Top 6 renewable energy stocks to watch in 2026

What are renewable energy stocks?

Renewable energy stocks are the shares of publicly listed companies involved in producing, developing and distributing energy from renewable sources.

Billions of dirhams are spent on solar, wind, hydro, biomass and geothermal energy research, development and solutions annually – and that’s just in the UAE. It’s a booming business globally, especially considering the growing demand for cleaner energy solutions.

Why trade renewable energy stocks?

For some people, the idea of sustainable and ethical stock trading is important. For others, it’s the rise of the industry that indicates strong potential returns on renewable energy stocks.

Trading renewable energy stocks can help diversify a trader’s portfolio, giving them a new sector in which to invest. Plus, whereas the traditional energy market is experiencing a period of volatility, clean energy shares might provide a stabilising effect on portfolios.

Advantages of renewable energy stocks

Aside from the ethical advantages of stock trading renewable energy shares, there are a few other pros:

• Diversification: By trading renewable energy stocks, you’re adding an additional sector to your portfolio. And considering the volatility of traditional energy stocks at the moment, diversifying into clean energy might be a good play
• Dividends: Many renewable energy companies pay dividends. On our list, most of our six stocks do – with the exception of ITM Power and First Solar
• Government support: The Dubai Clean Energy Strategy 2050 is high on the government’s list of priorities, and those who trade clean renewable energy stocks can reap benefits
• Growing demand: In Dubai, our population is increasing rapidly, and to maintain energy production, we must look to other, cleaner sources. The same can be said for the rest of the world, where energy needs are rising faster than authorities can accommodate using traditional energy

Risks of renewable energy stocks

As with any stock trading, there are inherent risks involved in clean energy shares, like volatility, which the market faces, as it’s still very much in a growth phase. Other potential cons include:

• Political uncertainty: In late August 2025, US President Donald Trump announced plans to block solar and wind power projects in the US. Political uncertainty, particularly at the moment, can greatly affect the companies involved in clean energy, which, in turn, can hurt their share prices
• Extreme weather conditions: As weather conditions grow more extreme, harnessing and producing clean energy, such as wind and solar, may become trickier to do
• Regulatory changes: Governments around the world are doubling down on their commitments to using cleaner energy, but with this will arrive changes in laws and regulations, which could have a negative effect on renewable energy companies and their stock prices as they try to keep up

Top 3 renewable energy stocks for stock traders to watch in 2026

We chose these three companies based on their past six-month share price performance, indicating it might be a good time to buy their stocks. However, remember that past performance is not an indicator of future earnings, and all trading, whether directly or via CFDs, comes with inherent risks.

All figures are accurate as of 21 April 2026.

Overview of the stocks in this section

You can stock trade all of the shares we’ve picked for this section through our platform.

1. ITM Power Plc (LSE: ITM)

Market cap: £873.43 million

ITM Power is a British company that specialises in the manufacture of integrated hydrogen energy solutions.

It focuses on a process called electrolysis, which uses electricity to split water into hydrogen and oxygen. When this electricity is sourced from wind or solar farms, the resulting green hydrogen serves as a clean fuel for heavy transport, industrial heating and energy storage. By providing the technology needed to replace fossil fuels in sectors that are traditionally difficult to decarbonise, ITM Power acts as a vital link in the global transition to a net-zero economy.

Over the last six months, the company has focused heavily on refining its manufacturing processes and strengthening its partnerships with major global energy players. News from the company has largely centred on its efforts to scale up production and improve the reliability of its latest generation of electrolysers.

Why it might suit stock traders

Stock traders may find the company an interesting prospect because it represents a pure play in the hydrogen space. As governments worldwide increase subsidies for clean fuel, ITM Power is positioned at the forefront of a rapidly expanding market. It offers exposure to a niche but essential technology that could underpin future energy grids.

Risks

• The hydrogen industry is still in its relatively early stages, and the company has faced challenges in the past regarding the speed of its project deliveries
• Because it’s still scaling its operations, the stock price can be sensitive to news regarding technical delays or changes in government energy policy

2. Vestas Wind Systems (CSE: VWS)

Market cap: 194.62 billion kr

Vestas Wind Systems is a Danish powerhouse that designs, manufactures, and services wind turbines across the globe. It is a true pioneer of the renewable movement, having installed more wind power capacity than any other company.

Its business is split between selling the massive turbines themselves and providing long-term service contracts to keep them spinning. As countries race to reduce their carbon footprints, the demand for both onshore and offshore wind technology from a proven provider like Vestas remains a cornerstone of the global energy strategy.

In recent months, the company has been navigating a period of significant activity, marked by a healthy intake of new orders from various international markets. News has highlighted its success in securing large contracts for next-generation turbines that are taller and more efficient than previous models.

Why it might suit stock traders

Vestas is often viewed as a bellwether for the renewable energy sector. Its massive market share and established global footprint make it a primary choice for those looking to gain stable exposure to wind power. The recurring revenue generated from its service division provides a layer of predictability that is often attractive to those seeking a more mature company in the green energy space.

Risks

• The high costs of raw materials, such as steel, which can eat into profit margins
• Wind projects are often massive undertakings that can be delayed by local planning regulations or changes in interest rates, which may impact how quickly new orders are turned into completed projects

3. SSE Plc (LSE: SSE)

Market cap: £30.33 billion

SSE is a leading energy company headquartered in the United Kingdom that has undergone a dramatic transformation from a traditional utility provider into a renewable energy leader. It’s now one of the largest developers of offshore wind in the world.

The company is responsible for building and operating some of the most ambitious wind farms in the North Sea, while also managing the electrical networks required to transport that clean energy to homes and businesses across the country.

Over the past half-year, it’s reached several key milestones in bringing new wind farms online, further cementing its role as a critical piece of the UK’s energy security infrastructure.

Why it might suit stock traders

Stock traders often look to SSE because it combines the growth potential of a renewable developer with the stability of a regulated utility. It provides a vital service that people rely on regardless of the economic climate, which can offer a level of defensibility.

Risks

• Risks often stem from the heavy costs associated with building massive offshore structures in challenging environments
• As a major utility, it remains sensitive to broader changes in national energy policy.

Top 3 renewable energy stocks for CFD traders to watch in 2026

We selected these three companies based on their latest six-month stock price performance, which has seen volatility, presenting opportunities for CFD traders. However, as with the shares we selected for stock traders, keep in mind that past performance is not an indicator of future earnings, and all trading comes with risks.

All figures are accurate as of 21 April 2026.

Overview of the stocks in this section

You can trade all three of the stocks in this section via CFDs with us.

1. Iberdrola SA (BME: IBE)

Market cap: €132.72 billion

Iberdrola is a Spanish multinational that has grown into one of the world's largest electricity providers, with a primary focus on clean energy. It operates a vast network of wind farms, solar plants and hydroelectric facilities across Europe, the Americas and beyond.

Rather than just generating power, Iberdrola also owns the smart grids needed to deliver that energy to millions of homes. By investing heavily in electrification, the company is a major driver in the shift away from fossil fuels, aiming to provide a reliable and sustainable alternative for global energy consumption.

In the first half of 2026, the company has stayed busy with massive offshore wind projects and the expansion of its solar footprint in Italy and Brazil. This is part of a broader multi-billion-euro investment plan aimed at strengthening its networks and renewable capacity through 2028.

Why it might suit CFD traders

Iberdrola is often attractive due to its high liquidity and the frequent news flow surrounding its international projects. Because the stock is sensitive to European economic policy and energy price shifts, it can offer the price movement (volatility) that short-term traders look for.

Risks

• As a global operator, Iberdrola is exposed to currency fluctuations and changes in government regulations across different countries
• For a CFD trader, the very volatility that provides opportunity can also lead to rapid losses, especially if the market reacts negatively to shifts in interest rates or unexpected construction delays in its massive offshore projects

2. First Solar Inc (Nasdaq: FSLR)

Market cap: US$20.68 billion

First Solar is a leading American manufacturer of solar panels, but it stands out because of the specific technology it uses. Unlike most manufacturers that use silicon, First Solar produces thin-film photovoltaic modules. These panels are often more efficient in hot or humid conditions and have a lower carbon footprint during the manufacturing process.

By keeping its supply chain primarily within the United States, the company has positioned itself as a key player in North America's energy independence and a vital supplier for large, utility-scale solar farms.

The news from the start of 2026 has been focused on the company's aggressive expansion of its American manufacturing base. With a new factory in Louisiana now operational and another finishing facility scheduled to open in South Carolina later this year, the business is significantly increasing its production capacity.

Why it might suit CFD traders

CFD traders may find First Solar particularly interesting because its stock price is often influenced by US political developments and trade policies. Since the company is a major beneficiary of green energy subsidies, any news regarding government incentives can cause sharp price movements.

Risks

• The fast-moving nature of the solar industry means that prices can swing widely on a single news report, which can increase the risk of loss

3. China Longyuan Power Group Corporation (HKEX: 916)
 

Market cap: HK$110.68 billion

China Longyuan Power Group is the largest wind power producer in China and across Asia. It is a state-owned enterprise that focuses almost exclusively on the development and operation of wind farms, though it has recently been increasing its investment in solar energy.

As China works toward its ambitious goal of reaching carbon neutrality, Longyuan Power serves as a primary vehicle for that transition, managing a massive portfolio of energy assets that provide electricity to China.

Recent data from early 2026 shows a bit of a shift in the company’s operations. While wind generation has seen some seasonal fluctuations, the company’s solar output has surged. Management has signalled a major push for new capacity this year, with plans to add thousands of megawatts of new power to the grid.

Why it might suit CFD traders

This stock offers a way to trade the Chinese renewable energy market through the Hong Kong Stock Exchange. The stock can be quite reactive to monthly power generation reports and Chinese government announcements regarding energy targets. This regular flow of data provides frequent opportunities for traders to speculate on the company’s performance and the broader health of the Asian green energy sector.

Risks

• Risks associated with the company are often linked to its status as a state-owned entity and the regulatory environment in China. Changes in how the government pays for renewable energy or shifts in the national power grid's requirements can cause sudden price changes

How to trade renewable energy stocks with IG UAE

CFDs

1. Open a CFD trading account with IG UAE
2. Search for renewable energy stocks on the IG platform
3. Decide whether to go long (buy) or short (sell)
4. Choose your position size
5. Set stop-loss and limit orders
6. Place your trade and monitor it

Stock trading

1. Open a stock trading account with IG UAE
2. Search for renewable energy stocks
3. Choose the stock you want to buy – try our stock screener
4. Determine how many stocks you want to purchase
5. Place your order
6. Monitor your investment and collect any dividends

FAQs about renewable energy stocks

Footnotes
 

1. TradingView, April 2026
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