4 "Buy Rated" Clean Energy Stocks to Invest in for 2021

: NIO | NIO Inc. ADR News, Ratings, and Charts

NIO – With federal governments across the world boosting clean energy, stocks like NIO (NIO), First Solar (FSLR), Canadian Solar (CSIQ) and Renewable Energy (REGI) should witness significant growth in the upcoming months.

According to IEA Global Energy Review, renewables were the only energy source that reported growth in demand this year, driven by larger installed capacity and priority dispatch, and supportive government policies. EIA expects the US power sector to add 7.9 GW of new wind capacity in 2021 and the utility-scale solar capacity to rise by 13.0 GW in 2021. 

The policies and economic stimulus measures expected from the upcoming Biden-Harris administration would likely be focused on clean energy. Biden had previously announced a proposal to spend $2 trillion on clean energy and plans to add more than 500 million solar panels to America’s energy infrastructure over the next five years. 

As more nations are adopting aggressive policies to eliminate carbon emissions over the next couple of decades, investment in clean energy stocks like NIO Limited (NIO), First Solar, Inc. (FSLR), Canadian Solar Inc. (CSIQ), and Renewable Energy Group, Inc. (REGI) can be rewarding.

NIO Limited (NIO) 

NIO is a designer, manufacturer, and seller of electric vehicles offering five, six, and seven-seater electric SUVs worldwide. The company also manufactures e-powertrains, battery packs, and various other components and offers to charge solutions and battery swapping services.

NIO has recently launched an innovative ‘Battery-as-a-Service’ subscription model that allows users to purchase electric vehicles and subscribe to the usage of battery packs separately. This upgraded solution will help NIO’s vehicles stand out in the market. 

On September 3rd, NIO announced the completion of the offering of 101.78 million American depositary shares. The company raised $1.30 billion from the offering and intends to use its net proceeds to repurchase equity interests and fund the overall development expenses of the company. 

NIO’s revenue increased 146.4% year-over-year to $666.60 million in the third quarter ended September 2020. Gross profit rose 87.1% sequentially to $86.30 million, while gross margin increased 452 basis points sequentially to 12.9% in the third quarter. 

The consensus EPS estimate for the current quarter ending December 2020 indicates a 64.1% improvement from the year-ago value. Moreover, NIO has an impressive earnings surprise history, with the company beating consensus EPS estimates in three out of trailing four quarters. The consensus revenue estimate of $965.50 million for the current quarter indicates a 137.2% growth from the same period last year. The stock has gained 1277.6% year-to-date. 

How does NIO stack up for the POWR Ratings?

A for Trade Grade 

A for Buy & Hold Grade 

A for Peer Grade 

B for Industry Rank 

A for Overall POWR Rating. 

The stock is also ranked #3 out of 115 stocks in the China industry. 

First Solar, Inc. (FSLR

FSLR is a manufacturer and provider of photovoltaic solar panels and utility-scale PV power plants. It operates globally in two segments – Modules and Systems. The Module segment is responsible for the development of cadmium telluride solar modules to convert sunlight into electricity. The Systems segment is responsible for providing power plant solutions. 

On September 23rd, FSLR announced that JP Energie Environment selected its photovoltaic solar modules to power the Labrade solar power plant in Europe. Supplying over 400 projects in France alone, which would establish FSLR as a leading global provider of solar solutions.

FSLR has also recently entered into an agreement with Vistra Corp. under which it will supply its PV solar modules to power Vistra’s five solar projects across Texas. This makes FSLR stand out in the solar industry as a reliable PV manufacturer and significantly increase its revenue. 

FSLR’s third quarter ended September 2020 net sales rose 69.6% year-over-year to $927.57 million. Net income grew 406.3% from the prior-year quarter to $155.04 million, while gross profit grew 111.8% from the same period last year to $293.02 million. EPS increased 403.4% from the year-ago value to $1.46. 

The consensus EPS estimate of $3.71 for the current year indicates a 150.7% improvement year-over-year. Moreover, FSLR beat the street EPS estimates in three out of the trailing four quarters, which is impressive. The consensus revenue estimate of $3.02 billion for the next year indicates a 6.6% growth from the same period last year. The stock has gained 55.3% year-to-date. 

FSLR’s strong fundamentals are reflected in its POWR Ratings. It has a “Buy” rating with a “B” for Trade Grade and Buy & Hold Grade. It is ranked #2 out of 19 stocks in the Solar industry. 

Canadian Solar Inc. (CSIQ) 

CSIQ is a designer and manufacturer of solar power products, wafers, solar ingots, operating through two segments — Module and System Solutions, and Energy. The company serves distributors, project developers, and EPC companies internationally. 

On November 23rd, CSIQ announced that it has entered into a power purchase agreement with BTG Pactual to supply solar energy from a 170 MWp cluster of projects located in Brazil. This large-scale operation will help accelerate the company’s growth in the Brazilian market while optimizing their capital allocation. 

On October 27th, CSIQ announced the launch of its Series 7 new generation modules to support seamless installation of solar plants. This will boost the demand for CSIQ’s products particularly in residential areas, due to its user-friendly nature. 

CSIQ’s revenue increased 31.4% sequentially to $914.36 million in the third quarter ended September 2020. Operating income increased 29.9% sequentially to $59.05 million, while gross profit rose 21.2% sequentially to $178.42 million over this period. 

CSIQ beat the street EPS estimates in each of the trailing four quarters, which is impressive. The consensus revenue estimate of $996.69 million for the current quarter ending December 2020 indicates 8.4% growth from the year-ago value. The stock has gained 80.2% year-to-date.

It’s no surprise that CSIQ is rated “Buy” in our POWR Ratings system. It has an “A” for Trade Grade and a “B” for Buy & Hold Grade. Among the 19 stocks in the same industry, it is ranked #4.

Renewable Energy Group, Inc. (REGI) 

REGI is a leading provider of low carbon transportation fuels, operating through Biomass-Based Diesel, Services, and Corporate and Other segments. The company sells petroleum-based heating oils and diesel fuels and operates fermentation facilities. It owns and operates a network of 13 biorefineries in the United States and Europe. 

REGI has recently announced its plan to expand production capacity of its Geismar Renewable Diesel Plant from 250 million gallons annually to 340 million gallons per year. The company expects to deliver sustainable fuel solutions to meet its increasing customer demand.

On September 22nd, REGI’s wind turbine project broke ground to power the company’s biorefinery in Minnesota. This innovative approach will help the company to lower its carbon footprint and thereby, strengthen its position in the clean energy industry. 

REGI’s sale of self-produced biodiesel increased by 6 million gallons year-over-year in the third quarter ended September 2020. Gross profit increased 225% from the year-ago value to $78 million over this period. 

The consensus EPS estimate of $4.92 for the next year indicates a 62.4% improvement year-over-year. Moreover, REGI has an impressive earnings surprise history, with the company beating consensus EPS estimates in three out of the trailing four quarters. The consensus revenue

estimate of $2.33 billion indicates a 10.9% increase from the same period last year. The stock has gained 114.3% year-to-date. 

REGI’s promising outlook is reflected in its POWR Ratings. It is rated “Buy” with an “A” for Trade Grade and Peer Grade, and a “B” for Buy & Hold Grade. It is ranked #1 out of 60 stocks in the Energy – Services industry.

Want More Great Investing Ideas?

9 “MUST OWN” Growth Stocks for 2021

Why Investors DON’T Care About Covid-19 Anymore

5 WINNING Stocks Chart Patterns


NIO shares were trading at $52.77 per share on Tuesday afternoon, down $2.61 (-4.71%). Year-to-date, NIO has gained 1,212.69%, versus a 14.41% rise in the benchmark S&P 500 index during the same period.


About the Author: Imon Ghosh


Imon is an investment analyst and journalist with an enthusiasm for financial research and writing. She began her career at Kantar IMRB, a leading market research and consumer consulting organization. More...


More Resources for the Stocks in this Article

TickerPOWR RatingIndustry RankRank in Industry
NIOGet RatingGet RatingGet Rating
FSLRGet RatingGet RatingGet Rating
CSIQGet RatingGet RatingGet Rating
REGIGet RatingGet RatingGet Rating

Most Popular Stories on StockNews.com


Should Investors BEWARE this Market?

The S&P 500 (SPY) has been on a tear since November 1st when the Fed started to make their dovish tilt opening the door to future rate cuts. Unfortunately they keep not happening and start date keeps getting pushed further and further out. That has many wondering if stocks are getting ahead of themselves setting things up for a fall. Thus a good time to tune into what investment veteran Steve Reitmeister has to say about the market outlook along with his trading plan and top picks to stay ahead of the pack. Read on below for more...

Top 4 Tech Giants Poised for Explosive Growth

Fueled by the ever-growing demand for advanced technological solutions across various sectors and ongoing innovation, the tech industry has robust growth prospects. Thus, it could be wise to invest in top tech stocks Dropbox (DBX), TTM Technologies (TTMI), Lantronix (LTRX) and AstroNova (ALOT) for potential growth. Continue reading…

3 Top Rated Software Stocks to Streamline Your Investments

The software industry is thriving with soaring demand, presenting ample investment opportunities. So, fundamentally solid software stocks ServiceNow (NOW), Autodesk (ADSK), and Docebo (DCBO) might be ideal buys for promising returns. Read on...

Biotech Investors: Should You Buy, Hold, or Sell Moderna (MRNA) and Arrowhead Pharmaceuticals (ARWR)?

Despite facing several challenges, the biotech sector thrives due to growing demand for effective treatments, consistent innovations, and a sustained demand for high-quality drugs and therapies. Let's assess whether one should Buy, Hold, or Sell biotech stocks Moderna (MRNA) and Arrowhead Pharmaceuticals (ARWR). Keep reading...

Is the Bull Market Growing Tired?

On the one hand it is fun to celebrate the new highs for the S&P 500 (SPY) that came in this Tuesday. On the other hand...it doesn’t make a lot of sense calling into question the next moves for the stock market. Read on below to appreciate investment veteran, Steve Reitmeister’s, market outlook and top picks to outperform.

Read More Stories

More NIO Inc. ADR (NIO) News View All

Event/Date Symbol News Detail Start Price End Price Change POWR Rating
Loading, please wait...
View All NIO News