The Top 5 Best Unknown Energy Stocks for Massive Growth

The beautiful thing about energy stocks is that they are in a defensive sector. Everyone needs to buy energy to power their appliances, cars, and homes. As such the top 5 best energy stocks will also be incredibly safe bets.

The top 5 best energy stocks for massive Financial Growth are as follows.

  • Nextera Energy ($NEE)
  • EQT Corporation ($EQT)
  • Green Plains Inc ($GPRE)
  • Chesapeake Energy ($CHK)
  • Solaredge Technologies ($SEDG)

Each of these above stocks are set to continue to gain increasing amounts of revenue in both the near and far future. As such they are great investments if taken and held onto, if they fit within your portfolio of course.

Here at ChronoHistoria I teach people how to generate alpha within their portfolio. In this article I am going to show you how each of the above energy companies will generate higher than normal returns in the future.

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Without further ado, let’s jump right into why these relatively unknown top 5 energy stocks are great investments.

Nextera Energy ($NEE)

Nextera Energy is simply an amazing company. They are a rare company that both generates and distributes energy to people across the United States.

Their largest revenue source is FPL which powers a majority of the state of Florida in the U.S. Florida is set to explode in population growth over the next decade and as such FPL’s revenue is expected to go soaring through the roof.

That is good enough on its own but NEE takes it a step further. NEE also reinvests all of its net earnings back into what it likes to call “smart investments.” As such NextEra Energy has built a huge renewable energy generation portfolio over the past 10 years.

While renewable energy does not generate the same amount of revenue as natural gas it does have lower overhead. What NEE has done therefore has positioned itself to snowball out of control over the next 10 years as its base revenue source, Florida, gets higher.

Eventually what we will find is that the renewable portfolio will dwarf the natural gas generation portfolio and then nothing will stop NEE. The U.S as a whole has become more renewable energy friendly and as such there have been huge tax cuts for companies investing in this type of energy generation.

In essence, NEE is a great buy.

If you’re interested in a full rundown on Nextera Energy and how to position a good investment check out this article I wrote a while back.

$NEE: Why Nextera Energy is going to explode in 2022 and beyond!

EQT Corporation

Started in 1888 EQT corp is by far the oldest company on this list. They primarily focus on extracting hydrocarbon based gas and oil from U.S wells along the Atlantic coast.

Over the past 5 years the stock has fallen due to the rising competition and as such lower revenue in their sector. This changed in 2020 however when EQT successfully pivoted its business model into a more renewable friendly approach.

EQT bought out a business called Covanta Holdings. Covanta Holdings specialized in producing energy from landfill natural gas. This was an interesting acquisition on EQT’s part but it has helped them diversify their portfolio and pursue higher returns.

Because of this EQT now holds LNG (Landfill Natural Gas) extraction capabilities. Which grows as the U.S population does. As such the revenue of EQT is expected to grow organically over time.

This will correct a lot of the recent failings of the stock and is why we have started to see the stock correct itself. CitiGroup just the other day announced a $23 price target by the end of 2021 and more beyond. This alone is a 15% return on investment.

I wrote an article going over the full timeline for an investment in EQT and why it’s a good idea. Check it out here.

Should you invest in EQT: Making Money off Trash and Gas.

Green Plains ($GPRE)

This one is interesting. Green Plains specializes in providing hay and cornmeal for protein farmers (cattle ranchers). However in 2019 GRPE decided to start producing and selling ethanol based products.

Since then GPRE has exploded in revenue and started massively expanding. As we speak GPRE is one of the top 10 ethanol production companies in the United States. However what sets GPRE apart is their underlying price for ethanol which is lower than competitors and the quality.

GPRE since they farm corn for protein farmers can select the best corn to be distributed for ethanol production. Further, since GPRE already has a safe underlying business model (selling animal feed) they are a safer bet then other ethanol production companies.

Further, ethanol exports from the U.S to massively expanding countries such as India is expected to double over the next decade. GPRE stands to capitalize upon this the best and that is why they are doubling down on ethanol production.

Finally, from what ethanol they don’t sell they convert to household products like vinegar. Because of this they have a constant revenue stream from three sources on one product! Talk about a good business model.

GPRE is a great investment going forward and is a relatively unknown stock. As such it’s a perfect candidate to gain a high ROI from.

For a full rundown on GPRE check out the article I previously wrote that goes over the pro’s and con’s of investing in GPRE.

Should you invest in EQT: Making Money off Trash and Gas.

Chesapeake Energy ($CHK)

Chesapeake Energy recently emerged from a corporate restructuring and a complete change to their business model. The old CHK was a failing company that had way too much debt to pay off.

The new CHK however has settled its debts and reinvested in smart asset allocations. The real secret to CHK now is the executive team that was brought on to lead the company into the future.

CHK specializes in hydrocarbon extraction from the U.S. They hold rights over thousands of wells and operate a few of them. As such CHK has a massive stockpile of resources that they can either sell off or tap into to generate increasing revenue.

Their recent earnings report sealed the deal for investors who were on the fence. CHK’s recent earnings report beat both revenue and expected EPS values. The revenue beat was by 20% a huge number in the conservative field of energy.

This was because during the restructuring the executive leadership pivoted the business model to focus on what generates revenue in a conservative manner. The previous CHK was rapidly expanding and got burned because of it.

Because of CHK’s massive stockpile of resources it’s a great investment for the future. Now is a great time as they are demonstrating that the new business model is working for the company.

SolarEdge Technologies ($SEDG)

SolarEdge Technologies is the only company on this list not located in the United States. SEDG is an Israeli company who focuses on providing maximum efficiency solar panels across the world.

Now there are a million solar cell companies worldwide, what makes SEDG so impressive? The answer is not the solar cell, but rather its the smart curvature of the glass along with tracking software that will automatically move the panel to face the exact point of the sun.

As such the main client basis of SEDG are major power generation companies such as NEE who can afford to buy entire solar farms in one go and drive the cost of the panels, the technology, and most importantly installation and maintenance down.

Because of this SEDG has risen recently to be one of the top solar cell manufacturers and providers in the world. Everyone thought that their business model was capped out in Q1 of 2021 but their most recent earnings report has proven that there is still a huge amount of room to grow.

SEDG saw an increase in revenue of 5.36% on top of a growing customer basis. That is why it shot up recently.

If you’re bullish on solar then you can’t avoid SEDG.

Conclusion

These are the top 5 best unknown energy generation stocks. They are positioned to drive huge returns in the next 5-10 years with very little risk.

Not many people know about these stocks because the analysts on the street focus on the large cap companies such as Exxon Mobil because a normal investor only wants to return 10-12% per year. However here at Chronohistoria we are all about higher than normal returns, so we cover the smaller less known stocks.

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Until we meet again, I wish you the best of luck in your investing journey.

Sincerely,