Renewable energy sources like wind power are becoming more popular to reduce pollution and carbon emissions.
The Global Wind Energy Council has extensively documented the growth of the worldwide wind sector.
The use of wind power in the United States is booming. In 2020, wind turbines contributed 8.4% of the country’s electricity, almost doubling the amount from 2014.
This increase was partly enabled by record-breaking additions to the country’s wind capacity. As falling prices and government incentives drive new wind capacity increases, the wind industry anticipates 2022 as another record year.
The best six wind stocks in value, growth, and performance are listed below.
Vestas Wind Systems
Denmark-based When it comes to wind power, Vestas is unrivaled worldwide. It works on wind energy and hybrid project conception, production, installation, development, and maintenance all over the globe. More than 145 GW of wind turbines have been deployed by it in 85 different countries.
Vestas, like GE, benefit from the ongoing maintenance of its wind turbines after they have been installed. Company servicing contracts cover at least 124 GW of wind power over an average of 10 years. These contracts mitigate the uncertainty in the sales of wind turbines. Vestas is one of the few major pure bets on wind energy since it focuses only on wind turbines.
Boralex is a renewable energy power plant developer, builder, and operator in Ontario, Canada. The business provides wind, hydro, thermal, and solar services. Boralex announced on June 2 that the NY Energy Research and Development Authority had chosen five of its solar farms to receive renewable energy credits.
Together, the 540 MW of energy generated from these solar farms will be able to meet the yearly electricity needs of more than 141,000 families.
Industrial powerhouse General Electric excels in the aerospace, healthcare, and energy markets. Currently, the megacorporation is being divided into three specialized businesses. The company intends to concentrate on aviation after spinning off its healthcare division in 2023 and its renewable energy, electricity, and digital division in 2024.
Regarding the design, construction, and maintenance of wind turbines, GE’s renewable energy division is among the best in the world. Over 49,000 units have been deployed thus far. There is a steady stream of income from servicing the installed base. Moreover, GE has a large and expanding backlog of onshore and offshore wind development projects that could provide consistent growth over the following years.
Although General Electric is not a pure bet on wind energy, it does provide investors with exposure to the industry in the short term; when the company is eventually broken up, investors will have a more specialized choice.
Northland Power, Inc.
Northland Power, headquartered in Ontario, Canada, is a worldwide power company dedicated to generating energy from renewable sources. The firm manages various renewable energy projects, including onshore and offshore wind farms, efficient natural gas facilities, and solar power plants.
On May 10, Northland Power announced financial results for the first quarter of 2022. Strong sales growth led to a 90% increase in net income over the previous year (YOY). The expansion of the business was aided by the increased output at all of the company’s factories.
Siemens Gamesa Renewable Energy
Siemens Gamesa, headquartered in Spain, is a world-renowned innovator in wind power. More than 99 GW of its wind turbines placed all over the globe, and the company makes, installs, and maintains them. In addition, the firm’s principal shareholder, Siemens Energy (OTC: SMEG.F), is involved in efforts to create wind-powered green hydrogen technology for the company.
Siemens Gamesa has been having problems in recent years owing to a patent battle with GE, rising steel prices (a critical ingredient in wind turbines), and issues with its onshore wind platform, despite wind energy rising. The manufacturer of wind turbines may, however, see brighter times ahead.
Beginning in 2022, the International Trade Commission denied all GE complaints. The stock may gain momentum if some of its other negative factors diminish. Siemens Gamesa’s potential for growth makes it an attractive investment option in the wind energy sector.
NextEra Energy, Inc.
NextEra Energy is a conglomerate whose divisions sell and serve electric electricity and energy infrastructure. In addition, this firm offers electric utility services and maintains a diversified renewable energy industry.
On May 19, NextEra shareholders received a quarterly dividend payment of $0.425. As of May 31, 2022, Shareholders of record will get the dividend on June 15.