Podcast: More Top ESG ETFs and Companies
More Top ESG ETFs and Companies. Includes reviews and links to 16 articles with great ETF and stock recommendations globally.
Transcript & Links, Episode 154, June 13, 2025
Hello, Ron Robins here. Welcome to my podcast episode 154, published June 13, 2025, titled “More Top ESG ETFs and Companies.”
So, this podcast is presented by Investing for the Soul. Investingforthesoul.com is your site for vital global ethical and sustainable investing mentoring, news, commentary, information, and resources.
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, please visit this podcast’s webpage for links to the articles and additional company and stock information. I have a great crop of 16 articles for you in this podcast!
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More Top ESG ETFs and Companies (1)
My first review article appeared on a favourite investor website, morningstar.com. It’s titled Five Top ESG ETFs for US Investors and is written by Hannah Hummel. Here are some brief comments on each ETF from Ms. Hummel.
“To find these 174 sustainable ETFs, we applied multiple screens across all exchange-traded funds in Morningstar’s database, selecting only equity investments that are both domiciled in the United States and traded on a United States Exchange. Next, we filtered the remaining ETFs down to only those Morningstar designates as an ‘ESG Intentional Investment – Overall.’ (Read here.)… All fund sizes are as of June 2, 2025.
1. iShares ESG Aware MSCI USA ETF ESGU
- Morningstar Category: Large Blend
- Morningstar Medalist Rating: Silver
- Morningstar ESG Risk Rating: Above Average
- Analyst: Lan Anh Tran
IShares ESG Aware MSCI USA ETF tops our screen with $13.37 billion in assets under management. Incepted in December 2016, the fund has returned 0.48% year to date, trailing a 1.06% return for the S&P 500 and a 0.86% return for the Morningstar US Market Index in 2025. Over the past three years, the fund has posted a 13.59% annualized return, underperforming the S&P 500 at 14.41% and the Morningstar US Market Index at 14.05%.
This passively managed fund tracks the MSCI USA Extended ESG Focus Index.
2. Vanguard ESG US Stock ETF ESGV
- Morningstar Category: Large Blend
- Morningstar Medalist Rating: Silver
- Morningstar ESG Risk Rating: Above Average
- Analyst: Lan Anh Tran
The only ETF offered by a provider other than iShares that places among our screen’s five largest vehicles is the $10.16 billion Vanguard ESG US Stock ETF. The Silver Morningstar Medalist was launched… in September 2018. Year to date, investors have seen a negative 0.21% return, leaving the fund trailing the S&P 500 and the Morningstar US Market Index by 1.27 percentage points and 1.07 percentage points, respectively. In the past three years, however, the fund has delivered a 14.45% annualized return, slightly overperforming the S&P 500 at 14.41%.
Like the other four largest funds in our screen, Vanguard ESG US Stock ETF is passively managed, designed to replicate the performance of the FTSE USA All Cap Choice Index.
3. iShares ESG Aware MSCI EAFE ETF ESGD
- Morningstar Category: Foreign Large Blend
- Morningstar Medalist Rating: Silver
- Morningstar ESG Risk Rating: Above Average
- Analyst: Zachary Evens
The largest ETF falling under the foreign large-blend Morningstar Category and the third largest across our screen overall is the $9.73 billion iShares ESG Aware MSCI EAFE ETF. Opened to investors in June 2016, this Silver medalist has returned an impressive 16.7% year to date against a 5.22% return for the Morningstar Global Markets Index. The fund’s three-year annualized return is 11.3%, trailing the Morningstar Global Markets Index by 0.42 percentage points.
In keeping with the remainder of the five largest funds in our screen, iShares ESG Aware MSCI EAFE ETF is passively managed, tracking the MSCI EAFE Extended ESG Focus Index.
4. iShares ESG Aware MSCI EM ETF ESGE
- Morningstar Category: Diversified Emerging Markets
- Morningstar Medalist Rating: Bronze
- Morningstar ESG Risk Rating: Above Average
- Analyst: Lan Anh Tran
IShares ESG Aware MSCI EM ETF ranks fourth in our screen with $4.73 billion in assets under management. Launched in June 2018, the IShares ESG Aware MSCI EM ETF has returned 9.74% in 2025, beating a 7.54% return for the Morningstar Emerging Markets Index. Looking over a longer horizon, the fund’s three-year annualized return is 4.62%, trailing a 5.46% return for the Morningstar Emerging Markets Index.
This Bronze Morningstar Medalist is passively managed, seeking to replicate the performance of the MSCI Emerging Markets Extended ESG Focus Index.
5. iShares ESG MSCI KLD 400 ETF DSI
- Morningstar Category: Large Blend
- Morningstar Medalist Rating: Bronze
- Morningstar ESG Risk Rating: High
- Analyst: Ryan Jackson
Rounding out our list of the top five largest US-domiciled ESG Equity ETFs is iShares ESG MSCI KLD 400 ETF with $4.5 billion in assets under management. Incepted in November 2006, it is the oldest fund among the five largest in our screen by nearly a decade. Year to date, DSI has returned negative 0.88%, trailing the S&P 500 by 0.18 percentage points, but outperforming the Morningstar US Market Index by 0.02 percentage points.
This Bronze Morningstar Medalist passive fund seeks to replicate the performance of the MSCI KLD 400 Social Index.”
End quotes.
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More Top ESG ETFs and Companies (2)
Now, another article by Hannah Hummel on morningstar.com. This one is titled 2 Top Undervalued EV Stocks to Watch Now. Again, some brief quotes on each stock by her. Morningstar Data as of May 13, 2025.
“1. Analog Devices ADI
- Morningstar Economic Moat Rating: Wide
- Price/Fair Value: 0.93
- Morningstar Rating: 4 stars
- Sector: Technology
Analog Devices is a leading global manufacturer of mixed-signal and analog chips. [Its] chips function by translating environmental conditions like temperature and sound into viable digital signals. The company supplies chips to a diverse range of end markets, including automotive companies, as well as manufacturers of medical devices, robots, and industrial machinery.
In both fiscal 2022 and 2023, the adjusted operating margin for the firm hit 49%, though it has since declined to 41% in fiscal 2024. Morningstar anticipates, however, that the adjusted operating margin for Analog Devices could reach 50% by fiscal 2028, bolstered by a projected 9% average annual growth in sales. Considering Morningstar’s current fair value estimate of $245 per share, projections for fiscal 2025 are in line with a 3% free cash flow yield.
At a recent $226.68 per share, Analog Devices was trading at a 7% discount to Morningstar’s fair value estimate.
2. NXP Semiconductors NXPI
- Morningstar Economic Moat Rating: Wide
- Price/Fair Value: 0.76
- Morningstar Rating: 4 stars
- Sector: Technology
NXP Semiconductors is a prominent player among automotive semiconductor manufacturers. Like Analog Devices, the firm’s expertise is not limited solely to automotive chipmaking, as it also sells to the mobile, communications infrastructure, and industrial markets. Moreover, through enabling near-field communication, or NFC, NXP Semiconductors powers the mobile wallet offerings of multiple high-profile clients, the likes of which include Google GOOGL and Apple AAPL.
Although the firm lost 5.0% in revenue in 2024 and Morningstar models an 8.5% decrease in revenue this year amid tariff-related market challenges, Morningstar anticipates a recovery by 2026. Indeed, Morningstar models indicate that NXP Semiconductors’ revenue could increase 6% in 2026 as EV designs call for an increasing proportion of chips embedded into their systems. Morningstar’s fair value estimate for NXP Semiconductors currently sits at $280 per share, indicating a 6% free cash flow yield for 2025.
At a recent $212.40 per share, NXP Semiconductors was trading at a 24% discount to Morningstar’s fair value estimate.”
End quotes.
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More Top ESG ETFs and Companies (3)
My third article brings us back to a favourite sector for ethical and sustainable investors. The article is titled 3 Alternative Energy Stocks to Watch Amid Escalated Tariff Uncertainty and was found on zacks.com and is by analyst Aparajita Dutta. Her article is a comprehensive review and analysis of the industry and a few of its leading companies.
Here are some quotes by Ms. Dutta from her article.
“The Alternative Energy Industry has outperformed its sector as well as the Zacks S&P 500 composite over the past year. The stocks in this industry have collectively surged 41.9% in the past year against the Oils-Energy sector’s 9.8% decline. The Zacks S&P 500 composite has gained 11.7% in the same time frame…
1. Ormat Technologies ORA
Based in Reno, NV, the company is primarily engaged in the geothermal energy power business. On May 27, 2025, Ormat Technologies announced a $62 million Hybrid Tax Equity partnership with Morgan Stanley Renewables to support its Lower Rio and Arrowleaf energy storage and solar projects, expected to be operational by the end of 2025. This innovative financing will help Ormat monetize $160 million in tax benefits in 2025, boosting profitability and supporting its long-term energy storage growth strategy.
The Zacks Consensus Estimate for the company’s 2025 sales implies an improvement of 8.4% from the previous year’s estimated figure. The stock boasts a long-term (three-to-five years) earnings growth rate of 10%. The company currently carries a Zacks Rank #2 (Buy). Ormat Technologies, Inc. (ORA): Free Stock Analysis Report.
2. Standard Lithium SLI
Based in Vancouver, Canada, Standard Lithium is a technology and lithium development company. Its flagship project is located in southern Arkansas, where it is engaged in the testing and proving of the commercial viability of lithium extraction. On May 29, 2025, it was announced that Smackover Lithium, a joint venture between Standard Lithium and Equinor, has secured AOGC approval for a 2.5% lithium royalty rate for Phase I of its South West Arkansas Project, marking the first such approval in the state. This milestone sets a regulatory precedent and enhances Standard Lithium’s pathway to commercial production by 2028.
The Zacks Consensus Estimate for Standard Lithium’s 2025 bottom line is pegged at a loss of 8 cents per share, suggesting a solid improvement from the year-ago quarter’s reported loss of 13 cents. The bottom line beat the consensus estimate in the last reported quarter. Standard Lithium currently carries a Zacks Rank #2. Standard Lithium Ltd. (SLI): Free Stock Analysis Report.
3. Bloom Energy BE.VI
Based in San Jose, CA, the company generates and distributes renewable energy. On April 30, 2025, Bloom Energy posted its first-quarter 2025 results. Revenues of $326 million reflected an increase of 38.6% year over year. Bloom Energy’s gross margin was 27.2%, reflecting a 110 basis points improvement over last year’s reported figure.
The stock holds a long-term earnings growth rate of 24.4%. The Zacks Consensus Estimate for 2025 sales implies an improvement of 19.3% from the previous year’s reported figure. The company currently carries a Zacks Rank #3 (Hold). Bloom Energy Corporation (BE): Free Stock Analysis Report.”
End quotes
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More articles of interest from around the world for ethical and sustainable investors
1. Title: Best Natural and Organic Food Stocks to Keep an Eye On in 2025 on finance.yahoo.com. (Updated.) By Sumit Singh of Zacks. Original article featured in my Podcast: The Low-Carbon Stocks for Sustainable Investors.
2. Title: 5 Best Sustainable Investment Platforms for UK Investors on moneymagpie.com. By Ruby Layram.
3. Title: Triodos Investment Fund Earns Rare Perfect Score on financial-news.co.uk. By Danielle Trigg.
4. Title: Triodos Bank UK Recognised as Ethical ‘Best Buy’ for Investment Funds and Stocks & Shares ISAs. On and by ffnews.com.
5. Title: Top 10: Sustainable Supply Chains on sustainabilitymag.com. By James Darley.
6. Title: M & T Bank a Top Socially Responsible Dividend Stock With 2.9% Yield (MTB) on nasdaq.com. By BNK Invest.
7. Title: Top 10: ESG Ratings Providers on sustainabilitymag.com. By James Darley.
9. Title: These 3 Nuclear Stocks Should Be on Your Energy Radar on oilprice.com. By Alex Kimani.
10. Title: There’s Absolutely Massive Demand Growth Ahead for This Well-Positioned High-Yield Stock on finance.yahoo.com. By Reuben Gregg Brewer.
11. Title: Our top rated ESG ETFs on morningstar.com.au. By Simonelle Mody.
12. Title: How to Invest in Green Bonds on morningstar.com. (Lists 6 green bond funds). By Charity Blue and Leslie P. Norton.
13. Title: The 50 most sustainable companies in Europe on corporateknights.com. Introduction by Tristan Bronca.
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Ending Comment
These are my top news stories with their stock and fund tips for this podcast, “More Top ESG ETFs and Companies.”
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I’ll talk to you next on June 27th.
Bye for now.
© 2025 Ron Robins, Investing for the Soul
