The World's #1 Renewable Energy Network for News, Information, and Companies.
Untitled Document

11 Clean Energy Stocks for 2012: Quick Update

In the past, I generally only wrote about my annual list of ten clean energy stocks on a quarterly basis, but when I wrote last month to apolgize for inadvertently slipping in an extra stock, and in the process wrote a few notes on a couple of the stocks with news, a couple readers wrote to say they liked the more frequent updates. So let it be written, so let it be done.

Leave a comment if you think it's something I should continue doing, or if you think my limited writing time is more valuably spent talking about stocks you have not already heard about.

Portfolio Performance

February was kind to my stock picks, which had a total return since the start of the year of 19.5%, up from 15.1% at the start of February.  The hedged portfolio showed a gain of 16.1%, up from 12%.  Meanwhile my benchmarks both lost ground, the Clean Energy ETF PBW falling back to 10.9% from 20.8% at the start of February, and the Russell 2000 ETF IWM falling from a gain of 12.3% to a gain of only 8.8% for the year.

For details on the composition of the portfolio and hedged portfolio, see the original article: 10 [sic] Clean Energy Stocks for 2012.  Stock-by-stock performance and dividends are shown in the chart below.  Note that the performance of foreign-traded stocks mrked with * is calculated based on the prices in their home markets converted to dollars at the prevailing rate at the time.

Stock Notes

Euro Stocks Rebound as Crisis Fades

The three European stocks (Rockwool  [ROCK-B.CO] up 28%, Veolia [VE] up 31%, and Accell [ACCEL.AS] up 22%) have done well this year, as investors worst fears of the outcome from the Greek debt crisis begin to fade.  Veolia climbed 15% over the last two days based on its announcement that the company is in talks to sell its mass transit unit.

Alterra Rises on HS Orka

The top performer has been Alterra Power [MGMXF.PK/AXY.TO.]  I think the 57% gain so far this year is partly based on the fact that the company had been so beaten down last year, and the announcement that the group of Icelandic pension funds that owned 25% of its HS Orka geothermal plant had increased their stake to 33.4%.  This is good for Alterra in two ways: the cash can be used for investments in other renewable energy projects, and the greater local ownership of the Icelandic power plant helps to blunt the criticisms of Icelandic nationalists who who have been highly critical of foreign ownership of this power plant, which meets 9% of Iceland's electricity needs and 10% of its heating needs.

Depressed Stocks Cheer Up

The other star performer has been transit bus manufacturer New Flyer (NFYEF.PK/NFI.TO).  I believe the stock's rise has been mostly a rebound from excessively depressed levels at the start of the year.  Even at the current $7.89 a share, I think this high-yielding stock remains an excellent value.  The story at Waterfurnace (WFIFF.PK/WFI.TO) is similar, with the stock rebounding from severely undervalued levels at the start of the year on little news of note.

Drifting in the Western Wind

The worst performer has been Western Wind Energy (WNDEF.PK/WND.V.)  This stock has been drifting slowly downward on a lack of news after rejecting potential buyout at the end of last year.  Since the company has completed its Windstar and Kingman wind farms, the value of the company has risen appreciably since I wrote about it in late 2011, so the price decline represents an opportunity to pick up a deeply undervalued renewable energy power producer.  I have a limit order in to buy a little more at slightly below the current price, despite my fairly large existing position in the stock.

Conclusion

It's been a good year so far for my picks, much like the start of my last banner year, 2009.  As I wrote when I introduced this list:

"I'm optimistic about 2012.  Unless we see a total economic meltdown...I expect strong appreciation of this portfolio of undervalued clean energy stocks in 2012."

DISCLOSURE: Long WFIFF, LIME, AMRC, RKWBF, WM, VE, ACCEL, NFYEF, FNVRF, WNDEF, MGMXF, and puts on IWM and SPY. 

DISCLAIMER: The information and trades provided here are for informational purposes only and are not a solicitation to buy or sell any of these securities. Investing involves substantial risk and you should evaluate your own risk levels before you make any investment. Past results are not an indication of future performance. Please take the time to read the full disclaimer here

This article was originally published on AltEnergyStocks.com and was republished with permission.

Untitled Document

RELATED ARTICLES

Fresh blow for wind power in Australia

Diarmaid Williams

Another blow has been dealt to the wind power industry in Australia with the news that a Senate committee has advocated new limits to the subsidization of the technology.

World Moves Toward 100 Percent Renewable Energy – First Electricity, Then Heating/Cooling, and Finally Transportation

Junko Movellan, Correspondent The exclusive use of energy from renewable resources in at least one sector has now become a feasible goal for 8 countries. Diane Moss, Founding Director of Renewables 100 Policy Institute, discussed this remarkable develop...

How Wind Turbines are Becoming Photocopiers – and the Cost to Investors

Guy Auger, Greensolver We all know that the wind turbine market in Europe is an oligopoly. Power resides in the hands of very few players — and, in the offshore space, just five manufacturers (OEMs) account for 100 percent of the turbines that we...

Siemens receives onshore wind orders for UK and Ireland

Diarmaid Williams

Siemens Wind Power and Renewables Division has been awarded orders, which when in place, will be capable of delivering power to over 100,000 households across Britain and Ireland.

Tom Konrad is a private money manager and freelance writer focused on Peak Oil and Climate Change as investment themes. He manages portfolios for individual clients and is Head of Research for the JPS Green Economy Fund (http://jpsgreeneconomyfund...

CURRENT MAGAZINE ISSUE

Volume 18, Issue 4
1507REW_C11

STAY CONNECTED

To register for our free
e-Newsletters, subscribe today:

SOCIAL ACTIVITY

Tweet the Editors! @megcichon @jennrunyon

FEATURED PARTNERS



EVENTS

Doing Business in South Africa – in partnership with GWEC, the Glob...

Wind Energy in South Africa has been expanding dramatically, growing fro...

GRC Workshop at Indonesian International Geothermal Convention & Ex...

The Geothermal Conceptual Model & Well Targeting The Geothermal Me...

Grid-connected and Off-grid Photovoltaics

This training covers all aspects of planning, installation, maintenance,...

COMPANY BLOGS

Prevailing At A Premium

As efficiency sales professionals, we’re often faced with situatio...

Do Your Goals Match Your Values?

Before you set goals for your company or your personal work performance ...

LSX rises with sustainable wine making in Mexico

his custom LSX solar canopy shades the upper deck organic gard...

NEWSLETTERS

Renewable Energy: Subscribe Now

Solar Energy: Subscribe Now

Wind Energy: Subscribe Now

Geothermal Energy: Subscribe Now

Bioenergy: Subscribe Now  

 

FEATURED PARTNERS