Renewable Energy Is Booming! Trump Is Furious! Winners Include First Solar, NextEra Energy, Siemens Energy and RE Royalties

Despite Trump! Renewables Are Booming Across the US

The positive development of renewable energy in the US during the first half of 2026 is remarkable. President Donald Trump makes no secret of his opposition to wind and solar energy in particular. His administration has cut funding programs, tightened permitting procedures, and halted projects. The Department of Energy alone has rescinded billions in funding commitments since 2025. In early 2026, it also noted that approximately USD 9.5 billion in government-supported wind and solar projects had been cut or replaced by investments in natural gas and nuclear energy, among other things. Washington is also intervening heavily in the offshore wind sector. Most recently, RWE received a USD 1.22 billion compensation payment from the US government after the German energy company relinquished its offshore wind lease agreements.

But even this political headwind has not yet been able to halt the structural expansion. In the first half of 2026, solar power generation in the US increased by about 21% compared to the same period the previous year. Wind power also showed positive growth. At the same time, billions continue to flow into new solar farms and battery storage systems. The combination of photovoltaics and storage, in particular, is increasingly becoming an economically driven growth market. This shows that the renewable energy boom in the US has long since ceased to depend on political subsidies. Falling costs, rising electricity demand—particularly from data centers and AI—and the enormous need for new generation capacity ensure that renewable energy continues to grow despite a decidedly critical administration in the US.

US Players Such as First Solar, NextEra Energy, and Tesla Are Benefiting

Among the winners of the ongoing US renewable energy boom are companies across the entire value chain. As one of the leading US manufacturers of solar modules, First Solar is benefiting particularly from the strong expansion of photovoltaics and the policy preference for domestic production. For 2026, the company expects revenue of USD 4.9 to USD 5.2 billion and adjusted EBITDA of USD 2.6 to USD 2.8 billion. The company is valued at USD 24.2 billion, and its stock has lost 18% of its value this year.

NextEra Energy is also among the major beneficiaries, and its stock has gained 6.5% so far this year. At the end of the first quarter, the US energy company had a project pipeline of approximately 33 GW in renewable energy and storage. About 30% of its most recent new orders already come from hyperscalers. So AI and data centers are not relying solely on natural gas and nuclear power. And even Tesla is a winner through its energy business. With Megapack and Powerwall, a total of 22.3 GWh of battery storage was shipped in the first half of 2026.

RE Royalties: A Niche Player with Acquisition Potential

An interesting winner in the small-cap sector is RE Royalties. The Canadian company finances solar, wind, storage, and other energy projects and receives long-term revenue shares in return. More than 80% of its portfolio is located in North America. The continued high capital requirements of many small and medium-sized projects play right into RE Royalties' hands. Traditional banks are not sufficiently active in this segment. Since its founding, the company has already financed over 135 projects. The strong expansion of solar energy and battery storage in the US thus directly expands the potential market for new financing and additional royalties.

A positive factor for investors is that the business model is designed for long-term recurring revenue. Loans are often repaid after just a few years and can be reinvested. Royalty payments are received over significantly longer periods. One example is the financing of solar projects by partner Solaris Energy in the US, in which RE Royalties has secured long-term revenue shares for more than 25 years. The share has already gained 37% this year. However, the market capitalization of less than CAD 20 million still appears to be anything but high. Management shares this view. Various options to increase the company's long-term value are currently being explored. These options include strategic partnerships, co-investments, and even a complete sale of the company.

https://youtu.be/5dQvcZkFR7E?si=jx0IeY-Wu7Cfqgm6

German Winners Such as Nordex, SMA Solar and Siemens Energy

German companies can also benefit from the ongoing expansion of renewable energy in the US. Despite political headwinds, Nordex continues to secure major orders for wind turbines. As a result, the US ranks among its key growth markets. SMA Solar is directly involved in the boom in photovoltaics and battery storage through inverters and storage technology and has resumed local production in the US. Siemens Energy benefits primarily indirectly. New solar and wind farms, battery storage systems, and the rapidly rising electricity demand from data centers require massive investments in grids, transformers, and power transmission. Even more important for Siemens Energy, of course, is the natural gas business.

Developments in the US show that even the US president cannot stop the market. AI data centers are also relying on renewable energy. There are many winners on the stock market. However, US stocks such as First Solar and NextEra Energy have already performed well in recent years and are anything but cheap. RE Royalties, on the other hand, appears anything but expensive. Added to this is the prospect of a takeover. German players also appear relatively inexpensive compared to their US counterparts.