This is quite a difficult question to answer directly. Determining the best green stocks comes from a more personal position than general statistics. Anyways, to give us something to work with (from a more personal position), here are some of the best green stocks according to statistics:
1. Daqo New Energy Corp.: A China-based solar energy company, they make polysilicon as well as photovoltaic warfare. Here is their stat:
2. Renewable Energy Group Inc.: They are into manufacturing and supplying biofuels, renewable chemicals and other closely related products.
3. SunPower Corp: A solar company made for Americans. They design and produce solar panels, as well as systems. It's also a service-based company with integrated solar products.
Is Green Tech a Good Investment?
Honestly, all green tech investments are good investments. But the thing is, there are hazards - especially with investments that have to do with new technologies and startups - it's difficult to tell if they will yield profits over time. Hence, it's better to spread your investments; diversify. By diversifying, your portfolio becomes robust while your funds are safe too. Also, managed ETFs (exchange-traded funds) and mutual funds are good investment plans because it saves you the headache. After all, the professionals do the stock-picking themselves.
Meanwhile, there are two major problems investors face with green tech investments; trying to make personal wealth, and trying to make a better world by investing. Doing these two at one is usually tasking. You don't want to look bad by focusing on the profits, and you don't want to look foolish by focusing on just investing. Anyways, good research before investing can save you from all the above. Also, make sure to take on investments that are on your level of financial commitment, tolerance, risk management, and goals.
Lastly, watch out for a pitfall called "greenwashing". It's a term used for companies that claim to be "green" but are not. Good research can save you from this too.
How Can I Invest in Renewable Energy?
Investing in renewable energy can take different methods. Some of which are:
1. Direct Investment in Renewable Energy Projects
Although these can be very long term investments, investing in renewable energy projects (like solar) gives you clarity on the profits and your investment. But if the project fails, you might not get your money back. Hence, it is wise to invest through financial bodies like FCA (Financial Conduct Authority), so your money can be safe.
2. Invest in Exchange-Traded Funds
ETFs follow the price pattern of some groups of stocks like the FTSE 100. With ETFs, you can diversify your stock portfolio, and you easily sell or buy stocks. Also, ETFs gives you exposure, but you need to do your research before investing.
3. Buy Renewable Energy Stocks
Buying individual shares of renewable energy is one means of a good investment. It's an easy buy, and resell. But the thing is, company shares can fluctuate, so do read the company's balance sheet to grasp the risk you're taking before investing.
How to Invest in Green Tech
Before you venture to invest in any green tech company, look for those that are lucrative, as well the ones that meet your environmental interest. Also take out time to research the basics of the sector, as well as goals of the field.
Meanwhile, there are numerous sub-sectors within this section that you (as investors) could also take advantage of:
1. Energy: Considered the number one problem in green tech. This particular sector is major in coming up with alternative fuels.
2. Green Nanotechnology: This has to do with the use of different materials and instruments at the nanometer grade, which can change how products are made and manufactured.
3. Green Chemistry: This covers the creation, production, and use of chemical methods and products that are made to eradicate or limit the production and application of harmful substances.
What is the Best Green Energy Company?
Although there is a vast majority of green energy companies that are doing incredibly well in their industry, we have listed just three companies that are currently outperforming their contemporaries with recent statistics. This statistic was given by 12-month trailing (TTM) revenue.
This enumeration is limited to just companies that are publicly traded in Canada or U.S., whether via ADRs or directly. The figure herein is as of December 27, 2021.
1. Orsted A/S (DNNGY)
A multinational energy enterprise based in Denmark. They are aimed at making the availability of renewable energy solutions. It has a wind power segment that creates, arranges, and works offshore wind farms. The company is focused on being carbon neutral in the works and production of energy by 2025.
2. Iberdrola SA (IBDRY)
This Spain-based electric utility company deals with the making, sharing, and trading of electrical energy. Clean energy (whether onshore or offshore), wind, hydro, battery storage, solar photovoltaic are its place of speciality
3. JinkoSolar Holding Co. Ltd. (JKS)
JinkoSolar is a solar energy company in China that makes solar power products, silicon ingots and wafers, solar cells, and solar modules inclusive.
Feb 16, 2022