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Trump’s Stance on Clean Energy
President Donald Trump has consistently expressed his disapproval of clean energy initiatives, particularly solar and wind investments. However, recent developments in U.S. markets since April have led to unexpected outcomes that even his staunchest critics did not foresee.
Market Gains in Clean Energy
From the market’s low on April 4 to September 25, clean energy has seen the most impressive gains compared to any other industry.
Performance of Clean Energy ETFs
The Invesco WilderHill Clean Energy ETF (NYSE: PBW) has skyrocketed by 118%, surpassing technology stocks, artificial intelligence investments, and even gold mining companies leading the market in 2025.
Renewables Outperform Tech Giants
Remarkably, renewable energy stocks have outperformed Nvidia Corp. (NASDAQ: NVDA), which has rallied 85% since the lows in April.
Trump’s Ongoing Criticism
Despite the positive market trends, Trump has continued to criticize renewable energy. On August 20, he stated on Truth Social that states relying on wind and solar have experienced significant surges in energy costs, labeling it a “scam.” At the recent United Nations General Assembly on September 23, he further dismissed climate change as a “scam.”
Investors Turn to Renewables
Regardless of Trump’s remarks, investor interest in renewable energy stocks has surged. Several companies in this sector have witnessed substantial increases in their share prices since early April, including:
- Amprius Technologies (NYSE: AMPX): Up 359%.
- Bloom Energy Corp. (NYSE: BE): Up 302%.
- MP Materials Corp. (NYSE: MP): Up 251%.
- QuantumScape Corp. (NYSE: QS): Up 231%.
- Eos Energy Enterprises Inc. (NASDAQ: EOSE): Up 177%.
- Lithium Americas Corp. (NYSE: LAC): Up 164%.
Analyst Insights and Future Outlook
Bank of America analyst Dimple Gosai noted that Bloom Energy’s technology is becoming increasingly relevant. Recent comments included a mention of its fuel cells successfully powering Oracle Corp. within 90 days despite grid delays. However, she cautioned that Bloom’s valuation appears high, trading at 100 times the projected 2025 enterprise value-to-EBITDA.
Structural Drivers in Clean Energy
Bank of America’s Francisco Blanch highlighted that the clean energy sector is supported by structural demand alongside geopolitical factors. The next five years may witness rising electricity needs, altered global trade dynamics, and China’s leadership in renewable manufacturing. Blanch suggested that successful energy strategies will likely include comprehensive renewable and fuel storage solutions.
The current rise in clean energy stocks is reminiscent of the earlier enthusiasm for AI, driven by investor excitement, inherent demand, and geopolitical uncertainties. Yet, with valuations on the high side, the sustainability of these gains remains up for debate. Ironically, Trump’s least favorite sector is generating some of Wall Street’s best returns this year.
