Shares of Tesla Inc. and other select electric car and alternative energy stocks rebounded on Tuesday, easily outperforming traditional energy stocks amid the broader stock rally.
The stock rose 5.84%, its biggest one-day gain since September 15, when it rose 7.18%. The stock’s close at $ 423.90 was its best in nearly two weeks. Tesla shares have quintupled this year.
and the American certificates of deposit of the Chinese company Nio Inc. NIO,
the two electric vehicle makers, also outperformed the large market as well as the day’s earnings for General Motors Co. GM,
and Ford Motor Co. F,
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Other big winners in the so-called green energy camp on Tuesday include Bloom Energy Corp.
which climbed more than 13%, and Fuel Cell Energy Inc. FCEL,
et Plug Power Inc. PLUG,
The rally did not extend to shares of solar power companies, for the most part with SunRun Inc. RUN,
ending the day in the red and SolarEdge Technologies Inc. SEDG,
adding to his late Monday stumble.
SolarEdge, a maker of solar inverters and other devices, reported lower than expected third-quarter sales on Monday night and guided lower fourth-quarter sales.
Two of the largest exchange-traded funds focusing on solar stocks and other clean energy diverged on Tuesday, with the ICLN iShares Global Clean Energy,
slightly underperforming the S&P 500 index and the Invesco Solar ETF TAN,
ending in red.
Both posted big gains for the year, up 71% and 125% respectively, and have SunRun among their top holdings. In comparison, the S&P 500 SPX index,
has gained 4.3% so far in 2020.
Tuesday’s performance for solar ETFs compared with larger losses for dedicated oil and gas equity ETFs, however. The SPDR Energy Select Sector XLE,
is down 51% for the year on fears that the pandemic will continue to reduce demand for oil and gas and episodes of overproduction.