Solar stocks could see brighter days.
All as a global energy crisis forces countries to focus more on renewable energy sources. California, for example, is experiencing scorching temperatures. Europe is struggling with an energy crisis of its own, with household electric bills potentially surging by $2 trillion by 2023, as noted by Goldman Sachs.
“Many European households are already feeling the bite of a steadily worsening energy crisis, brought on by Russian natural gas producers intermittently pausing flows along the critical Nord Stream pipeline following Western sanctions this year.” Plus, “analysts warn that Europe’s coming struggles are set to rival some of the worst energy crises on record.”
Unfortunately, the European energy crisis could get far worse. Many power stations may not be able to operate for much longer with sky-high prices. And with electricity costs now up 300% in 2022 – breaking records – it’s become unaffordable.
In addition, according to Time, “The worst has yet to come. Russian Security Council Deputy Chairman Dmitry Medvedev threatened on August 28 that gas prices will hit $5000/1000m3 by the end of 2022. The continent is far from ready.”
It’s becoming catastrophic.
And could easily force countries to focus more on renewable energy.
It’s part of the reason renewable stocks were screaming higher on Wednesday, First Solar (FSLR) was up $7.20 on Wednesday. Enphase Energy (ENPH) was up about $23.50. SolarEdge Technologies (SEDG) was up about $33 a share. Even the Invesco Solar ETF (TAN) was up $5.07.
It’s just something to consider if you’re looking for hot opportunities.