Top 2 US Green Energy Stocks

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Introduction

The global shift toward cleaner energy is no longer a distant vision—it’s a powerful investment megatrend. According to the International Energy Agency (IEA), renewable energy is expected to account for over 42% of global electricity generation by 2028, up from just 30% in 2023. Global investment in clean energy is also projected to hit US$2 trillion annually by 2030, driven by government incentives, corporate decarbonisation commitments, and rapid technology adoption.

This transformation is creating a wave of opportunities. From solar and wind to biofuels and advanced storage solutions, US-listed green energy companies are not only growing steadily but also positioning themselves as leaders in a multi-trillion-dollar market.

Here are 2 green energy stocks worth watching closely in 2025—each poised to ride the momentum of this accelerating global transition.

1. Bloom Energy - Electrifying the Path to Net-Zero

Company Snapshot:
Bloom Energy (NYSE: BE) develops and manufactures solid oxide fuel cells, providing onsite, cleaner electricity generation using hydrogen, biogas, or natural gas—key infrastructure for the decarbonization of energy-intensive sectors.

Strong Q1 2025 Financials & Strategic Momentum

• Revenue surged 38.6% YoY to US$326 million.

• Gross margin expanded by 11.2 percentage points to 28.7%, showing improved efficiency.

  Bloom’s momentum builds on its alignment with major trends:

  • The AI revolution is driving demand for reliable electrification in data centres—Bloom is capturing this growth.

  • A strategic partnership with SK ecoplant secured commitments for 500MW of energy servers through 2027.

  • On Jeju Island, Bloom is deploying 1.8MW of SOEC technology to scale green hydrogen production.

  • Expanded its agreement with data centre giant Equinix, supporting over 100MW of capacity for Equinix’s U.S. facilities.

Outlook & Analyst Forecasts

Bloom reaffirmed its 2025 revenue guidance at US$1.65 billion to US$1.85 billion, with analyst consensus centered around US$1.74 billion.

Growth projections are strong:

• EPS forecasted to grow 52.9% annually.

• Revenue growth estimated at 16% per year.

• Expected return on equity of ~28.2% within three years.

Valuation & Market Sentiment

• Analysts offer a Moderate Buy rating, with 17 providing target prices.

• Average 12-month price target: US$33.80, ranging from US$20 to US$48—currently around a 38% downside from recent levels.

• Market sentiment suggests the stock is about 40% overvalued relative to analyst-fair value estimates.

• In a notable shift, J.P. Morgan upgraded Bloom from Neutral to Overweight, raising its target to US$33, citing revived tax credits for fuel cells under U.S. policy as a potential growth driver heading into 2026.

Investor Takeaways

Bloom Energy is uniquely positioned at the intersection of two powerful themes—clean energy innovation and the electrification demands of AI infrastructure. Strong execution, strategic solar and hydrogen partnerships, and expanding digital infrastructure ties underpin its growth narrative.

Yet, the company’s valuation signals both optimism and caution. Current analyst targets imply limited or negative upside unless Bloom meets or exceeds expectations.

If you're confident in the long-term structural trends—AI-driven electrification, decarbonization, and supportive policy tailwinds—then Bloom offers an intriguing opportunity. Otherwise, exercise caution and closely monitor earnings performance and policy-related catalysts moving forward.

2. Enphase Energy Inc -Bright Sparks in Solar Innovation

Enphase Energy (NASDAQ: ENPH) is a pioneer in micro-inverter technology, transforming how residential and commercial solar installations generate, store, and manage power. Its integrated solutions in solar-plus-storage and grid services place it at the forefront of the clean energy transition.

Q1 2025 Highlights: Profits Return with Momentum

• Revenue: Jumped 35.2% YoY to US$356 million—well above last year’s US$263 million.

• Profitability: Turned a US$16.1 million loss in Q1 2024 into a US$29.7 million net profit by Q1 2025.

• Margins: Non-GAAP gross margin stood at 48.9%, including a 10.6% boost from IRA tax benefits.

• Operations: Shipped 1.21 million microinverters and 44.1 MWh of IQ Batteries, showcasing manufacturing strength

Looking Ahead: Forecasts & Analyst Sentiment

• Revenue Forecast (2025): Analysts expect around US$1.5 billion, with high estimates near US$1.9 billion. Projected growth sits around 12.6% annually.

• Earnings Forecast: Estimated EPS of ~US$2.69 in 2025.

• 12-Month Price Targets:

  • Average: US$55.48 — implying a ~47% upside from current price (~US$38).

  • Range: From a low of US$19.80 to a high of US$130.

• Consensus Rating: Typically a Hold, with balanced buy/hold/sell views.

• Growth Outlook: Forecasts estimate 10% annual revenue growth over the next three years — slightly below the broader U.S. semiconductor growth of 16%.

Risk & Sentiment Check

• Despite strong fundamentals, hedge funds hold a high short interest (16.7%) in ENPH, reflecting market caution about competition and tariff pressures.

• Following the Q1 earnings report, shares dropped over 11% pre-market, as margins could be cut by up to 6–8% due to tariffs on Chinese battery components.

Investor Takeaways

Enphase’s resurgence into profitability, bolstered by IRA incentives and solid operations, makes it a high-conviction pick for exposure to clean energy innovation. Despite volatility around tariffs and Europe, long-term upside is supported by both analyst forecasts and structural growth tailwinds in solar + storage.

Conclusion

Get Smart: Two Green Leaders, Two Different Strengths

Bloom Energy and Enphase Energy may operate in different corners of the clean energy space, but both highlight how innovation and strategic execution can unlock value in a rapidly transforming industry.

• Bloom Energy is carving out leadership in hydrogen, fuel cells, and large-scale clean power solutions, with international partnerships and data center demand driving long-term growth. Its expansion into South Korea and deeper ties with Equinix position it well to capture the accelerating shift to green electrification.

• Enphase Energy, meanwhile, is a solar and storage powerhouse, turning losses into profits while scaling U.S. manufacturing under the Inflation Reduction Act. Its microinverters, IQ Batteries, and virtual power plant initiatives demonstrate how residential and distributed energy can deliver resilient earnings growth.

For investors, both companies offer complementary opportunities: Bloom for exposure to the hydrogen economy and enterprise-scale clean power, and Enphase for solar + storage adoption at the residential and community level. While risks remain—tariffs, competition, and policy shifts—the secular momentum toward decarbonization creates a rising tide that could lift both players.

Bottom line: Bloom Energy and Enphase Energy are not just riding the clean energy wave—they’re helping shape it. For long-term investors, they represent high-conviction plays on two of the most transformative themes of the decade: green hydrogen and solar-plus-storage.

Happy Investment!