Energize Your Portfolio with Renewables
ENERGIZE YOUR PORTFOLIO WITH RENEWABLES
HIP+SVT examined 21 renewable-energy pure-play companies - covering energy types as diverse as solar/photovolataic, wind, fuel cell, ethanol, and cogeneration. The pool is also very global - China, Germany, Denmark, Taiwan, Spain, Norway - and diverse nationally (South Dakota, Massachusetts, Michigan, California, New Jersey, Illinois, Arizona).
While some have IPO'd in the past 2 years, and most in the past 5 years, there are seven that are have been public for more than five years (so you can compare against Big Oil). When evaluating total shareholder return (stock appreciation and reinvested dividends adjusted for stock splits), three clearly outperform (all solar/photovoltaic) with returns of 75% annually and up. Two more (wind and PV) are in the Big Oil range of returns (22%-34% annually, smaller firms and potentially higher risk) and two (fuel cell and cogeneration) fall short of overall market returns (4% to 12% annually). And, in recent months, as oil prices have surged, so have most of these stocks - in concert with Big Oil.
As you consider your portfolio going forward, you may want to consider these sources of future cleaner and renewable energy -- lower emissions for the environment, secure sources of supply and a seemingly attractive financial upside - now, that's HIP.
|Firm, HQ locale||Exchange/Ticker||Energy Sector||5-yr Total Return|
|SolarWorld, Bonn, Germany||GR: SWV||Photovoltaic||144%|
|Evergreen Solar, Marlboro, MA||NASDAQ: ESLR||Photovoltaic||75%|
|WorldWater and Power Corp., Pennington, NJ||OTC BB: WWAT.OB||Solar||75%|
|Vestas Wind Systems, Randers, Denmark||OTC: VWSYF.PK||Wind||34%|
|Energy Conversion Devices, Rochester Hills, MI||NASDAQ: ENER||Photovoltaic||22%|
|FuelCell Energy, Inc., Danbury, CT||NASDQ: FCEL||Fuel Cell||12%|
|Capstone Turbine Corp., Chatsworth, CA||NASDAQ: CPST||Cogeneration||4%|