CNBC’s Jim Cramer revealed his top three solar stocks on Monday.
“I think your portfolio needs some sun exposure, ideally with First Solar, Enphase or Generac,” said the Mad Money presenter.
Cramer noted that alternative energy stocks have regained ground after fluctuating late last year sparked by the November election of President Joe Biden, who promised to focus on green energy. had lost momentum.
“We had to wait for the major post-election shakeout before recommending solar stocks,” said Cramer.
Solar module maker First Solar’s shares rose to over $ 107 per share in January from about $ 60 in September. Shares in Enphase Energy, a home energy software company, more than tripled between those months.
Both stocks were down more than 12% from their highs at close of trading on Monday.
“Since solar stocks bottomed out a few months ago along with the rest of the hypergrowth cohort, they have gotten their groove back. They have bounced back sharply from their lows, although they are still far from their highs,” said Cramer. “I think this group has a lot more leeway.”
Generac, the maker of emergency power generators, is an exception as the stock hit new highs last month.
Generac shares more than doubled between September and February, before falling about 20% in mid-May. The stock closed at $ 448.15 on Monday, 55% up from its May lows.
“Generac has been one of my favorite ways to play an increasingly unreliable power grid, and while the stock looks expensive up here, the management has an excellent track record,” said Cramer.
“As much as I hate chasing after, you have my blessing again to take a small position because I like this company so much and it’s close to hurricane season. This market rewards good stocks even when they have moved. “Very high.”