Way To Go Green dot org

Investment in renewable energy stocks is a move that not only will help our world have the needed energy resources the future needs, but also could make the investor money. The World Economic Forum published a positive statement on January 29, 2009. “Clean energy opportunities have the potential to generate significant economic returns. The report shows that even after a tumultuous 2008, an index of the world’s 90 leading clean energy companies had a five-year compound annualized return of almost 10%, unmatched by the world’s major stock indices.” This is a positive trend, which is the future of the world’s energy supply and well worth watching.

A good example of this trend is First Solar Inc. Their fourth quarter and fiscal year end results were reported with positive results. Fourth Quarter results were at $433.7 million, which is a rise from the third quarter of 2008 and fourth quarter results in 2007, of $348.7 million and $200.8 million respectively.  With revenue growth at over double in the past year from $504.0 million in 2007 to $1,246.3 million in 2008, this company is showing the way of the future and that they make money. In addition, First Solar broke the $1 per watt price barrier in the Fourth quarter of 2008. They now can manufacture their solar modules to have a 98 cents per watt cost by reducing their cost in the manufacturing process.

Solar power expert and columnist J. Peter Lynch wrote in his latest column that, “Investors can expect very erratic movements in the solar stocks until the overall market volatility starts to get back to the normal range.” “The next phase of development of the solar industry is the same phase that all new industries went through, autos, semiconductors, computers etc. it is the consolidation and shake out phase.” With this in mind, I know the renewable energy suppliers will come out on top after this recession as long as their business plan is solid. The renewable energy stocks are an investment in the future, for the future.

This is not a recommendation to invest in any particular funds or products and we do not give investment advice. This article is to promote awareness of renewable energy stocks.

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