Green Stocks April 2: Stocks Sway To Analyst Views

The markets stood up to the threat of US tariffs today, as the details of potential impact will slip in through the evening. However, some of our green stocks, notably two key solar manufacturing firms in the form of Waaree Energies and Premier Energies were tripped up by a report from Bernstein, which predicted margin contraction ahead for the two ahead. The brokerages view was based around a ramp-up in capacity that would impact margins, helping drag down both the stocks on the day. What is interesting is that the same report also expects solar demand to hit 40 GW this year, which should be good news for Solar EPCs at least.

Both the wind energy stocks made a smart recovery however, ending with good gains as fresh tenders for wind energy continue to come out. the one poor report remains from Gensol, which continues to drift lower with no bottom in sight, as its financial troubles have seen no substantial resolution yet. At this stage, it might be a atter of worry for the agencies that have awarded tender awards to the beleaguered firm, in terms of its ability to execute without adequate financing support.