2 Renewable Energy Stocks That Could Put You in the Green

These two renewable energy stocks are both up significantly in 2023, yet I would still consider picking them up for huge growth in the years to come.

Amy Legate-Wolfe

Amy became interested in investing in 2018 after having her first daughter. After receiving a masters degree in journalism from Western University, she became frustrated that the finance industry remained a confusing place for Canadians like her: new parents, millennials, and other young people who needed to understand their finances. Now, Amy focuses on tech companies and renewable energy for growth opportunities, coupling that with long-term investing strategies and equities. She also provides investors with a daily newsletter, Canada Stock Digest, for daily market updates. Before joining Motley Fool Canada, she wrote for major news organizations including HuffPost, CTVNews.ca, and CBC. When she’s not researching investing strategies, Amy’s time is pretty much monopolized by her two wild daughters, but in what little spare time she has she loves to do yoga, go on walks with her dog, and travel with her husband. Follow Amy on LinkedIn and Canada Stock Digest. Favorite Investment Quote: “October: This is one of the particularly dangerous months to speculate in stocks. The others are July, January, September, April, November, May, March, June, December, August and February.” – Mark Twain

Published May 17, 2023 2:00 pm EDT

| More on: BEP.UNH

The TSX today continues to offer some significant opportunities for long-term investors. Remember back in 2020 when the market crashed and everyone wished they had bought then? Well, now is that time. And if there is one area of the market due for the most sustained growth, it has to be renewable energy stocks.

The entire world continues to shift towards renewable energy, especially after the invasion of Ukraine by Russia. European countries wanted out from under the oil-filled thumb of Russia, and placed sanctions during this time. Now, there has never been more green investment from private and public sources than right now.

Yet when it comes to the top renewable energy stocks that could make you seriously green, these are the three I would consider.

An engineer works at a hydroelectric power station, which creates renewable energy. — Source: Getty Images

Brookfield Renewable Partners LP

My top choice has to be Brookfield Renewable Partners LP (TSX:BEP.UN) for a few reasons. Brookfield stock is one of the offshoots from Brookfield, so it’s backed by an asset company that’s been around since the 1800s.

Furthermore, Brookfield Renewable continues to find ways of creating long-term growth opportunities. It has invested in everything from solar and hydro to wind and nuclear power. The company also has partnerships and operations in every corner of the globe. Therefore, investors get the most exposure to renewable energy stocks.

While shares are stable with 2022 levels, Brookfield Renewable stock is up 21% year to date, as of writing. It offers a 4.27% dividend yield as well, with substantial growth on the way. So I would certainly consider it on the TSX today.

Hydro One

Another company to consider that’s far from being an oldie is Hydro One (TSX:H). Hydro One stock is one of the newer renewable energy stock on the market. But don’t let that fool you. Hydro One stock provides power to most of Ontario, the province with the highest population in the country.

What’s more, the company is backed by the government. The Province of Ontario holds a 47% stake in the company, providing stable and secure income for the stock and investors alike. Shares are now up 11% in the last year, and 6% year to date.

Those shares are up a further 82% since coming on the market, and have a lot further to climb. As Ontario shifts more towards renewable energy and away from oil and gas, Hydro One stock is likely to be the first tapped for the replacement. So as more infrastructure is built, expect more growth from this stock.

Bottom line

There are certainly many options out there for investors seeking growth from renewable energy stocks. Yet these two provide some of the more stable income for investors to consider. You have one that provides a diverse range of assets in a large number of countries. The other is backed by the government, and due for even more growth in the renewable energy shift. So if you’re looking to make serious green, these are the two I would consider on the TSX today.