Top 5 ASX renewable energy shares to watch in 2026

What are renewable energy shares?

Renewable energy shares are the stocks of publicly listed companies involved in the clean energy sector. This industry is a broad one, comprising companies in mining, energy supply, vehicle manufacturing and even those involved in operating energy-efficient data centres. 

Why trade ASX renewable energy shares?

Australia's renewable energy sector is experiencing a historic transformation. The federal government's commitment to 82% renewable power by 2030 means the industry must dramatically scale up, creating substantial trading opportunities for investors who position themselves early.

Massive government backing drives growth

With over A$20 billion in federal clean energy funding committed and state governments adding billions more, renewable energy companies have unprecedented financial support. This government backing reduces investment risk while accelerating project development timelines.

Institutional money is flooding in

Major Australian fund managers including AustralianSuper are rapidly increasing clean energy allocations, while ESG-focused ETFs like Australian Ethical and products from Vanguard and Martin Currie are driving billions into the sector. This institutional demand creates sustained upward pressure on quality renewable energy stocks.

Australia's natural advantages

Australia's exceptional solar and wind resources, combined with world-class mining capabilities for critical minerals like lithium and copper, position ASX renewable energy companies to capture both domestic growth and lucrative export opportunities as the global economy decarbonises.

Risks of trading renewable energy shares

While trading renewable energy shares has its advantages, there are a few pitfalls to watch out for before share trading or CFD trading these stocks:

• Governmental policy: For the most part, countries around the world are shifting towards cleaner energy sources, which is good for the companies involved in the renewable energy zeitgeist. But there are some, such as the US, which are stepping away from clean energy reforms – such as the Trump administration undoing much of the renewable energy work enacted by Biden’s previous administration
• High set-up costs: The expense of setting up renewable energy projects can be significant; this can negatively impact renewable energy company profits and share prices
• Supply chain risks: Currently, 79% of polysilicon, which is used to manufacture solar panels and wind tech, comes from China.¹ If there are supply shortages in the region, it can pose a serious threat to clean energy operations

Top 5 ASX renewable energy shares to watch in 2026

For this article, we’ve filtered out companies on the periphery of renewable energy, choosing instead to focus on those directly involved in clean energy with the largest market caps on the ASX.²

Overview of the shares in this article

The shares listed in this article can all be traded via share trading the stocks themselves on our platform, and all can be accessed via CFD trading through us.

All figures are correct as of 13 February 2026.

1. Origin Energy Limited (ASX: ORG)
 

Industry: Retail energy provision

Market cap: A$19.74 billion³

While Origin Energy is renowned as the operator of Australia's largest coal-fired power plant at Lake Macquarie in New South Wales, the company appears to have seen the writing on the wall when it comes to fossil fuels and the need to transition to clean energy facilities.

Origin Energy is a leading player in Australia's solar power sector and one of the country's leading home solar panel installers.

It has purchase agreements with a slew of solar and wind power farms across Australia, including the 110 MW Darling Downs Solar Farm and the Stockyard Hill Wind Farm in Victoria.

The company has seen strong performance from Australia Pacific LNG operations and has invested significantly in battery storage. Its Eraring Battery project is the largest total dispatch duration of an under-construction battery project in the southern hemisphere.

Highlights:

• For beginner share traders, Origin presents a dual-themed play; it has a stable retail foundation and a pivot toward wind solar battery storage and customer-focused energy services. That mix can appeal because it means earnings aren’t tied solely to one segment. But newcomers should understand that the transition away from coal and gas remains ongoing and can take years to shift earnings contributions fully towards renewables
• CFD traders sometimes like Origin for its liquidity and sensitivity to broad energy price news market demand patterns, regulatory changes and retail margin shifts. These factors can drive both momentum and reversals
• Its share price has dropped by 5.11% over the past six months, but is up 16.71% over the past year⁴

2. AGL Energy Limited (ASX: AGL)
 

Industry: Retail and commercial energy provision

Market cap: A$6.65 billion⁵

As one of Australia’s oldest energy suppliers, AGL focuses on providing energy services to residential, small business and enterprise customers.

In the past six months, AGL’s share price has shown mixed performance depending on the news flow. At times it has rallied on strong half-year earnings results that beat expectations and on signs of cost improvements and retail margin resilience. However, it’s also faced periods of profit guidance tightening and share price corrections, when wholesale electricity price softness or transition costs hit sentiment.

Highlights:

• For share traders, AGL’s attraction is its established position in the Australian energy market and its role in both renewable development and grid support assets. This gives exposure to the long-term shift to lower emissions while still generating revenue from traditional retailing
• CFD traders often find AGL active because the stock reacts to macro energy news, regulatory shifts and profit beats or misses. Positive catalysts like strategic asset sales and battery progress can spark short-term rallies, while cost increases and transition risks can trigger pullbacks
• For both share and CFD traders, the key is to understand that AGL is in a repositioning phase, where volatility is part of the story
• The company’s share price has increased by 14.51% over the past six months⁶

3. IGO Limited (ASX: IGO)
 

Industry: Mineral exploration and mining

Market cap: A$6.56 billion⁷

IGO is an exploration and mining company with a focus on metals that are crucial to the energy storage and renewable energy sectors. It has operations in nickel, copper and lithium, and has a goal to transition the world to global decarbonisation.

These mined materials are used in electric vehicles (EVs), energy storage, and in grids and infrastructure used to transmit and distribute electricity.

The company has a 100% stake in the Nova Operation in Western Australia (WE) and 30% in the Tropicana Gold Joint Venture (together with AngloGold Ashanti) – also in WE.

Unlike pure renewable energy utilities, IGO’s share price performance over the past six months has been influenced by broader battery metals market conditions rather than electricity generation trends.

Highlights:

• For share traders, IGO represents exposure to materials that underpin renewable technologies rather than electricity production itself. That can be exciting because battery metals are central to electrification, but it also introduces mining and commodity cyclicality elements that are different from pure utility stocks
• CFD traders can find volatility around production updates, pricing changes and broader commodity cycles, which often create enough momentum for intra-day or swing trades
• The company’s share price has risen by 56.34% over the past six months⁸

4. Sims Limited (ASX: SGM)
 

Industry: Recycling

Market cap: A$4.11 billion⁹

Founded in 1917, Sims Limited is a global leader in metal recycling and providing circular services for technology. It operates more than 155 facilities across 13 countries. It buys, processes and sells ferrous and non-ferrous metals to manufacturers in 30 countries.

After acquiring the US company Metal Management in 2008, Sims has gone on to become the biggest public company in the metals and electronics recycling industry globally.

Its strategic focus on North America and recent acquisitions aim to drive margin growth and operational efficiencies. It sells 9.8 tons of secondary metals globally each year, with 4.9 tons of ferrous and non-ferrous metals sold to North American interests.

Over the past six months, Sims’ share price has shown relative resilience compared to broader cyclical commodity names. Positive sentiment around sustainability and recycling demand has supported the share price at times, while earnings updates and diversified global operations backed by recurring revenue streams have underpinned share trader confidence.

Highlights:

• For share traders, Sims can be an appealing way to touch the renewable supply chain without direct exposure to generation or battery materials volatility. It acts as a play on sustainability and efficient use of resources rather than power supply
• For CFD traders, it’s slightly less volatile than pure metals or energy stocks, but still lively enough for trading strategies that focus on industrial momentum and sustainability narratives
• The company’s share price has risen by 41.94% over the past six months¹⁰

5. Tasmea Limited (ASX: TEA)

Industry: Engineering and construction

Market cap: A$1.01 billion¹¹

Tasmea is a relatively new entrant to the ASX, focused on diversified trade services across electrical, mechanical, civil and industrial maintenance sectors. While not a renewable generator or battery maker, the company supports energy infrastructure, including electrical grid essentials, and shutdown and maintenance work on renewable projects and energy facilities.

It’s grown through strategic acquisitions and long-term contracts that drive recurring revenue.

In its first year on the ASX, Tasmea’s share price saw significant appreciation, reflecting share trader interest in industrial services that benefit from increasing infrastructure and renewable energy investments.

Highlights:

• For share traders, Tasmea can be an accessible way to participate in the energy transition through support services rather than energy production itself. Its recurring revenue structure and diversified service mix make it easier to understand for beginners, while still benefiting from broader construction and energy investment tailwinds
• CFD traders might find volatility around contract wins, earnings updates and acquisitions, offering trading setups off company news and industrial activity trends
• The share price has fallen by 13.02% over the past six months, but has risen by 102.16% since its entrance onto the ASX in April 2024¹²

How to trade renewable energy shares with IG AU

CFDs

1. Open a CFD trading account with IG AU
2. Search for ASX renewable energy shares 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

Share trading

1. Open a share trading account with IG AU
2. Search for ASX renewable energy shares
3. Choose the shares you want to buy
4. Determine how many shares you want to purchase
5. Place your order
6. Monitor your investment and collect any dividends

FAQs about renewable energy shares 

Footnotes

1. Montel Energy, October 2024
2. List Corp, February 2026
3. TradingView, February 2026
4. TradingView, February 2026
5. TradingView, February 2026
6. TradingView, February 2026
7. TradingView, February 2026
8. TradingView, February 2026
9. TradingView, February 2026
10. TradingView, February 2026
11. TradingView, February 2026
12. TradingView, February 2026