Even Big Oil Is Getting Serious About Renewables. Which Clean Energy Stocks Should You Pick?

Even Big Oil Is Getting Serious About Renewables. Which Clean Energy Stocks Should You Pick?

Share to Linkedin Our theme on Renewable Energy Stocks - which includes U. S.-based solar panel manufacturers, lithium miners, and hydrogen fuel cell producers - has underperformed year-to-date, declining by about -15% versus a 13% return on the S&P 500, as investors have rotated out of higher-growth stocks to more cyclical and value stocks to play the re-opening of the economy following Covid-19. However, this might be a good opportunity to invest in the sector. The increasing urgency to fight climate change should result in more favorable regulations, with companies also looking to increase their renewable footprint. For example, even Big Oil doesn't want to be left out of the clean energy race. BP (NYSE: BP) intends to invest as much as $3 to $4 billion annually by 2025 building out an integrated portfolio of low carbon technologies, including renewables, bioenergy, and EV charging infrastructure. Even Exxon Mobil which has until recently been somewhat reluctant to double down on solar and wind energy, is also likely to get more serious about its low-carbon investments after activist fund Engine No. 1 - which has been pushing it to invest more in renewables and shift away from fossil fuel - won three