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Top 5 Renewable Energy Stocks to Watch in 2021

Melisa R. H. Posted On January 4, 2021
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green energy stock

The global transition to clean power and growing demand for renewable energy has been a tailwind for this sector. With the ESG movement, more and more renewable energy companies are seeing large investments from funds and are awarded higher multiples. The Biden presidency is also expected to be a tailwind with infrastructure spending and investments in renewable energy. 

Many renewable energy stocks operate in regulated markets and offer stable returns on investments. They usually pay a dividend that should increase over time. 

Here are the top 5 renewable energy stocks to watch in 2021:

1.-Enel Societa Per Azioni (EN-N) 

Enel Societa Per Azioni (ENLAY-OTC) — Stockchase
Enel Societa Per Azioni (ENLAY-OTC) — Stockchase

Opinion about ENLAY-OTC: Europe's biggest utility. His top pick for global transition to clean power. At the forefront of the transition. Based in Italy, operates across multiple geographies. New green deal should provide a lot of funding, of which Enel should be the prime beneficiary. Nice entry point here. Yield is 4.21%. (Analysts’ price target…

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2.-NexEra Energy (NEE-N) 

NextEra Energy (NEE-N) — Stockchase
NextEra Energy (NEE-N) — Stockchase

Opinion about NEE-N: (A Top Pick Apr 22/24, Up 6%) Fastest-growing utility in the US. Interest rates went higher last summer, which made things more difficult for utilities. Caught up in change of sentiment toward clean energy. He stepped away.

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3.-Fortis Inc. (FTS-T)

Fortis Inc. (FTS-T) — Stockchase
Fortis Inc. (FTS-T) — Stockchase

Opinion about FTS-T: Good long-term hold for income. Regulated natural gas and electric utility. Over 1/2 of revenues come from the US. Diversified. Very defensible and visible cashflow stream because it's regulated. Increased dividend for 51 consecutive years. In regions where data centres are being built. Yield is 3.81%. (Analysts’ price target is $67.50)

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4.-Algonquin Power & Utilities Corp(AQN-T)

Algonquin Power & Utilities Corp (AQN-T) — Stockchase
Algonquin Power & Utilities Corp (AQN-T) — Stockchase

Opinion about AQN-T: Fallen angel. Always looks cheap on any metric. Built with unique assets spread out around the US, so not really an attractive takeover target. Don't hold your breath on that hope. Still slightly capital-constrained to be able to go after growth opportunities. Will be range bound, limited upside. Use pops in the…

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5.-Xebec Adsorptions Inc (XBC-X) 

Xebec Adsorption (XBC-T) — Stockchase
Xebec Adsorption (XBC-T) — Stockchase

Opinion about XBC-T: Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. Continues to expand globally via partnerships. RNG and hydrogen tailwinds. Lower valuation risk.

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