We recently released a compilation of
12 Top Renewable Energy Stocks to Invest in for 2025
In this piece, we will examine how Vistra Corp. (NYSE:VST) measures up against top renewable energy stocks worth considering for investment in 2025.
Around the globe, governments are concentrating on advancing clean energy initiatives. In 2024, the installation of utility-scale solar power reached an all-time high of 30 gigawatts added to the U.S. electrical grid, representing nearly 61% of new capacity installed over the past year. This growth in renewable resources suggests significant potential for investments in clean energy stocks moving into 2025 and beyond.
Also Read:
10 Top Clean Energy Stocks That Millionaires Favor Based on Their Investments
President Trump’s emphasis on increasing domestic energy output is anticipated to stimulate local production. The significant contributors towards achieving this objective include solar and storage energy systems, which are projected to make up 84% of new grid capacity in 2024. As reported by the U.S. Energy Information Administration (EIA), approximately 63 gigawatts of fresh utility-scale electrical generation capability should be incorporated into the national power network by 2025, marking a 30% increase over the previous year. Together, solar installations and battery storage solutions represent 81% of these planned expansions, with photovoltaic technology alone responsible for half of the overall development.
By 2025, the construction of large-scale solar and battery facilities is projected to hit record levels. Wind projects will contribute additional capacity to this growing sector of renewables and batteries, anticipated to comprise around 93% of new power generation. According to the EIA, approximately 7.7 gigawatts of wind energy capability are forecasted to be integrated into the U.S. electrical network in 2025.
Renewable energy sources will benefit the most from increasing electricity demands since they represent the least costly choice,” stated Bruce Flatt, CEO of Brookfield, during his presentation for Wall Street analysts. “Consumers tend to utilize as much of this low-cost power source first before opting for pricier alternatives.
The International Energy Agency reports that renewable energy usage across the power, transportation, and heating industries is projected to increase by more than 60% between 2024 and 2030. By this time, renewables could account for nearly 20% of total energy consumption. Increasing electrical needs will further stimulate the creation of green energy. Nearly three-quarters of this expansion comes from electric power generated through cleaner means, spurred by regulatory shifts in over 130 nations.
Our Methodology
Using the Finviz filter along with renewable energy exchange-traded funds, we compiled a list of renewable energy firms having a market cap exceeding $500 million. Next, we identified renewable stocks that attracted significant attention from hedge funds. The data regarding the count of hedge fund stakeholders for every company was sourced from Insider Monkey’s records, which were last refreshed in Q4 2024. Ultimately, these 12 top-tier renewable energy stocks were organized in an increasing sequence according to their level of interest among hedge funds.
Why do we focus on the stocks that both hedge funds and wealthy investors heavily invest in? It boils down to this: our studies indicate that mimicking the top choices from leading hedge funds allows us to surpass market performance. Each quarter, our monthly bulletin chooses 14 small-cap and large-cap stocks, achieving a return of 373.4% since May 2014, which significantly outperforms its benchmark by 218 percentage points.
see more details here
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Solar panel workers installing a new farm for clean energy generation.
Vistra Corp. (NYSE:
VST
)
Number of Hedge Fund Owners: 120
Vistra Corp. (NYSE:VST), a prominent player in both retail and electricity production within the U.S., spans activities from traditional power generation to advanced renewable energy solutions and energy storage systems. Through its initiative called Vistra Zero, the corporation aims at harnessing environmentally friendly energy resources. At present, they generate 7,800 megawatts of carbon-free power with intentions to close down 4,588 megawatts worth of coal-powered facilities by 2027.
Vistra Corp. (NYSE:VST) is delaying the shutdown of its 1,185 MW Baldwin Power Plant in Illinois, keeping it operational until 2027. The corporation has committed approximately $135 million into Illinois’ energy sector, with plans for this solar installation to produce around 140,000 MWh of renewable electricity over the coming twenty years.
The Meridian Hedged Equity Fund commented on Vistra Corp. (NYSE:VST) as follows in their Q4 2024 report.
investor letter
:
Vistra Corp. (NYSE:VST), an integrated retailer and power generator operating mainly within the U.S., particularly focusing on Texas and the Midwest, appears poised to benefit from the ongoing consolidation in energy markets. As electricity consumption increases and older base-load generating facilities continue to shut down, these conditions have become even more pronounced due to the swift expansion of artificial intelligence technology, leading to soaring demands for data centers along with their corresponding power needs. Such dynamics foster a positive setting for revenue potential at Vistra’s plants, notably those running on nuclear and natural gas resources. By employing hedging strategies, the firm has secured significant portions of anticipated profits, thereby offering transparent projections regarding upcoming financial inflows. Additionally, Vistra has expanded its customer-facing segment effectively and acquired Energy Harbor strategically, incorporating additional holdings encompassing nuclear, retail services, and sustainable technologies.
Overall, VST
ranks 1st
In our compilation of top picks for renewable energy stocks to invest in during 2025, we recognize the growth prospects of VST. However, we firmly believe that investments in artificial intelligence stocks offer better opportunities for substantial returns over a shorter period. Notably, one particular AI stock has seen gains year-to-date despite many prominent AI companies experiencing approximately a 25% decline. Should you be seeking an AI stock with stronger potential compared to VST yet trading below five times its earning value, refer to our detailed analysis provided in the report.
cheapest AI stock
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Disclosure: There are none to declare. This article was initially published here.
Insider Monkey
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