What is renewable energy?

Green energy sources include:Wind.Solar.Hydro.Biomass.Geothermal.Tidal.Green hydrogen.

Is renewable energy a good investment?

The clean energy sector represents a massive opportunity for investors. However, they must pick stocks carefully since not all will take full advantage of this opportunity. Two key characteristics to look for are a strong balance sheet and a solar energy-focused growth profile. Those factors could give a company the power to generate higher returns.

Which stock is best for renewable energy?

There are several top renewable energy companies. Brookfield Renewable is one of the best renewable energy stocks. The company has a globally diversified renewable energy platform, including hydroelectric, wind, and solar operations. It also has a sustainable solutions business that invests in manufacturing solar panels, producing green hydrogen, and producing renewable natural gas. The company also has an excellent track record of growing shareholder value, including increasing its dividend by at least 5% each year since 2011.

Are there any renewable energy ETFs?

There are several renewable energy ETFs. Three of the biggest by assets under management (AUM) in mid-2026 were:iShares Global Clean Energy ETF (NASDAQ: ICLN): $3.4 billion.Invesco Solar ETF (NYSEMKT: TAN) with $2.2 billion in AUM.First Trust Global Wind Energy ETF (NYSEMKT: FAN): $311.8 million.

Are clean energy stocks expensive?

Some clean energy stocks are expensive, while others are not. Popular companies focused on developing and manufacturing clean energy technology tend to be more highly valued (e.g., Tesla (NASDAQ: TSLA)). However, clean power producers (e.g., Brookfield Renewable, Clearway Energy, and NextEra Energy) tend to trade at less expensive valuations.

Are renewable energy companies profitable?

Many large renewable energy companies are profitable. However, smaller companies earlier in their growth stage might not have yet reached sustainable profitability.

What is the biggest renewable energy company by market cap?

NextEra Energy was the largest renewable energy company, with a market cap of nearly $175 billion in mid-2026.

5 Best Renewable Energy Stocks for 2026 and How to Invest

By Matthew DiLallo – Updated Jun 9, 2026 at 9:23 AM EST | Fact-checked by Frank Bass

Key Points

NextEra Energy projects 8% annual EPS growth through 2032, which it plans to accelerate by acquiring Dominion.
Brookfield Renewable expects to deliver over 10% annual FFO per share growth, while boosting its dividend by 5%-9% annually.
Clearway Energy aims for 7%-8% annual CAFD per share growth to 2030, with upside potential as it supports data center power needs.

Renewable energy stocks are publicly traded companies that support the production and growth of renewable energy sources. Due to concerns about climate change, the world is shifting away from carbon-based fossil fuels to cleaner alternative energy sources, including renewable energy. Decarbonizing the global economy will require trillions of dollars in investment each year.

Renewable energy will play a crucial role in this energy transition. Here's a closer look at how to invest in the renewable energy industry.

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Ticker Information Table
Name and ticker	Market cap	Dividend yield	Industry
NextEra Energy (NYSE:NEE)	$184.2 billion	2.69%	Electric Utilities
Brookfield Renewable (NYSE:BEPC)	$6.7 billion	4.19%	Independent Power and Renewable Electricity Producers
Clearway Energy (NYSE:CWEN)	$4.0 billion	5.57%	Independent Power and Renewable Electricity Producers
First Solar (NASDAQ:FSLR)	$24.1 billion	0.00%	Semiconductors and Semiconductor Equipment
Constellation Energy (NASDAQ:CEG)	$85.9 billion	0.68%	Electric Utilities

Data as of Jul 4, 2026. Showing 5 of 5 total entries.

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A large-scale solar power plant. — Image source: Getty Images.

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NYSE: NEE

NextEra Energy

Today's Change

(2.28%) $1.97

Current Price

$88.34

Key Data Points

Market Cap

$184B

Day's Range

$86.35 - $88.37

52wk Range

$69.24 - $98.75

Volume

14.3M

Avg Vol

11.1M

Gross Margin

36.10%

Dividend Yield

2.69%

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2. Brookfield Renewable

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NYSE: BEP

Brookfield Renewable Partners

Today's Change

(-1.37%) $-0.47

Current Price

$33.90

Key Data Points

Market Cap

$10B

Day's Range

$33.36 - $35.26

52wk Range

$24.13 - $38.12

Volume

53.7K

Avg Vol

846.5K

Gross Margin

16.88%

Dividend Yield

4.52%

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Brookfield Renewable (BEP -1.37%) is a global leader in renewable energy. It's one of the world's largest producers of hydroelectric power, which comprises almost half its portfolio. Brookfield has also been expanding its wind (onshore and offshore), solar (utility-scale and distributed generation, such as rooftop solar), and energy storage operations. The company sells the bulk of its power under long-term PPAs that generate steady cash flow.

Brookfield believes it can deliver more than 10% annual FFO per share growth through 2031, powered by rising power prices, its extensive pipeline of renewable energy development projects, and additional acquisitions (Brookfield and a partner agreed to buy Boralex in a $9 billion deal in 2026). The earnings growth should enable the company to hike its dividend by 5% to 9% annually -- making it one of the best renewable energy dividend stocks. Brookfield has raised its dividend by at least 5% every year since 2011.

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Carbon Credits

Carbon credits are tradeable permits that grant permission to emit a specific quantity of carbon dioxide or other greenhouse gases.

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3. Clearway Energy

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NYSE: CWEN

Clearway Energy

Today's Change

(-2.27%) $-0.76

Current Price

$32.76

Key Data Points

Market Cap

$4.0B

Day's Range

$32.61 - $34.17

52wk Range

$27.67 - $41.74

Volume

1.6M

Avg Vol

1.2M

Gross Margin

15.34%

Dividend Yield

5.57%

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Clearway Energy (CWEN -2.27%) is one of the largest owners of renewable energy-generating facilities in the U.S. It complements its wind and solar energy portfolio with highly efficient natural gas-fired facilities. Clearway also sells its power through PPAs, which generate steady cash flow for the company.

The renewable power company has lots of growth in the pipeline. A combination of higher power prices, organic expansion projects such as repowering legacy wind farms and adding battery storage capacity, and secured acquisitions of operating assets and development projects provides Clearway with increasing growth visibility through 2030. Secured investments drive its expectation of growing its cash available for distribution (CAFD) per share by a 7% to 8% compound annual growth rate through 2030. Meanwhile, Clearway expects to deliver annual CAFD per-share growth of 5% to 8%+ in 2031 and beyond. The growing opportunity to support the surging power needs of data centers represents meaningful upside potential to that growth plan.

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NASDAQ: FSLR

First Solar

Today's Change

(-3.31%) $-7.67

Current Price

$224.41

Key Data Points

Market Cap

$24B

Day's Range

$219.24 - $237.28

52wk Range

$159.85 - $320.95

Volume

72K

Avg Vol

2.5M

Gross Margin

41.73%

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First Solar (FSLR -3.31%) develops and manufactures thin-film solar panels that use their larger size to generate more energy than competing technologies, making them ideal for utility-scale solar energy projects.

As one of the world's leading solar panel makers, the company is in an excellent position as demand for solar panels accelerates. It's actively investing to increase its capacity to produce solar panels and meet demand. In mid-2026, it had contracts in place to sell 47.9 gigawatts of panels through 2030, giving it significant visibility into future revenue ($14.4 billion)

First Solar has the means to continue expanding because it boasts one of the best balance sheets in the sector. Even with its heavy investments in building new manufacturing capacity, the company expects to end 2026 with $1.7 billion to $2.3 billion in net cash. The cushion provides it with tremendous financial flexibility to continue expanding and capitalize on the increasing demand for solar panels. In late 2025, the company announced plans to invest $300 million to build a new U.S. production facility in South Carolina, which should begin operations in the second half of 2026.

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5. Constellation Energy

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NASDAQ: CEG

Constellation Energy

Today's Change

(1.26%) $2.98

Current Price

$239.48

Key Data Points

Market Cap

$86B

Day's Range

$236.70 - $244.00

52wk Range

$228.63 - $412.70

Volume

161.4K

Avg Vol

3.6M

Gross Margin

13.18%

Dividend Yield

0.68%

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Constellation Energy (CEG +1.26%) is the world's largest private-sector power producer and the top generator of clean power. It has 55 gigawatts of capacity, accounting for about 10% of the country's clean power capacity and enough to power 27 million homes. The company has industry-leading nuclear energy, natural gas, and geothermal fleets. It also has wind, solar, and hydropower assets. The company significantly enhanced its already leading position in clean energy in early 2026 by closing its $26.6 billion acquisition of Calpine.

The combined company expects to have ample opportunities to expand its clean energy capacity. Current and potential growth projects include nuclear energy restarts and renewals, solar-plus-battery storage projects, carbon capture and storage, and new natural gas capacity.

How to buy renewable energy stocks

Here's a step-by-step guide on how to buy renewable energy stocks:

Open your brokerage app: Log in to your brokerage account where you handle your investments. If you don't have one yet, take a look at our favorite brokers and trading platforms to find the right one for you.
Search for the stock: Enter the ticker into the search bar to bring up the stock's trading page.
Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
Submit your order: Confirm the details and submit your buy order.
Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.

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Renewable energy FAQ

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About the Author

Matt DiLallo has been a contributing Motley Fool stock analyst specializing in the energy, industrials, and real estate sectors since 2012. He also covers dividend-paying stocks, pre-IPO companies, ETFs, and other investing topics. He holds an MBA from Liberty University.

TMFmd19

@MatthewDiLallo

Matt DiLallo has positions in Brookfield Renewable Partners, Clearway Energy, First Solar, and NextEra Energy. The Motley Fool has positions in and recommends Constellation Energy, First Solar, and NextEra Energy. The Motley Fool recommends Brookfield Renewable Partners. The Motley Fool has a disclosure policy.

5 Best Renewable Energy Stocks for 2026 and How to Invest

Key Points

Key Data Points

2. Brookfield Renewable

Key Data Points

3. Clearway Energy

Key Data Points

Key Data Points

5. Constellation Energy

Key Data Points

How to buy renewable energy stocks

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Renewable energy FAQ

What is renewable energy?

Is renewable energy a good investment?

Which stock is best for renewable energy?

Are there any renewable energy ETFs?

Are clean energy stocks expensive?

Are renewable energy companies profitable?

What is the biggest renewable energy company by market cap?

1. NextEra Energy

2. Brookfield Renewable

3. Clearway Energy

4. First Solar

5. Constellation Energy

Benefits and risks of investing in renewable energy stocks

Should you invest in renewable energy stocks?

Related investing topics

FAQ

5 top renewable energy stocks for 2026

Key Data Points

Key Data Points

Key Data Points

Key Data Points

How to buy renewable energy stocks