Results for: Solar stocks

With Donald Trump’s return to the political scene and Republicans potentially controlling Congress, clean energy stocks have taken a hit. The Invesco Solar ETF (TAN) and Invesco Global Clean Energy ETF (PBD) have plummeted, mirroring the decline in individual solar companies like Sunnova Energy and SolarEdge Technologies. This downturn is largely attributed to concerns about the future of the Inflation Reduction Act (IRA) and its crucial tax incentives for renewable energy. While the IRA’s benefits are undeniable, Trump’s potential rollback of green policies could significantly impact the sector. The article explores the possible scenarios for the IRA under Trump and assesses whether the current drop in solar stock prices presents a buying opportunity or if more pain lies ahead.

The U.S. residential solar market is predicted to see a significant rebound, boosted by Vice President Kamala Harris’ strong odds in the 2024 presidential election and the Biden administration’s clean energy initiatives. Industry leaders expect double-digit growth by 2025, fueled by stable utility pricing, lower interest rates, and tax credits. While Europe faces challenges, key solar players like Enphase, SolarEdge, and Sunrun are optimistic about the U.S. market’s recovery.

Shares of Sunrun Inc (RUN), SolarEdge Technologies Inc (SEDG), and Sunnova Energy International Inc (NOVA) fell in extended trading Tuesday, following the disappointing earnings report from Enphase Energy Inc (ENPH). Enphase reported lower-than-expected quarterly revenue and earnings, attributed to declining US demand and inventory management. The company’s weak guidance added to the selling pressure after hours. Sunnova, Sunrun, and SolarEdge are scheduled to release their quarterly results in early May, and analysts expect mixed performances.