Tax credits, government initiatives to meet net-zero carbon emission goals, and rising demand for solar panel installations should bolster the solar industry's growth in the coming months. Therefore, Wall Street analysts expect solar stocks ReneSola (SOL), SPI Energy (SPI), and I Sun (ISUN) to more than double in price over the next 12 months. Read on to learn more.According to a recent Solar Energy Industries Association (SEIA) report, the solar industry surpassed three million solar installations in 2021 and the residential solar market increased 21% year-over-year. Although supply chain constraints and rising raw material costs have negatively affected installations, the year-over-year increase in utility prices has supported the sector’s growth.
Furthermore, with the introduction of the federal solar investment tax credit (ITC), which provides a 26% tax credit for systems installed in 2020-2022, more homeowners and commercial sectors have been installing solar panels. The global solar energy market is projected to reach $223.3 billion by 2026, achieving a 20.5% CAGR.
Given this backdrop, we think it could be worth adding solar stocks ReneSola Ltd (SOL), SPI Energy Co., Ltd. (SPI), and iSun, Inc. (ISUN) to one’s watchlist. Wall Street analysts expect them to more than double in price over the next 12 months.