Solar Stocks Tumble With Trump Set To Retake White House

Investopedia
06 Nov 2024

Key Takeaways

  • Solar stocks moved sharply lower Wednesday morning after the presidential election was called in favor of Donald Trump.
  • First Solar, Enphase Energy, SunRun, Plug Power, and SolarEdge Technologies shares all declined, among others.
  • The former president's campaign included promises to reverse Biden administration policies favoring renewable energy.

Several solar stocks including First Solar (FSLR) and Enphase Energy (ENPH) slumped in early trading Wednesday after the presidential election was called in favor of former President Donald Trump.

SunRun (RUN), Plug Power (PLUG), and SolarEdge Technologies (SEDG) shares also declined, with the Invesco Solar (TAN) exchange-traded fund (ETF) down nearly 11%.

The Associated Press called the race in favor of Trump early Wednesday morning after a win in Wisconsin put the Republican candidate over the 270 electoral vote threshold.

In the 16-page campaign platform listed on Trump's website, positions on energy policies include increasing oil, natural gas, and coal production, while reversing Biden administration policies favoring renewable energy.

Trump's ability to reverse legislation like the Inflation Reduction Act, which studies have shown has accelerated the reduction of carbon dioxide emissions, will hinge on how Republicans fare in the remaining races yet to be decided in the House of Representatives. The party has secured a slight majority in the Senate, per the races already called by the AP.

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