Time to Buy Arch Coal (NASDAQ:ACI), JSolar City (NASDAQ:SCTY)?
At 1:25 today, President Obama will make a major announcement regarding a new climate change initiative. I don’t expect anything to be discussed that hasn’t already hit the news streams. And it’s no secret that the coal industry will come out of this one with the most scrapes and bruises. So keep an eye on coal plays today, particularly Arch Coal (NASDAQ:ACI), which has taken it on the chin recently and is now trading at some pretty mouth-watering levels.
If the immediate reaction to the President’s speech turns bearish on Arch Coal, and the stock sinks further, I’m a buyer. The stock is oversold as it is, and the company’s future does not depend solely on U.S. coal consumption. More on that here. And of course, we should see some love for solar stocks today, too. Particularly SolarCity (NASDAQ:SCTY), which absolutely benefits from an increased focus on climate change mitigation in the United States.
Investing in the Grid of the Future
According to Pike Research, the total worldwide capacity for distributed generation contained in microgrids will more than quintuple over the next five to six years. And by 2018, the annual market will reach $12.7 billion. So where are the opportunities for investors? Right here.