Solar energy was one of the biggest growth stories of 2020. The Invesco Solar ETF (NYSEMKT: TAN) returned roughly 14 times more than the market last year. Wind energy also shows promise. And there remains value in oil and gas stocks, which have rebounded nicely so far this year.
NextEra Energy (NYSE: NEE) is the largest U.S. utility by market capitalization. The majority of the company’s earnings come from fossil-fuel-based sources, but it’s investing heavily in renewables — so much so that renewable capacity could eclipse its fossil-fuel capacity by 2024. Here’s why NextEra could be the best energy stock for 2021.