3 SmallCap Outperformers in the PRISM Emerging Clean Energy Index
Since Joe Biden’s election win in November 2020, the markets have become increasingly more bullish on industries that stand to be major beneficiaries of the incoming president’s agenda. Among the industries in-focus include housing, infrastructure, cannabis, and renewable energy.
Renewable energy has become a cornerstone priority of the Biden Administration, which has sent shares soaring of companies involved in fuel cell, solar, wind, and other forms of renewable energy. During his first day in office, President Biden followed through on one of his campaign promises of re-joining the Paris Climate Agreement. The re-engagement in the Paris agreement is significant in that it will allow the U.S. to once again help shape global climate change initiatives.
President Biden is positioning for other significant climate-based initiatives as well. The Biden Administration aims to invest $400 billion in clean energy innovation over ten years. Part of the clean energy investment will be allocated to electric vehicles and their related infrastructure. President Biden’s goal is to further boost electric vehicles and to add 500,000 EV charging stations around the United States. This includes plans to make all federal fleet vehicles fully electric.
In short, President Biden plans to make major strides within clean energy initiatives over the next several years. For small-cap and micro-cap clean energy companies, like those allocated in the PRISM Emerging Clean Energy Index, the era of high growth is just beginning. Here are three companies within the index that are off to a fantastic start in 2021:
Ocean Power Technologies
Ocean Power Technologies, Inc. (NASDAQ: OPTT) is focused on the research, development, and commercialization of proprietary electricity generation technologies using ocean waves. Using its PB3 PowerBuoy system, Ocean Power can generate energy that can be used independently of the overall power grid. Using remote offshore locations, Ocean Power’s technologies can generate power for use by private entities, government agencies, military, oil & gas, and others. As of January 24, 2021, Ocean Power Technologies has already shot up over 108% in 2021.
Polar Power, Inc. (NASDAQ: POLA) is engaged within the design, manufacturing, and sale of renewable energy systems, power generators, cooling systems, and more. Through its DC base power, DC hybrid power, and DC solar power systems, Polar Power can provide diversified energy storage and generation systems for a wide range of applications. As of January 24, 2021, Polar Power has skyrocketed over 394% so far in 2021.
Ballard Power Systems
Ballard Power Systems, Inc. (NASDAQ: BLDP) is focused on the research, development, manufacture, sale, and service of proton exchange membrane fuel cell products. Among the products offered by the company include heavy-duty modules, fuel cell stacks, backup power, portable power, UAV, and more. Ballard Power’s fuel cell systems can be used for transit, railroad, trucks, UAV, marine, critical infrastructure, and more. Shares of Ballard Power Systems have rallied over 58% thus far in 2021.
Overall, the clean energy markets have been performing well for the past several months and are seemingly on-track for even greater gains as President Biden’s initiatives take hold. While investors have largely been focusing on the Power Plug, Inc. (NASDAQ: PLUG) and Sunworks, Inc. (NASDAQ: SUNW) of the world, there are many other clean energy companies out there that stand to potentially be major benefactors of the overall climate as well. Keep an eye on the PRISM Emerging Clean Energy Index and its small-cap components over the next four years.
See our disclaimer: https://