Investing in green stocks can be a sure gateway to lucrative returns. Recent studies show that most investors are now showing an increased interest in sustainable investments— fueled by a number of factors such as climate change and environmental concerns, economic development, and increased scarcity of resources.
Many people ask for the best environmental stocks, while others want to know the stock investment guide. Worry less, as Pure Climate Stocks has put this article together to give you an insight into the current best environmental stock. But before we dive in, you can get a climate investment guide on our webpage.
What are Environmental Stocks & why Invest in them?
These are investments associated with companies that are involved in the protection of the environment. Environmental stocks are issued by public corporations globally to investors in an attempt to make them co-owner/shareholders and maximize profit.
These companies produce goods and services using eco-friendly materials and techniques. They are therefore unlikely to be adversely affected by market-crippling factors, e.g., climate change & global warming, technological advancement, etc.
With environmental stocks, investors are opportune to not only generate ongoing ROIs but also to reduce environmental pollution and contamination of the earth. Hence, smart investors looking to make long-term and short-term investments strongly prefer trading with ESG-focused corporations.
Best Environmental Stocks in 2022
Due to climate change in different parts of the world, several non-ESG firms have been negatively affected, crippled, or eventually destroyed. Investors who have made significant losses from investing in such companies would have no choice but to withdraw from them – leading to their breakdown.
This contrasts with climate stocks, which have gained more investors thanks to their eco-friendly approach to the production of goods and services. Below are the top 3 green stocks you can consider when planning to make wise, eco-friendly, and sustainable investments.
Being a top manufacturer of lithium compounds, Albemarle (ALB, $196.00) is at the heart of the production of electric vehicles. Lithium is the most important component of the batteries needed to operate electric vehicles.
Albemarle is an eco-friendly company founded in 1887, accumulating a market value of about $23.0 billion. Investing in this company will most likely generate a high ROI for short-term and long-term investors.
This popular IT company, Enphase Energy (ENPH, $192.63), is a leader in the domestic and international solar industry. With a market value of approximately $26.0 billion and a guaranteed better future, they are one of the most profitable green stocks available. The company has a great stand in the US, where more decisive actions are being taken to eradicate carbon release.
Founded in 1925, NextEra Energy (NEE, $80.26) has accumulated a market value of $157.7 billion. They issue environmental stocks and are rushed by investors worldwide who believe the company would generate high ROI – and rightly so!
This company generates electricity for over 11 million people in Florida and beyond through wind, solar, coal, nuclear, and natural gas. Other environmental stocks you can invest in, in 2022 include Brookfield Renewable Partners, Ameresco, Clearway Energy, ON Semiconductor, MP Materials, etc.
Investing comes with its risk, no matter the time or amount invested. Yet, it is possible to minimize risk and chances of losses when you invest rightly. Choosing the best environmental stock to invest in is imperative for any investor, as this reduces losses and promises a better, greener, and more profitable earth.
For further knowledge on green stocks, stock analysis, and all other stock-related information, visit Pure Climate Stocks.