As renewable energy keeps getting stronger and stronger, also has the companies that deliver it to grids around North America. Indeed, investing in renewable has been a major game during the last years, as renewable energy companies have been able to give back strong dividends.
Firstly, according to an article from Adam Othman, at The Motley Fool Canada, energies like wind have been mainstream for years; the same will happen with solar panels and batteries, As their technology improves, also their market penetration. Its costs are also lower.
Moreover, Othman says that 2022 may not be the year that renewable energy stock finally enters a solid bullish phase. However, “if you invest in some good renewable stocks in the year and stick to them for long enough, you might be able to capture most of the upside this particular industry has to offer to stock investors.” He says.
As a result, he highlights three renewable energy companies with stocks that will have the greatest profile during 2022. Therefore, investors don’t want to miss the opportunity to spend on them and seize attractive returns.
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Renewable energy companies offering juicy dividends
Firstly, the shares of Boralex will have a unique value during 2022. The company has been around for three decades and has carved out a decent place for itself in the Canadian as well as some foreign renewable energy markets. In addition, the company focus on the big three renewables: wind, solar, hydro, as well as sources like organic waste.
According to Othman, the company’s stocks have grown modestly over the years; had a post-pandemic growth of 148% in less than a year. Consequently, they might crash down 39% and will probably hit rock bottom in 2022; and that would be the perfect time to buy.
The second company is Innergex. The company has a similar profile to Boralex. Had substantial growth after the market crash, and will fall dramatically during 2022. To attract buyers, the company is offering a juicy 3,9% dividend, which might become juicier as the stock continues its downward motion. Buying at the maximum depth will help investors to secure a great yield and also capture more upside from its eventual growth.
Finally, TransAlta Renewables will also be an attractive company to invest in in 2022. The company offers a 5% dividend, which might become even more attractive in the future.