Green Energy Stocks for a Year End Rally

As the ancient Chinese proverb says, "May you live in interesting times..."

Or my fave: A man may stand still in a flowing river, but not in a world of men

Here are some green energy stocks that may participate in a year end rally, and may be suitable investments for higher risk, lobg-term investors with a time horizon of ten years or more. Consult with your financial advisor, or if you must do things on your own, dollar-cost-average steadily into green energy mutual funds and green power exchange-traded funds (ETFs).

Anyways, a few renewable power companies, and how fall their shares have fallen (as of 10OCT08):

JA Solar (JASO)

Down from a high of > $27, at $6.43 you get a major Chinese solar power company with strong revenue growth. Also one of the top contenders internationally.

Suzlon Energy Limited

It's utterly shocking to see this quality global wind energy industry leader trading at 93.65, down 20 on the day and off from a year high of 317. For those who like to own the best companies, this is one you must research.

Ormat Technologies (ORA)

What Vestas is to wind power and First Solar is to photovoltaic energy, Ormat is to the emerging geothermal power industry. An American technology leader.

If you like to be ahead of the curve and want to own some of the stock market's top performers in 2009, research ORA and other geothermal energy companies such as Raser Tech, Western Geo, Nevada Geo, and US Geothermal. The shares were as high as 57.93 earlier this year but could be bought today for 24.09, with a PE of just over 21.

More Renewable Power Stocks and Green Investing Links:

Green Stocks Investing Info

WindIntell.com Renewable Power Wind Energy Stocks

SolarIntell.com Solar Energy Renewable Power Stocks

WaterIntell.com Clean Water, Tidal Power, Wave Energy

Geotherma.info Geothermal Power Stocks Investing

THE 3 Top Green Energy Stocks to Consider Buying Now

Investing directly in growth stocks is a high risk activity; medium risk investors should consider acquiring positions in clean energy mutual funds, as these eliminate most individual stock risk and allow investors to benefit from the sector trend.

The near term risk in the clean power sector is continued downward pressure on oil prices, although somewhere in the fall from the current $93 to an estimated $70 a year from now, the sectors will decouple and green stocks will resume their long-term uptrend. Dollar-cost averaging into renewable power stock funds over the next 6 to 9 months would be very prudent, and the more adventurous may want to wade in over the next 3 to 5 months.

If you are a long term equity investor with a time horizon of 5 to 10 years or longer, consult your investment advisor about adding some of these names to your growth stock portfolio:

First Solar (FSLR)

Normally I find this solar energy market leader a bit pricey, but the past few months of downside volatility in USA and global financial markets have really taken the stuffing out of this industry leader. First Solar is considered the Google of the renewable power sector, in that it is by far the dominant player in the global solar photovoltaics industry. Its patented cadmium telluride thin-film solar technology allows FSLR to produce solar panels and modules more inexpensively than competitors, and this advantage has been translated into a healthy global market share. Although there are concerns about the availability of enough tellurium to meet future demand, my feeling is that FSLR has the financial muscle and wherewithal to scare up what it needs, and likely has future versions of its technology in development that require even less tellurium. Clearly overpriced at its 52-week high of $317, today's (03OCT08) close of 163.19 makes me want to revisit this one. Trading at about 44x estimated 2008 earnings and only 23.4x next year's forecasted earnings, there is still risk to be had but solar energy is here to stay and First Solar is the first mover.

Ormat Technologies (ORA)

The world leader in geothermal energy and remote power, Ormat designs, develops, builds, owns and operates geothermal recovered energy-based power plants, usually using equipment that it designs and manufactures. Not as widely known as First Solar, this is exactly the type of quality American company that will benefit under the wise leadership of Barack Obama over the next eight years. When the Obama rally is in full swing, this stock will likely already be much higher than its current price of $31.40 and on the way to surpassing its year high of 57.93. Trading now at just 27.4 times earnings, it may be a long time before you'll see another opportunity to acquire Ormat at these multiples.

Vestas Wind Systems (VWS.CO)

Down from a high of 700 DKK (Danish Kroners), Vestas at 468DKK (up 47 or 11.1% today!) is a blue-green chip investment for the ages. With over 30% of the growing global wind power market, Vestas gets a premium for its high quality wind turbines and is the Mercedes Benz of the wind energy industry. At 39.8 times earnings, conservative investors may find this company still expensive, but there's a price to pay for greatness, and the time to load up on great firms is when there's blood in the streets. Probably the highest quality company in the entire green energy investing sector, it's time to take a look at Vestas.