Zacks Market Edge Highlights: SQM, ALB, JKS, PXD, NEE

Zacks Equity Research

November 14, 2022 at 5:19 AM·6 min read

For Immediate Release

Chicago, IL – November 14, 2022 – Zacks Market Edge is a podcast hosted weekly by Zacks Stock Strategist Tracey Ryniec. Every week, Tracey will be joined by guests to discuss the hottest investing topics in stocks, bonds and ETFs and how it impacts your life. To listen to the podcast, click here:

https://www.zacks.com/stock/news/2017083/how-to-find-alternative-energy-stocks

How to Find Alternative Energy Stocks

Welcome to Episode #336 of the Zacks Market Edge Podcast.

(1:00) - The Benefits To Investing In Alternative Energy
(8:40) - Creating A Wish List: Who Could Be The Next Big Winner?
(20:10) - Finding Hidden Investments Tied To Alt Energy
(28:30) - The Future of Nuclear Power
(35:40) - Episode Roundup: BP, PXD, NEE, ALB, SQM, JKS, DD
Podcast@Zacks.com

Every week, host and Zacks stock strategist, Tracey Ryniec, will be joined by guests to discuss the hottest investing topics in stocks, bonds and ETFs and how it impacts your life.

This week, Tracey is joined by Zacks Stock Strategist, Ben Rains, who is also the editor of Zacks new newsletter, the Alternative Energy Innovator, to discuss how to invest in alternative energy companies.

There’s no actual “industry” that is just alternative energy, like there is for oil. Investors have to seek it out amidst other industries including solar and chemicals. Sometimes, you may simply stumble across a company innovating in alternative energy just by taking a look at some top Zacks Ranked stocks.

That makes it difficult to know what is “alternative energy” and what isn’t.

The Lithium Producers

But some industries are more obvious than others. Lithium is used in electric vehicle batteries. It’s becoming an important part of the EV infrastructure.

SQM (SQM) is a Chilean producer who is one of the largest lithium producers in the world. Earnings of SQM are expected to soar 530% this year as lithium prices have tripled.

SQM is cheap, as earnings soar, with a forward P/E of just 7.6.

Albemarle (ALB) is also a lithium producer but it is headquartered in the United States. Albemarle’s earnings are expected to rise 429% in 2022 and another 33% in 2023.

Like SQM, Albemarle is also cheap with a forward P/E of 13.4. It also pays a dividend, currently yielding 0.6%.

Should lithium be on your radar?

Is it Finally Time for Solar?

An obvious area for alternative energy is solar. But investors have been waiting many years for solar to finally take off. It only generates 3% of the US energy.

2023 could be the year for solar.

JinkoSolar (JKS), a Chinese solar company, is up 4.3% year-to-date. JinkoSolar shares are cheap. It is trading with a forward P/E of 13.6.

But the analysts are bullish about this year and next. Earnings are expected to jump 115% in 2022 and continue to rise in 2023, gaining another 68.4%.

Is the growth story finally there in the solar stocks like JinkoSolar?

What About Fossil Fuel Companies?

Some fossil fuel companies are looking to the future and turning their focus to alternative energy. Could they be a legitimate alternative energy play?

Pioneer Natural Resources (PXD), for example, has 2 renewable projects that will provide power to the company’s Permian Basin and Texas electric grid. It participates in the 160 MW Concho Valley Solar project.

Pioneer Natural Resources is also working with NextEra Energy (NEE) to develop a 140 MW wind generation facility on Pioneer Natural Resources’ land in Midland, Texas.

NextEra Energy is a Florida clean energy company with a market cap of $153 billion. NextEra Energy isn’t cheap with a forward P/E of 26.7. However, Pioneer Natural Resources is. It trades with a forward P/E of just 8.

Should alternative energy investors have fossil fuels on their short list?

What else should you know about alternative energy stocks?

Tune into this week’s podcast to find out.

[In full disclosure, Tracey owns shares of SQM and PXD in her personal portfolio.]

Find Alternative Energy Stocks

Investor Alert: The Predictive Power of the Market-Beating Zacks System Now Focuses on the Hottest Stock Sector of All

Our Alternative Energy Innovators trading service is ready to launch. Try it for 30 days. Total cost $1 and not a cent of further obligation.

Try it here >>>>

Why Haven’t You Looked at Zacks' Top Stocks?

Our 5 best-performing strategies have blown away the S&P's impressive +28.8% gain in 2021. Amazingly, they soared +40.3%, +48.2%, +67.6%, +94.4%, and +95.3%. Today you can access their live picks without cost or obligation.

See Stocks Free >>

Join us on Facebook: https://www.facebook.com/ZacksInvestmentResearch/

Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.

Media Contact

Zacks Investment Research

800-767-3771 ext. 9339

support@zacks.com

https://www.zacks.com/performance

Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

NextEra Energy, Inc. (NEE) : Free Stock Analysis Report

JinkoSolar Holding Company Limited (JKS) : Free Stock Analysis Report

Pioneer Natural Resources Company (PXD) : Free Stock Analysis Report

Albemarle Corporation (ALB) : Free Stock Analysis Report

Sociedad Quimica y Minera S.A. (SQM) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

Associated Press
Australian prime minister describes domestic violence as a 'national crisis' after protests
Australia’s Prime Minister Anthony Albanese on Monday described domestic violence as a “national crisis” after thousands rallied around the country against violence toward women. Thousands protested in cities around Australia on Sunday to draw attention to the deaths of 27 women so far this year allegedly caused by acts of gender-based violence in a population of 27 million. Albanese said on Monday the rallies were a call to action for all levels of Australian government to do more to prevent gender-based violence.
35m ago
CNN
Biden discusses hostage deal, reiterates ‘clear position’ on Rafah invasion in phone call with Netanyahu on Sunday
President Joe Biden and Israeli Prime Minister Benjamin Netanyahu on Sunday primarily discussed the release of hostages in Gaza, a source familiar with their phone call said.
49m ago
NBC News
Former Slack CEO's teenager has been safely located after running away, officials say
The teenage child of former Slack CEO Stewart Butterfield has been located safely after having run away from home, officials announced Sunday.
51m ago
Reuters
At least 13 Palestinians killed in Israeli strikes on Rafah, medical officials say
Israeli air strikes on three houses in the southern Gaza city of Rafah killed 13 people and wounded many others, medics said on Monday. Hamas media outlets put the death toll at 15. In Gaza City, in the north of the strip, Israeli planes struck two houses, killing and wounding several people, health officials said.
55m ago
CNN
South Dakota Gov. Kristi Noem defends book excerpt where she describes killing dog and goat
South Dakota Gov. Kristi Noem, who’s been touted as a potential vice presidential pick, defended actions described in her upcoming book where she killed a dog and goat on her family farm.
1h ago
CNN
At least 4 killed in Oklahoma tornado outbreak, as threat of severe storms continues from Missouri to Texas
At least four people are dead, including an infant, after a tornado outbreak in Oklahoma overnight, as severe storms threaten more twisters, heavy rain and large hail from Missouri to Texas Sunday.
1h ago
AFP
Burkina Faso suspends more international news media
Burkina Faso has suspended several international news organisations, some of them for an indefinite period, said a statement from communications regulator the CSC. Among those named in the weekend order are French newspaper Le Monde, British publication The Guardian, German broadcaster Deutsche Welle and French broadcaster TV5 Monde.The other news media named in the latest statement, dated Saturday, were French regional newspaper Ouest-France, APAnews and Agence Ecofin.
2h ago
CNN
Blinken to travel to Israel, other key Middle Eastern countries amid stalled hostage and ceasefire negotiations
Secretary of State Antony Blinken will travel to Israel, Jordan and Saudi Arabia this week to meet with regional partners as talks between Israel and Hamas remain deadlocked, the State Department announced over the weekend.
2h ago
NBC News
Hundreds of pro-Palestinian protesters arrested at campuses as colleges crack down on encampments
Students at dozens of universities in the U.S. and Canada are continuing to protest for Palestinian human rights after months of war in Gaza.
2h ago
NBC News
World Central Kitchen will resume operations in Gaza after killing of 7 aid workers
World Central Kitchen announced that it will resume operations in Gaza on Monday, almost one month after seven of its aid workers were killed in an Israeli airstrike in the enclave.
2h ago
Reuters
Germany's 'Reichsbuerger' coup suspects go on trial
Nine men go on trial in Germany on Monday charged with high treason, attempted murder and plotting a violent coup d'etat aimed at installing an aristocrat as national leader and imposing martial law. The hearing in a maximum security courtroom in Stuttgart marks the start of three marathon trials of 27 people in total accused of conspiring in a plot foiled by authorities at the end of 2022. Monday's trial focuses on nine suspects, members of the Reichsbuerger (Citizens of the Reich) group, who allegedly aimed to impose harsh military law on Germany after carrying out a coup.
2h ago
AFP
20,000 Georgians march 'for Europe', protest controversial bill
Some 20,000 Georgians staged a "March for Europe" Sunday, calling on the government to scrap a controversial "foreign influence" bill which the EU has warned would undermine Tbilisi's European aspirations.On Sunday evening -- before staging what organisers called a "March for Europe" -- at least 20,000 people turned out at Tbilisi's central Republic Square, according to an AFP estimate.
3h ago
Politico
Fear is widespread on American campuses, researcher says
Professor Robert Pape said "the feelings of fear on college campuses are more widespread and more intense than we have known."
3h ago
CNN
Trump and DeSantis meet in Miami for first conversation since Florida governor dropped out of GOP primary
Former President Donald Trump and Florida Gov. Ron DeSantis met for several hours in Miami on Sunday, according to a source close to Trump.
3h ago
Associated Press
Interstate near Arizona-New Mexico line reopens after train derailment as lingering fuel burns off
Interstate 40 was reopened in both directions Sunday as fire crews continued watch over a controlled burn of remaining fuel from a freight train derailment near the Arizona-New Mexico state line, a local fire chief said. “Our hazmat team is on site, along with our well-trained firefighters.” Montoya, the incident commander at the scene, said the controlled burns were still consuming remaining fuel on some cars.
3h ago
Associated Press
3 Louisiana officers wounded by gunfire in standoff with shooting suspect, police say
Three Louisiana police officers were wounded by gunfire Sunday in a standoff with a man suspected of shooting three other people in the past week, authorities said. The injured officers were taken to a hospital after being shot Sunday morning at a home in Kenner, about 15 miles (25 kilometers) west of New Orleans, Kenner Police Chief Keith Conley said. SWAT team officers were still outside the home Sunday afternoon, The Times-Picayune/The New Orleans Advocate reported. No arrests had been announced.
3h ago
Yahoo News
Okla. counties in state of emergency after deadly tornadoes; severe thunderstorms head to Texas
Severe thunderstorms are expected in parts of southeastern Texas and the Mississippi Valley.
3h ago
Associated Press
Republicans seeking Georgia congressional seat debate limits on abortion and immigration
Brian Jack sought to make a Sunday debate among Republican candidates for an open Georgia congressional seat all about his close ties to former President Donald Trump, while the other contenders ignored Trump's endorsement of Jack.
4h ago
CNN
Why a Brazilian UFC star is championing a dead Austrian economist
In Latin America, the Austrian-American laissez-faire proponent Ludwig von Mises, who died in 1973, is having something of a moment.
4h ago
CNN
Evacuations lifted after dozens of train cars derailed near New Mexico state line, some carrying propane
Thirty-five rail cars of a train derailed in New Mexico Friday afternoon, prompting evacuations that lasted until Sunday and forcing a 50-mile stretch of Interstate 40 to close.
4h ago