Mixed Performances in Clean Energy Stocks with a Boost for Hydrogen and Battery Storage
Key Ideas
- Utility-scale solar firms faced pressure while residential solar, hydrogen, and U.S.-based battery storage companies saw gains due to the Senate's revision of the energy legislation favoring domestic supply chains.
- Hydrogen stocks surged after the 45V clean hydrogen production tax credit extension to 2027, with Plug Power leading the gains by 8.2% in a three-day period.
- Battery storage companies, Fluence Energy and Eos Energy Enterprises, also benefited with gains of 3.1% and 2.5% respectively, as investors rotated into firms meeting new sourcing deadlines.
- Steelmaking coal producers rose as the bill provided tax credit eligibility to metallurgical coal, boosting Alpha Metallurgical Resources, Warrior Met Coal, and Peabody Energy.
Clean energy stocks had a mixed day as investors reacted to the Senate's changes to the energy legislation. Utility-scale solar firms faced pressure while residential solar, hydrogen, and U.S.-based battery storage companies saw gains due to the legislation favoring domestic supply chains. NextEra Energy and AES Corp. experienced declines, while companies like Shoals Technologies, Nextracker, Enphase Energy, and Array Technologies also faced drops in their stock values. On the other hand, Sunrun and First Solar saw gains, with the latter being upgraded by analysts at Jefferies. Battery storage companies, Fluence Energy and Eos Energy Enterprises, also experienced positive movement. Hydrogen stocks surged after the Senate extended the 45V clean hydrogen production tax credit to 2027, propelling companies like Plug Power, Bloom Energy, and Ballard Power Systems. Additionally, coal, nuclear, and legacy energy stocks like steelmaking coal producers witnessed increases following the bill's tax credit eligibility provision for metallurgical coal.
Topics
Projects
Nuclear
Solar Energy
Energy Projects
Tax Credits
Battery Storage
Coal
Domestic Supply Chains
Clean Energy Stocks
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