Analysis: Renewable investments have walloped oil and gas over the past five years

first_imgAnalysis: Renewable investments have walloped oil and gas over the past five years FacebookTwitterLinkedInEmailPrint分享S&P Global Market Intelligence ($):Renewable energy stocks have punched well above their weight over the past five years, an analysis by S&P Global Market Intelligence found, with the biggest players tripling in value in that period as oil and gas production company stocks held steady.An equally weighted basket of the 20 largest publicly traded stocks of North American companies that make and sell renewable power — geothermal, wind and solar energy sellers — gained 201% over the past five years as of Aug. 31. Meanwhile, the equally weighted value of the 73 firms in S&P’s Oil & Gas Exploration and Production Index—energy providers—gained 2% over the same period.Of the 20 renewable stocks, with a total market value of $34 billion, 65% gained in value over the five years, while only 30% of the 73 S&P oil and gas index companies, a group totaling $1.36 trillion in market cap, were in positive territory after five years. The broader benchmark S&P 500 index grew 40% over the five years.A 35% slide in the price of crude oil has not helped the E&P stocks, which are historically closely tied to the commodity, while renewable stocks have tracked more closely with the tech sector, said Deanna Zhang, an energy tech and renewables analyst for the energy investment bank Tudor Pickering Holt & Co.Raymond James & Associates Inc. oil and gas analyst Pavel Molchanov agreed that the market rewards high-growth stocks and renewables. Largely based on new and improving technologies, renewable energy companies are benefiting from the same trend that has exploded the value of such high-tech issues as Amazon.com Inc. and Facebook Inc.“It is not surprising that renewable stocks have outperformed the E&P index over the past five years,” said Vishal Shah, a partner with Hudson Sustainable Investments LLC, a $3 billion private equity fund. “[A] combination of positive industry fundamentals and favorable global policy support have resulted in this outperformance for renewables. Corporate renewables and storage plus renewables, along with the strong growth of distributed generation, are the main drivers for strong fundamentals in the renewables sector for power generation,” Shah said.More ($): Renewable premium: Wind, solar stocks soar as oil prices constrain drillerslast_img read more

Hong Kong leader says financial hub cannot afford any more ‘chaos’

first_imgHong Kong leader Carrie Lam warned on Tuesday the city could not afford further “chaos” as it marked the first anniversary of the start of rolling mass pro-democracy protests.More than a million people flooded the streets a year ago to protest a bill by Lam’s government that would have allowed people to be extradited to mainland China, where courts are controlled by the Communist Party, for trial.Lam later withdrew the bill but the legislation triggered widespread concern that the central government in Beijing was stifling freedoms in the global financial hub, sparking months of anti-government protests. “All of us can see the difficulty we have been through in the past year, and due to such serious situations we have more problems to deal with,” Lam said during her weekly media conference, which coincided with the anniversary.”We need to learn from mistakes, I wish all lawmakers can learn from mistakes – that Hong Kong cannot bear such chaos.”After a relative lull in protests during the coronavirus pandemic, demonstrators have returned to the streets in recent weeks and more rallies are expected.Activists have called for people to gather at lunchtime and later on Thursday to mark the anniversary of last year’s mass rally. They have also announced plans to hold a referendum on Sunday about whether to launch a city-wide strike against national security laws proposed last month. Topics :center_img That legislation, which authorities insist will focus on “troublemakers” who pose a threat to national security, has ratcheted tensions higher. Lam cautioned against the activists’ plans to hold a strike referendum.”Over the past year, Hong Kongers and the world have been bearing witness to the deteriorating situation in Hong Kong, with Beijing tightening its grip over the city’s liberties, democracy activist Joshua Wong said in a Twitter feed.On Monday, a Chinese official suggested that the degree of autonomy that Hong Kong would have when the post-colonial agreement on its status runs out in 2047 could depend on how the city behaves until then.last_img read more