It’s no secret that Tesla is the clear leader when it comes to the electric vehicle industry. And while Tesla rightfully gets a lot of attention for having high stock prices and even higher stock futures, the company may not be in the best position to become a giant in the renewable energy industry. Solar energy only encompasses 2% of the electricity consumed in the United States, but this number is expected to increase significantly in the coming decade. There will be plenty of investment opportunities with solar stocks, and here are some of the driving factors that could make them surpass Tesla.

What To Know About Solar Stocks

Companies like Enphase Energy, Brookfield Renewable, Maxeon Solar Technologies, and SunPower offer some of the best fundamentals and practices for driving the growth of solar energy. These solar energy companies are dedicated to supplying solar panels, solar system tracking devices, storage technologies, battery storage systems, and much more. What sets these characteristics apart from Tesla is that the companies are solely dedicated to improving and expanding solar energy, while it’s only a small piece of Tesla’s priorities. While an investor may not invest in Tesla from a solar energy perspective, these companies could provide long-term gains.

Federal Support Could Drive Solar Stocks

How quickly solar stocks rise may depend largely on the specific government entity and the federal support provided. Some countries are prioritizing renewable energy more than others, but there are worldwide trends suggesting support is increasing slowly. From an investing perspective, the renewable energy trend is not expected to come to a halt even if there’s no government support at any level. The results just may be delayed due to a lack of funding in the short-term.

Projections And Stock Futures For Solar Stocks

Stock futures

An important factor to look closely at regarding solar stocks is solar energy is more competitive with traditional energy than ever before from a cost perspective. In the past decade alone, solar energy costs have fallen by nearly 100% and is expected to continue falling over the next 5-10 years. Considering a large portion of new energy sources in the United States come from solar energy, there is growing evidence that demand is present and that many consumers may be waiting for the right opportunity to come by at the right cost to switch to solar energy. 

Stock Investing Info works with savvy investors, beginning investors, and anyone in between. Our goals include helping investors increase their financial knowledge to boost their portfolios, and we do this by understanding the ins-and-outs of many different industries so we are well-equipped to suit your needs. Tesla is a company we always get asked about, and all indications are it’s going to continue being a great investment option for the foreseeable future. However, anyone interested in solar energy investing has some other options to consider as well. Be sure to contact us to learn more about the industry and what investment opportunities are available to you.

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