More homes and commercial properties are adding solar electricity as a 30% federal tax credit continues to make solar more affordable. The foundation also believes that “states like Indiana, Virginia and Tennessee will install more solar capacity this year than in all previous years combined.”
Nevertheless, the solar stocks have not escape a psychological correlation to oil as many believe lower oil prices would make alternative energy less cost effective. For instance, Elon Musk’s SolarCity Corp (NasdaqGS: SCTY) fell 21.1% over the past year while First Solar (NasdaqGS: FSLR) dipped 17.2%. TAN includes a 7.4% position in FSLR and 6.8% in SCTY. KWT holds SCTY 7.2% and FSLR 6.5%. [Alternative Energy ETFs Endure Oil, Tesla Woes]
Guggenheim Solar ETF
For more information on the photovoltaic panel industry, visit our solar category.
Max Chen contributed to this article.