The global renewable energy sector has achieved significant growth in 2024, overcoming challenges such as financing gaps and lack of international collaborations. With new investments worth $313 billion and a surge in the adoption of clean energy sources, the Zacks Alternative Energy industry has seen a 53.1% increase year-to-date.
Emerging countries like Brazil and top-ranking European nations have made notable progress in their energy transition, despite macroeconomic complexities and geopolitical tensions. The International Energy Agency projects that renewables will account for over one-third of global electricity generation by early 2025, surpassing coal.
Several renewable energy stocks are expected to continue growing in 2025, driven by declining costs, increasing demand for electric vehicles, and supportive government policies. Some promising stocks with a favorable Zacks Rank #2 (Buy) include:
– Constellation Energy (CEG), which is the lowest carbon emitter among major investor-owned U.S. generators. The stock has gained 96.6% in the year-to-date period and has a Zacks Consensus Estimate for 2025 earnings implying a 10% improvement.
– Excelerate Energy (EE), a provider of floating liquefied natural gas terminals, which signed a strategic partnership agreement to jointly study FSRU-based technical solutions for LNG imports into Vietnam. The stock has gained 97.6% in the year-to-date period and has a Zacks Consensus Estimate for 2025 earnings implying a 19.1% improvement.
– Gevo Inc. (GEVO), a renewable chemicals and advanced biofuels company, which received U.S. Department of Energy Loan Programs Office’s conditional approval for a $1.63 billion direct loan facility for its Net-Zero 1 project. The stock has gained 30.1% in the year-to-date period and has a Zacks Consensus Estimate for 2025 sales implying a 101.5% improvement.
These stocks have strong fundamentals and are expected to continue their rally in 2025, driven by the growing demand for clean energy sources.
Source: https://finance.yahoo.com/news/3-renewable-energy-stocks-poised-200000173.html