Investing in Renewable Energies

Investing in stocks in 2021, which stocks, which sectors, or which assets to invest in in 2021? At the end of this year, many of us investors wonder whether 2021 will be a good year to invest in stocks or whether we should keep our savings in liquidity because of the uncertainties that await us throughout this 2021 and that have not yet been cleared up.

Will the vaccines that will start to be applied at the end of this year and especially in 2021 be reliable, safe, and effective?

Will the trade war between China and the US continue?

Will, there be an agreement with BREXIT, or will the endless extensions continue?

If after all these questions our answer is to invest in stocks in 2021 and we “bet” on a particular sector, in our opinion as well as other analysis houses such as CITIBANK, CREDIT SUISSE, GOLDMAN SACHS, along with the most reliable trading platform DotBig investments we have to pay attention and invest part of our portfolio in renewable energies during 2021 and possibly in the following years.

It can give us vertigo to see the behavior of certain shares of this sector and the rises in this last year and the previous ones; even so, the prospects for short/medium-term remain very promising. Hence, it is a good option to invest in shares during the year 2021.

Among the listed companies, we will analyze 6 renewable energy companies; all of them are American companies.

1. ENPHASE ENERGY INC.

Enphase designs and manufactures software-driven home energy solutions that span solar generation, home energy storage, and web-based monitoring and control. Enphase has shipped some twenty million microinverters to residential and commercial markets in North America, Europe, and Australia. Microinverters convert solar panel direct current (DC) power directly into grid-compatible alternating current (AC) for use or export. Enphase was the first company to commercialize the microinverter on a large scale successfully and remains the market leader in its production.

2. SOLAR EDGE TECHNOLOGIES INC.

Solar Edge is a provider of power optimizers, solar inverters, and PV plant monitoring solutions. These products aim to increase energy production through module-level MPPT.

3. ALBERMARLE CORP.

Albemarle Corporation is a fine chemicals manufacturing company that Operates 3 divisions: lithium (37.8% of 2019 revenues), bromine specialties (28.0% of 2019 revenues), and catalysts (29.6% of 2019 revenues).

In this case, we can clearly observe that it is at historical highs after correcting during the last 2 years.

4. SUNRUN INC.

Sunrun Inc. is a U.S. supplier of residential solar panels and home batteries.

5. JINKO SOLAR HOLDING CO. LTD

Jinko Solar is a Chinese manufacturer of solar energy products. The company started as a solar cell manufacturer in 2006. Jinko Solar has a vertically integrated business model, through which it manufactures solar wafers, cells, and modules.

We can observe in the graph the “similar” trajectory to that of the rest of the companies analyzed in the renewable sector; in this case, its stock market climb is more modest with “only” a rise of 165% in 5 years.

6. DAQO NEW ENERGY ADR.

Daqo New Energy Corp. is a Chinese company dedicated to monocrystalline silicon and polysilicon, mainly for use in photovoltaic solar systems.

This is one of the companies that has grown the most from a stock market point of view, having climbed 1665% in 5 years, and of the 6 companies analyzed, it has only been surpassed in this section by Enphase Energy Inc, which rose 5573% in this period.