Solar companies are solving one of the industry’s long-standing problems: Driving costs low enough to compel end users to make the switch from traditional fuel sources.
“What’s happening now is bigger than that, it’s a full-scale commercialization of solar technology, the buildout of an entire infrastructure meant to rival the filthy, inefficient coal-burning complex at some point in the future. According to NPD, “the pipeline of large-scale solar power projects in the process of being built in the U.S. will hit 43 gigawatts his coming year,” which represents a 7% increase over such projects launched in 2013,” writes Josh Brown at The Reformed Broker.
Remember that TAN underwent a 1-for-10 reverse split in early 2012, so although the fund has more than doubled this year, it is still nowhere close to its May 2008 highs. First Solar would need to rise almost sixfold to reach its 2008 high. Canadian Solar (NasdaqGM: CSIQ) is up a staggering 761% this year, but still needs to tack another 50% to reclaim its 2008 high. Those are just two examples of how far some solar stocks need to go to reclaim lost glory.
For those that like pretty numbers, TAN has $289 in million in assets, $164.4 million of which has flowed into the fund this year, while KWT has $21.2 million in assets, indicating investors are nowhere close to being over-allocated to solar ETFs.
Guggenheim Solar ETF