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Is It A Good Time For Investment Into Alternative Energy Companies?

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Is It A Good Time For Investment Into Alternative Energy Companies?

Companies directly connected to alternative energy sources had some great results lately, stock wise, and reached some of their highest values. Tesla Inc's (NASDAQ: TSLA) share price rose more than 100% only since the beginning of the year, breaking the barrier of $900 on February 19th. Next to that 2019 was Tesla's best year regarding the number of sold cars. But the result also had to do with Tesla's activity in the solar energy field. Its Gigafactory in Buffalo, New York, is now in charge of the production of solar module components, in cooperation with Panasonic (OTC: PCRFY).

Although 2019 was a bit slower in revenues from solar energy in total, the company achieved a new record fourth quarter for solar energy and storage systems business. This push into other areas of clean energy drove the stock higher, and it probably will continue to do so.

This morning Franchise Holdings International (OTC: FNHI) announced that it applied for the TerraVis trademark. TerraVis is their innovative new solar tonneau cover that they are developing to further expand their product line of Worksport tonneau covers. The new trademark will be added to the already impressive inventory of trademarks to protect future interest around their solar product. The solar cover will be developed to bring on demand power to pickup truck owners and perhaps even extend driving range of electric vehicles in the future.

Hydrogen Cell Energy

Another company dealing with alternative energy, Plug Power (NASDAQ: PLUG), achieved a new 52-week high, just over $6. The price of their share was not above $6 since 2014. Whether the stock will continue to rise will depend on the expected report on last quarter results. Comparing to other alternative sources, hydrogen cell technology had a bit more volatile decade, which is still making some investors nervous.

Back To Solar Panels

First Solar, Inc. (NASDAQ: FSLR), producer of utility-scale photovoltaic power plants and solar panels, reported fourth-quarter results. Adjuster earnings of $2.02 were lower than the Zacks Consensus Estimate of $2.79. Due to a one-time litigation ruling, the company reported a GAAP loss of 56 per share, while in the year before, the same quarter achieved 50 cents earnings. For the whole 2019, the company reported adjusted earnings of $1.48, which was also lower than Zacks Consensus Estimate of $2.45 per share. Do not forget that besides the production of solar panels and PV power plants, this company provides services that include finance, construction, maintenance and end-of-life panel recycling.

It has also been a great time for investors in SolarEdge Technologies Inc. (NASDAQ: SEDG), a company providing solar inverters, power optimizers and systems to monitor photovoltaic arrays. Only last month, the stock price rose more than 30%. Previous joint development of residential photovoltaic (PV) storage and backup power solutions with Tesla made the company receive orders with a total value of $800 million. This development was based on the use of a single SolarEdge optimized inverter to manage both photovoltaic activity and storage functions.

Conclusion

When we look overall at the companies related to solar and other forms of alternative energy, they made some great results this year. This is also what J.P. Morgan analysts observed, and they hope that this solar book could last a while, thanks to acceptable price-parity with traditional power solutions, low-interest rates enabling good bank support, and generally sensible behavior by market contributors.

This article is not a press release and is contributed by Ivana Rzehak Popovic who is a verified independent journalist for IAMNewswire. It should not be construed as investment advice at any time please read the full disclosure . Ivana Popovic does not hold any position in the mentioned companies.

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Image by andreas160578 from Pixabay

 

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