The solar energy industry builds and installs devices to capture energy from the sun and convert it into electric power. Companies in the industry are working to transition the global economy from fossil fuels such as oil and natural gas to renewable energy sources. It will take trillions of dollars and many years to complete the transition, making the solar energy industry a compelling opportunity for long-term investors.
The sector encompasses a wide variety of companies with the following functions:
Best solar stocks to invest in 2025
Solar energy represents an enormous market opportunity. Global spending on solar was on track to reach $450 billion in 2025, surpassing all other generation technologies. That annual investment rate will likely rise in the future, powered by growing demand for clean energy, especially from power-hungry data centers used to support artificial intelligence (AI). That technology is driving accelerated electricity demand, making solar's future look even brighter.
Many companies focus on solar energy and should benefit from the sector's growth. However, not all have strategies designed to enhance value for their shareholders. Three solar energy stocks that stand out as the most worthy of investors' consideration are:
| Name and ticker | Market cap | Industry |
|---|---|---|
| Enphase Energy (NASDAQ:ENPH) | $3.9 billion | Semiconductors and Semiconductor Equipment |
| Brookfield Renewable (NYSE:BEPC) | $7.9 billion | Independent Power and Renewable Electricity Producers |
| First Solar (NASDAQ:FSLR) | $28.5 billion | Semiconductors and Semiconductor Equipment |
| Array Technologies (NASDAQ:ARRY) | $1.3 billion | Electrical Equipment |
| NextEra Energy (NYSE:NEE) | $170.3 billion | Electric Utilities |
Here's why these solar stocks shine brightly in this rapidly expanding industry.
1. First Solar
NASDAQ: FSLR
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2. Brookfield Renewable
NYSE: BEP
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3. Enphase Energy
NASDAQ: ENPH
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NASDAQ: ARRY
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NYSE: NEE
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How to invest in solar energy stocks
Anyone can invest in solar energy stocks. Here’s a step-by-step guide on how to add one to your portfolio:
- Open your brokerage app: Log in to your brokerage account where you handle your investments.
- Search for the stock: Enter the ticker or company name 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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