5 Green Energy Penny Stocks to Watch in 2022
Renewable energy is gaining momentum as the world turns away from fossil fuels. Furthermore, the move toward clean energy has the potential to make investors a lot of money.
As the world pushes to make its energy sources more sustainable, renewable energy looks promising for investors. Below, you’ll find a list of green energy penny stocks that have potential in the market. Let’s take a closer look…
5 Green Energy Penny Stocks to Consider
- Vestas Wind Systems (OTC: VWDRY)
- Brookfield Renewable Partners (NYSE: BEP)
- Clearway Energy (NYSE: CWEN.A)
- NexGen Energy (NYSE: NXE)
- Algonquin Power & Utilities (NYSE: AQN)
Below, you’ll find a breakdown of each company. Moreover, if you’re looking for more energy investment opportunities, check out these energy penny stocks.
Why Are Renewable Energy Penny Stocks a Good Investment?
The demand for renewable energy sources is soaring in the wake of climate change and global warming. This includes solar, wind, hydro (water), geothermal and other renewables. These energy sources help reduce greenhouse gas emissions. Furthermore, they play a key role in combating climate change.
Green energy is the fuel of the future. The renewable energy market is showing impressive growth over the years. However, green energy is still in its infancy. So, investors could potentially score huge gains by getting in the trend early.
The barrier to entry for penny stocks is low. For as little as a few dollars, you can get a stake in many businesses. In other words, they are a great starting point for investors who can’t afford more expensive blue chip stocks.
However, it’s also important to understand penny stocks are also more volatile. They can cause greater losses or gains due to their greater price swings. This is why finding the stocks with the best risk-to-reward ratio is so important.
Taking this into account, clean energy penny stocks continue to appear very promising if you do your research. So, I’ve gathered a list of some of the top green energy companies of 2022. Let’s take a look at each one in more detail…
Vestas Wind Systems
Vestas is a market leader in the North American wind industry. The company operates out of its headquarters in Portland, Oregon with an offshore headquarters in Boston, Massachusetts. In addition, the company behind this green energy penny stock supplies turbine components from its two factories in Colorado.
In 2020, Vestas spent $2.1 billion across the United States supply chain. It has over 1,300 suppliers and $85 million across 185 Canadian suppliers.
Brookfield Renewable Partners
Brookfield Renewables is one of the world’s largest public, pure-play renewable power platforms. Its portfolio consists of hydroelectric, wind, solar and storage facilities in North America, South America, Europe and Asia.
Brookfield Partners has strong environmental, social and governance practices that support global decarbonization and create long-term value for stakeholders. Furthermore, its renewable capacity is spread across many technologies and continents. This is an excellent renewable energy penny stock if you’re looking for more global diversification.
Clearway Energy is one of the largest renewable energy owners in the US. The company operates out of San Francisco. In addition, it has offices in Carlsbad, CA, Scottsdale, AZ and Houston, TX. It has over 4,700 net megawatts (MW) of installed wind and solar generation projects. Moreover, it has over 8,000 net MW of assets. This includes around 2,500 net MW of green, highly efficient natural gas generation facilities and a portfolio of district energy systems.
This green energy penny stocks provides investors with stable and growing dividend income through its diversified and primarily contracted portfolio. It has more than 4.7 gigawatts (GW) of wind, solar and energy storage assets in over 25 states and a development pipeline across the country. As a result, Clearway Energy has offset the equivalent of almost 10 million metric tons of carbon emissions.
NexGen is a uranium exploration company. It acquires and explores uranium property in Canada. The company has a portfolio of uranium properties in Saskatchewan with more than 209,000 hectares of land. This portfolio is considered to be one of the best uranium properties to date.
NexGen Energy’s projects include ROOK I, Arrow and IsoEnergy. Furthermore, the company remains well-funded to continue its expansion and infill drilling of its deposits.
In addition, for other uranium investing opportunities, check out a list of uranium penny stocks here.
Algonquin Power & Utilities
Algonquin is a renewable energy and utility company. The company started more than 30 years ago with the purpose to sustain energy and water for life. Through its operating business, Liberty, the company provides regulated electricity, water and natural gas utility services to over 1 million customers.
It has over $16 billion in assets on a global scale. Algonquin’s growing portfolio consists of wind, solar, hydro and thermal power generation facilities. Together, they represent over 4 GW of renewable generation capacity. This clean energy penny stock is a great well-established choice for investors.
The Final Line on Green Energy Penny Stocks
The world is moving toward renewable forms of energy. Furthermore, as pressure continues, alternative energy sources will tilt the scale away from fossil fuels.
This presents a good investment opportunity for green energy penny stocks. Energy can be a good sector for your portfolio, but you should always be aware of the risks. Remember, this is where your research and due diligence can make all the difference.
About Aimee Bohn
Aimee Bohn graduated from the College of Business and Economics at Towson University. Her background in marketing research helps her uncover valuable trends. Over the past year, her primary focus has been researching IPOs and other trends.