The world is facing calamities and global warming is one of them. The increasing population always demands more energy needs. The scarcity of conventional sources of energy and increasing pollution has alarmed everyone. On the subject of that, the energy companies are transforming into sustainable sources for power generation. Hence, solar energy stocks are getting popular day by day.
Solar power is one of the leading segments in the energy sector. Solar power is set to play an increasingly important role in meeting global energy needs in the coming decades. According to the U.S. Energy Information Administration, the share of renewable sources in the country’s power generation sector could double, expected from 21% to 42%, by 2050.
As per Wood Mackenzie Power & Renewables, it took forty long years to reach 1 million solar installations in the U.S. Whereas, the next 1 million took only three years. By 2021 alone, it’s expected to reach 3 million installations. This will be a big opportunity for roofing contractors.
There’s a massive opportunity for investors in the solar power sector. We bring you the top five solar energy stocks to buy in 2021.
Canadian Solar (CSIQ)
The first top solar energy stock to buy in 2021 on our list is Canadian Solar (CSIQ).
Canadian Solar (CSIQ)stock looks promising in the solar energy sector. The company manufactures solar ingots, cells, wafers, modules, and other solar power products. Canadian Solar is involved in the development and sales of various solar projects.
Canadian Solar has its market share spread across the globe. Most of the revenue comes from Asia, approximately around 47%. While 35% comes from America, and the remaining 18% is from Europe and other countries.
Canadian Solar is expanding its business considering the demand in the market. The company has eyes on the project development pipelines in Africa, Europe, and the Middle East. Recently, Canadian Solar acquired a $59.7 million facility to support growth in the global energy business.
The revenues have improved consistently for Canadian Solar over the past years. Recently, the company announced its second-quarter results of 2021. The revenue had a staggering pump over 105% from the same period last year.
For the third quarter, the company expects to generate a gross margin between 14% to 16%. The prime target is revenue growth and, with time, the company will expand its margin.
Another plus point for Canadian Solar, where it will thrive, is the battery power. Canadian Solar has 3 megawatt-hours of battery storage in operation. A few other projects in battery power are also in progress including, a 1.5 gigawatt-hours of storage with 0.8-gigawatt hours in its late-stage pipeline.
SolarEdge Technologies (SEDG).
The second solar energy stock is SolarEdge Technologies (SEDG).
SolarEdge Technologies (SEDG)is known for its solar inverters. Solar …….