Great Sustainable Food Stocks, Plus… Best ESG stocks to buy now based on hedge fund holdings. Solar stocks to review.

Transcript & Links, Episode 138, September 20, 2024

Hello, Ron Robins here. Welcome to this podcast episode 138 published September 20, 2024, titled “Great Sustainable Food Stocks, Plus…” It’s presented by Investing for the Soul. Investingforthesoul.com is your site for vital global ethical and sustainable investing mentoring, news, commentary, information, and resources.

Now remember that you can find a full transcript and links to content – including stock symbols and bonus material – on this episode’s podcast page at investingforthesoul.com/podcasts.

Also, a reminder. I do not evaluate any of the stocks or funds mentioned in these podcasts, and I don’t receive any compensation from anyone covered in these podcasts. Furthermore, I will reveal any investments I have in the investments mentioned herein.

Additionally, quotes about individual companies are brief. Please go to this podcast’s webpage for links to the articles for more company and stock information.

————————————————————-

5 Sustainable Food-Related Stocks for Long-Term Investors

This first article refers to an industry that’s one of my favorites, the food industry! It’s titled 5 Sustainable Food-Related Stocks for Long-Term Investors. It’s by Leslie P. Norton and found on morningstar.com. Here are some brief quotes from the article.

“We talked with Edinburgh-based Stewart Investors, a global asset manager that practices sustainable investing, about the charms of food-related stocks. (The firm has a Morningstar ESG Commitment Level of Leader.)…

The firm [Stewart Investors] tends to hold for the long term, and all the food-related companies that Wood mentions left cheap behind a while ago, as you’ll see in the table below. Still, they have merits galore. I talked with Wood about why they’re worth considering for the long haul.

Stewart Investors’ Food Stock Picks

Source: Morningstar. Data as of Sept. 9, 2024. The star ratings for Mahindra & Mahindra, Novonesis, Totvs, and Unicharm are quantitative.”

End quotes.

————————————————————-

10 Best ESG Stocks To Buy Now

My next article comes from Insider Monkey. It’s titled 10 Best ESG Stocks To Buy Now and is by Sheryar Siddiq. Here are a few quotes from him.

“Our Methodology

To create the list of top ESG stocks to buy now, we chose companies from the Vanguard ESG U.S. Stock ETF (ESGV) and ranked them by their percentage weight in the fund, listed in ascending order. In addition, we used hedge fund sentiments regarding each stock to illustrate how well these stocks hold up in the eyes of hedge fund investors. These were taken from Insider Monkey’s Q2 2024 database…

Our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds… (see more details here).

10. Tesla, Inc. (NASDAQ:TSLA)

Number of Hedge Fund Holders: 85

Tesla’s earnings for the second quarter fell short of expectations, driven by a decline in automotive sales for the second consecutive period. Despite a 2% revenue increase to $25.43 billion compared to the same quarter last year, automotive revenue dropped by 7% to $19.9 billion from $21.27 billion…

Despite Tesla’s recent challenges, Truist Securities analyst William Stein remains optimistic about the company’s shift from traditional car manufacturing to AI, which he believes could unlock significant value. On August 14, he reaffirmed his ‘hold’ rating on Tesla with a price target of $215, representing a 6.76% potential upside.”

9. JPMorgan Chase & Co. (NYSE:JPM)

Hedge Fund Holders: 111

JPMorgan Chase operates globally across sectors like Consumer & Community Banking, Corporate & Investment Banking, Commercial Banking, and Asset & Wealth Management. In 2023, the firm achieved a 15% reduction in Scope 1 and Scope 2 greenhouse gas emissions from 2019 levels, advancing toward its goal of carbon neutrality by 2030. JPMorgan Chase also facilitated over $200 billion in green financing, including renewable energy projects and green bonds, contributing to its $2.5 trillion sustainable development financing target by 2030…

Following the earnings release, Citi raised its price target for JPMorgan Chase from $205.00 to $215.00, while maintaining a Neutral rating. BMO Capital also reaffirmed its Market Perform rating with an unchanged price target of $205.00.

8. Broadcom Inc. (NASDAQ:AVGO)

Hedge Fund Holders: 130

Broadcom [is] a global leader in technology, specializes in designing, developing, and supplying a wide range of semiconductor, enterprise software, and security solutions… The company plans to reassess its baseline and set new Scope 1, Scope 2, and Scope 3 greenhouse gas emission reduction targets. According to the company’s ESG report, these new targets will align with the UN Paris Agreement and the Science Based Targets initiative (SBTi) goal to limit global warming to 1.5° Celsius above pre-industrial levels.

In a recent note, TD Cowen identified Broadcom as a stock poised to benefit from the surge in AI spending…

Cantor Fitzgerald maintained an Overweight rating and set a new price target of $200.

7. Eli Lilly And Company (NYSE:LLY)

Hedge Fund Holders: 100

Eli Lilly is a global pharmaceutical firm renowned for its innovative medications. This past year, the company released its 2023 ESG report, highlighting significant strides toward its sustainability goals. The company has reduced greenhouse gas emissions by more than 20% between 2020 and 2022, despite notable business growth. The report also showcases Eli Lilly’s commitment to diversity, with minority group members now holding 25% of U.S. management positions and women occupying 49% of management roles globally…

In a recent update to its large-cap rankings, Wells Fargo analysts highlighted Eli Lilly’s robust pipeline and potential to surpass market expectations in the coming years. The firm named Eli Lilly as its new top pick among large-cap pharmaceutical stocks, anticipating the company will outperform 2025 consensus estimates.

6. Alphabet Inc. (NASDAQ:GOOGL)

Hedge Fund Holders: 216

Alphabet the parent company of Google, has introduced the Google Renewable Energy Addendum, a new initiative asking its largest hardware manufacturing suppliers to commit to matching 100% of their energy use with renewable sources by 2029… The company has set ambitious environmental goals for 2030, including achieving net-zero emissions across its operations and value chain, and reducing its combined Scope 1, 2, and 3 emissions by 50% from 2019 levels…

Analysts have set a price target of $203.74, indicating a potential upside of 25.03% as of August 20…

5. Meta Platforms, Inc. (NASDAQ:META)

Hedge Fund Holders: 219

The social media giant achieved net-zero emissions across its global operations in 2020 and is now focused on reaching net-zero emissions across its entire value chain by 2030…

On August 8, Loop Capital raised its price target for Meta from $550 to $575, while maintaining a Buy rating on the stock…

Citi subsequently raised its price target for Meta from $550 to $580.

4. Amazon.com, Inc. (NASDAQ:AMZN)

Hedge Fund Holders: 308

Amazon initially aimed to reach net-zero carbon emissions by 2030 and power its operations with 100% renewable energy, a goal it claims to have achieved seven years ahead of schedule…

In the first half of 2024, Amazon saw its operating income surge 141% year-over-year, reaching a record high…

Amazon is also a dominant force in digital advertising, surpassing a $50 billion annual run rate with 20% growth…

Morgan Stanley recently reiterated its positive outlook on Amazon maintaining an Overweight rating and a $210 price target.

3. NVIDIA Corporation (NASDAQ:NVDA)

Hedge Fund Holders: 179

NVIDIA leads the market in designing and selling Graphics Processing Units (GPUs), a sector that has surged due to the growing demand for artificial intelligence models. The company’s Blackwell GPUs are up to 20 times more energy-efficient than traditional CPUs for specific AI and high-performance computing (HPC) tasks. Additionally, by the end of FY25 and each year after, NVIDIA aims to achieve and maintain 100% renewable electricity for its offices and data centers under operational control…

2. Microsoft Corporation (NASDAQ:MSFT)

Hedge Fund Holders: 279

Microsoft stands out as a leading ESG stock, much in part due to its strategic investment in OpenAI, the creator of ChatGPT, which has strengthened its position across hardware, software, and global cloud services. The company is committed to sourcing 100% renewable energy by 2025, becoming carbon negative by 2030, and offsetting all historical carbon emissions since its founding in 1975 by 2050…

BMO Capital Markets maintained its positive outlook on Microsoft, keeping an Outperform rating and a $500 price target.

1. Apple Inc. (NASDAQ:AAPL)

Hedge Fund Holders: 184

Apple is an obvious choice for ESG investors, given its strong commitment to labor rights, environmental responsibility, and ethical business practices across its supply chain. The tech giant has reduced its overall greenhouse gas emissions by over 55% since 2015, marking significant progress toward its ambitious Apple 2030 goal of achieving carbon neutrality across its entire value chain by the decade’s end…

On August 2, Goldman Sachs raised its price target for Apple from $265 to $275 while maintaining a Buy rating…

End quotes.

————————————————————-

These 3 Companies Are the Solar Power Leaders, But Should You Invest in Them?

Now what would a podcast episode be without an article on solar power companies? So here it is titled These 3 Companies Are the Solar Power Leaders, But Should You Invest in Them? By Jordan Chussler and found on 247wallst.com. Here is some of what Mr. Chussler says in his article.

“1. First Solar Inc. (NASDAQ: FSLR)

has amassed an impressive $21.98 billion market cap and is considered by many to be the solar industry leader. The company manufactures solar panels, but also provides utility-scale photovoltaic power plants while also provides support services like financing, construction, maintenance and end-of-life panel recycling programs…

In the second quarter of 2024, First Solar beat earnings forecasts for the fifth consecutive quarter by posting earnings per share (EPS) of $3.25 versus analysts’ expectations of $2.70. The company also beat on revenue by reporting $1.01 billion versus analysts’ expectations of $939.71 million…

Analysts at the Wall Street Journal give First Solar’s stock a median, one-year price target of $286. Shares are currently trading for $205.36, meaning, the stock is expected to have strong upside potential of 39.26% over the next 12 months. 

2. Enphase Energy Inc. (NASDAQ: ENPH)

is a clean energy technology company with a $13.95 billion market cap that specializes in the development and manufacturing of solar micro-inverters and battery storage systems…

Since beating earnings forecasts during the third quarter of 2023, Enphase has missed for the past three consecutive quarters, posting a disappointing EPS of 43 cents in the second quarter of 2024 versus analysts’ expectations of 49 cents…

Shares of Enphase are currently trading around $112, but one-year price targets are incredibly spread out. The Wall Street Journal‘s analysts give a median price target of $130, but a high-end target of $170 and a low-end target of just $45.82. 

3. Sunrun Inc. (NASDAQ: RUN)

has the smallest market cap of all three companies, with just $3.8 billion. The San Francisco-based company provides photovoltaic systems and battery energy storage solutions primarily for a residential customer base.  

Sunrun shocked Wall Street in the second quarter of 2024 by posting an EPS of 55 cents versus analysts’ expectations of -33 cents in earnings. That was the first quarter since Q2 2023 that the company posted a positive EPS…

Currently trading at $18.17, Wall Street Journal analysts give shares of Sunrun a median, one-year price target of $20, but a high-end target of $38 and a low-end target of just $7.78.”

End quotes.

————————————————————-

Ending Comment

These are my top news stories with their stock and fund tips for this podcast “Great Sustainable Food Stocks, Plus…”

Please click the like and subscribe buttons wherever you download or listen to this podcast. That helps bring these podcasts to others like you.

And please click the share buttons to share this podcast with your friends and family. Let’s promote ethical and sustainable investing as a force for hope and prosperity in these troubled times!

Contact me if you have any questions.

Thank you for listening.

Now my next podcast will be October 4^th.

I’ll talk to you then!

Bye for now.

© 2024 Ron Robins, Investing for the Soul