## Why 2026 Could Be the Year Clean Energy Stocks Reach New Heights

The clean energy sector has already signaled its strength. With the S&P Global Clean Energy Transition index surging 46% in 2025—more than triple the S&P 500's 16% gain—renewable energy has become impossible to ignore. Yet according to Peter Krull, director at Earth Equity Advisors (managing over $150 million in assets), the best may still be ahead.

"The global shift toward cleaner energy, transportation, and building solutions is accelerating," Krull told Business Insider. Despite headwinds from policy shifts favoring fossil fuels during 2025, clean energy stocks proved their staying power. Now, as we enter 2026, Krull predicts a new wave of growth driven by two unstoppable forces: the AI boom demanding massive electricity infrastructure upgrades, and the relentless expansion of renewable systems worldwide.

### The Market Setup: Why Now Matters for Clean Energy Investors

Clean energy didn't just survive 2025—it thrived. Solar, wind, and related infrastructure stocks weathered uncertainty under the Trump administration and still delivered impressive returns. Krull attributes this resilience to fundamental market forces beyond politics. The shift toward sustainable infrastructure shows no signs of slowing, particularly as AI data centers desperately need reliable, cost-effective power sources.

Krull expects this tailwind to push select renewable energy stocks even higher in 2026. The question for investors isn't whether clean energy will grow, but which companies are best positioned to capture that growth.

### Five Stocks Positioned for 2026 Growth

#### **MYR Group (MYRG): +53% in 2025, Poised for the Electricity Revolution**

MYR Group may not grab headlines, but it's quietly essential. The company specializes in designing and building electrical transmission infrastructure—the backbone of any energy system. With AI driving unprecedented electricity demand, MYR's services have never been more critical.

Krull sees a clear path forward: "Efficient electricity transmission is the unglamorous hero of the energy transition. MYR is positioned to benefit from both clean energy expansion and AI growth for at least the next decade." After rallying 53% last year, the company could continue climbing as infrastructure investment accelerates.

#### **First Solar (FSLR): +43% Gain Signals Strong Momentum Ahead**

Solar technology represents one of the cleanest, most scalable renewable solutions available. First Solar delivered a robust 2025, and Krull believes the story is far from over. The company boasts a full order backlog stretching through 2026—a clear sign of robust, sustained demand.

"First Solar is driving innovation in solar manufacturing with cleaner production processes and higher cell efficiency," Krull explained. With demand likely to intensify in 2026, the company's growth trajectory appears firmly intact.

#### **Hannon Armstrong Sustainable Infrastructure (HSAI): +13% and Building Momentum**

While HSAI returned 13% in 2025, Krull views its real opportunity ahead. The company invests in sustainable infrastructure projects, particularly in solar and wind sectors. As renewable energy systems expand globally, the financing infrastructure required to support that buildout becomes increasingly valuable.

"Firms like Hannon Armstrong will play a crucial role in bridging the capital gap," Krull noted. The company essentially funds the clean energy future—a role that should generate steady returns as demand for renewables accelerates.

#### **Rivian Automotive (RIVN): +18% Rebound Sets Up for Bigger Moves**

Electric vehicle adoption remains a cornerstone of the clean energy transition. Rivian bounced back 18% in 2025 after previous volatility, positioning itself as a credible player in a still-underpenetrated market segment.

CEO R.J. Scaringe has articulated a clear vision: targeting affordable EV models that Tesla has largely abandoned. Scaringe's deep understanding of integrated vehicle systems gives Rivian a structural advantage in building cost-effective electric vehicles. The upcoming R3 models could unlock a market segment with massive untapped potential, making Rivian a compelling 2026 prospect.

#### **Recursion Pharmaceuticals (RXRX): -44% Decline Creates a Contrarian Opportunity**

While Recursion isn't a traditional clean energy play, Krull remains very optimistic about its long-term potential. The biotech firm is pushing the boundaries of AI-assisted drug discovery through a partnership with Nvidia to build a specialized supercomputer.

The upside is substantial: AI-driven drug development could slash discovery timelines and cut development costs roughly in half. Yes, Recursion carries more risk than pure-play renewable stocks, but the transformative potential justifies a closer look, particularly after the -44% correction in 2025.

### The Bottom Line: A Convergence of Tailwinds

Krull's thesis hinges on a simple observation: clean energy, AI infrastructure, and sustainable development aren't competing forces—they're converging. Companies positioned at this intersection are likely to benefit disproportionately in 2026. Whether through direct renewable generation, transmission infrastructure, financing, or enabling technologies, these five stocks offer different ways to capitalize on an increasingly inevitable shift toward a cleaner, more efficient energy future.