Notes On YieldCos, Future Fuel, and Aspen Aerogels

by Tom Konrad Ph.D., CFA Since I have not had much time to write for AltEnegyStocks, I thought I'd share with readers some notes I wrote for investors in the JPS Green Economy Fund, a hedge fund for which I'm director of Research, regarding our holdings in the third quarter: In the third quarter, we took advantage of the general decline of clean energy "YieldCos" to add two of these owners of wind and solar farms to our portfolio at attractive yields.  Pattern Energy Group (PEGI) is an owner of wind farms having long term power purchase agreements...

Ten Clean Energy Stocks For 2015: Income Comes In First; Growth Shrinks

Tom Konrad Ph.D., CFA 2015 was a very tough year for energy stocks, especially income oriented energy stocks such as (mostly fossil fuel) MLPs and (mostly clean energy) Yieldcos.  Not only did oil and gas prices drop dramatically, but most other commodities did as well.  Low commodity prices hurt commodity producers, but also commodity recyclers and efficiency companies that help reduce the consumption. Against this backdrop, I'm happy that my Ten Clean Energy Stocks for 2015 model portfolio ended the year in the black, with a 5.8%...

Two Canadian IPPs For Your Portfolio

Most alternative energy investors are aware of North American wind power's very bright growth prospects. In past articles, we discussed encouraging projections for the US and Canadian (PDF document) wind markets between now and 2015. While onshore European capacity is fast being exhausted, North America is only beginning its foray into wind and some major capex can be expected in this space over the coming years. Besides solid expected growth, another phenomenon is currently impacting the wind industry; consolidation. This is a global movement that is affecting all of the power gen sector, and that has no-doubt been...

My Portfolio’s Latest Casualty And Addition

The Casualty Last Monday, I discussed how I had recently reviewed Railpower Tech with a view to potentially adding to my position on grounds that: (a) the company had a fair amount of cash in the bank, which reduced the need to go to capital markets for financing for a while; and (b) that it was getting badly battered by general market conditions, potentially offering an attractive entry point. Although my portfolio has taken a beating in recent weeks, I remain ready to take small positions in stocks if I feel they are being unfairly bashed, including in...
10 Clean energy stock model portfolio performance

Ten Clean Energy Stocks For 2018: September Quick Update

As you can see from the chart, September was a tough month for my model portfolio of Ten Clean Energy Stocks for 2018.  Seaspan (SSW) fell back on trade war fears and Green Plains Partners (GPP) fell on ethanol market weakness caused by retaliatory ethanol tariffs and the Trump EPA's continued undermining of the Renewable Fuel Standard.  I'm less sure why Covanta (CVA) is down, but Clearway Energy's (CWEN and CWEN-A formerly NRG Yield) small decline is due to a recent secondary offering. Two of these (CVA and GPP) were my top picks last month, while the third was Terraform Power (TERP). ...
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Ten Clean Energy Stocks For 2019

by Tom Konrad Ph.D., CFA Looking forward to 2019, I'm more optimistic than I have been since the start of 2016, in the wake of the popping of the YieldCo Bubble in late 2015. The bear market that started in late 2018 seems like it's far from over, but I expect in early 2019 will see it enter a less chaotic phase.  After the wild declines and swings of late 2018, I expect investors will begin the new year with an eye to safety more than growth.  This means that the clean energy income stocks which are my focus should outperform...

Ten Clean Energy Stocks For 2017: Summer Harvest

Tom Konrad Ph.D., CFA Colossal Fossil Failure With a president actively hostile towards renewable energy and focused on promoting fossil fuels, it would be easy to think that clean energy stocks would underperform their fossil cousins.  The exact opposite has been true.  Despite the administrations' efforts and tweets bragging about new highs for the Dow, energy funds are down over 10% for the year.  For example, the Energy Select Sector SPDR (XLE), largely composed of oil and gas companies, is down 13% for the year.  The tiny coal sector did better, with the VanEck Vectors Coal ETF up 18%. Even so, Trump's...

Correction, or Bear Market?

by Tom Konrad, Ph.D., CFA On February 21st, I was helping an investment advisor I consult with pick stocks for a new client's portfolio.  He lamented that there were not enough stocks at good valuations. This is one of the hardest parts of being an investment advisor: a client expects the advisor to build a portfolio of stocks which should do well, but sometimes, especially in late stage bull markets, most stocks are overvalued.  I reminded him, "The Constitution does not guarantee anyone the right to good stock picks."  He agreed, but he still had to tell his client that...

The Quick Guide To A Green Stock Portfolio

Tom Konrad, CFA I recently published a quick guide to a green or fossil fuel free stock portfolio aimed at the small investor.  For most people, the best options will be to use mutual funds or an investment advisor.  Some of us like to do things ourselves, and build a portfolio from scratch, using individual stocks.  Doing so could rapidly become a full-time job, but it does not have to be.  Instead, you can use information which mutual funds disclose to piggy-back on their research.  Garvin Jabusch, Co-Founder and CIO of Green Alpha Advisors in...

Six Weeks, Twelve Clean Energy Stocks

Tom Konrad CFA It's been a busy six weeks since I last updated readers on the news events driving my Ten Clean Energy Stocks for 2013 and six alternative picks.  I looked into the performance of the portfolio as a whole at the start of the month, along with some comments about the four renewable energy developers.  I thought at the time we might be seeing a bottom for these beleaguered stocks, but if I was right, we have yet to see the upturn.  Nevertheless, the...

Ten Clean Energy Stocks For 2014: Spooky October

 October was a spooky month for clean energy stocks.  My benchmark Powershares Wilderhill Clean Energy Index (PBW) cringed down 2.9% like the young Supergirl who jumped when a mechanical ghost startled her at my door Haloween night.   My 10 Clean Energy Stocks for 2014 model portfolio was more like Supergirl's slightly older brother, who was dressed as a SWAT team member and insisted that he wasn't scared: It rose a slim 0.9% since the last update on October 3rd.  For the ten months since I launched the portfolio on December 26th, PBW...

Ten Clean Energy Stocks for 2010: Q2 Update

Tom Konrad CFA In the six months since I published my annual clean energy mini-portfolio, it has far outperformed my industry benchmark, the Powershares Wilderhill Clean Energy Index (PBW).  The dismal performance of renewable energy stocks so far this year is likely to lead to great buying opportunities in the rest of the year. 2010 is the third year in a row that I've published a list of ten renewable and energy efficiency stocks that I expect to perform well over the coming year. The details on the list for 2010 are here; this article is...

Calpine Given Notice

Calpine Corp. (CPN) shares are down another 20% again today and are now down in the 20-30 cent range. They were given notice today by a Delaware judge that they have until January 22 to repay $313 million owed to bondholders. Moody's has also downgraded their corporate bonds to junk bond Ca stauts (10 levels below investment grade.) Calpine was kicked out of the S&P 500 recently and now they are looking like they will declare bankruptcy. Boy the hits just keep on coming.

Ten Clean Energy Stocks For 2014

A list of ten high yield and value clean and alternative energy stocks expected to do well in 2014.

10 Clean Energy Stocks for 2020: June Update

by Tom Konrad, Ph.D., CFA The coronavirus pandemic no longer has the United States by its financial center throat, the New York City area, but is instead is now gnawing ravenously at its arms and legs.  In June, the stock market seems to be just starting to get a clue that this is also a bad thing, leading to a month of volatility and general consolidation. Europe, in a display of relative competence, has been much more effective than the US at getting the pandemic beast under control, and so investors looking for safe havens might do well to look there. ...
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Ten Clean Energy Stocks For 2018: Stormy Winter

Tom Konrad Ph.D., CFA While the broad market has been turbulent for the start of 2018, clean energy stocks have fared worse than most. The Trump administration's anti-environmental efforts had little effect on clean energy stocks in 2017 (it was a banner year for this model portfolio). So far, this year has been quite different. Last year, investors seemed unfazed by the chaos in Washington, but with the single "win" of the Republican tax give-away to corporations, investors now seem to think that Trump may indeed be able to deliver on his polluter-funded agenda. Income-oriented stocks have also been taking a...