best investment you'll ever make.

 

Disclaimer Past performance is not a reliable indicator of future results.

CMC Markets is an execution-only service provider. The material (whether or not it states any opinions) is for general information purposes only, and does not take into account your personal circumstances or objectives. Nothing in this material is (or should be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by CMC Markets or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.

The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although we are not specifically prevented from dealing before providing this material, we do not seek to take advantage of the material prior to its dissemination.

CMC Markets does not endorse or offer opinion on the trading strategies used by the author. Their trading strategies do not guarantee any return and CMC Markets shall not be held responsible for any loss that you may incur, either directly or indirectly, arising from any investment based on any information contained herein.

*Tax treatment depends on individual circumstances and can change or may differ in a jurisdiction other than the UK.

Continue reading for FREE

  • Includes free newsletter updates, unsubscribe anytime. Privacy policy

Free ebook

Tricks of the trade: 7 interviews with the world’s top traders

Get it now

Related articles