Wind power stocks continue to attract a lot of investor attention. That’s because these companies build or operate wind turbines, which offer a source of clean, endlessly renewable energy that could replace fossil fuels like oil, coal and natural gas.

However, like many other alternative-energy firms, wind power stocks face significant costs and risks.

For example, varying wind speeds cause …read more »

A number of renewable energy stocks have emerged over the past few years as concern over the environment has grown. However, many of these companies have limited investment appeal.

That’s because many of them need a long time to move from the research or concept stage to profitability. High government deficits have also cast doubt on the future of some …read more »

In December, Nissan Motor Co. (symbol NSANY on Nasdaq) will ship the Nissan LEAF to selected U.S. dealers. The company aims to begin selling the car nationwide in 2011.

The Nissan LEAF is the first electric car to be widely sold in the U.S. So far, 115,000 customers have paid a $99 reservation fee for the new car. The company …read more »

Standard & Poor’s and the TMX Group, which operates the Toronto Stock Exchange, recently launched the S&P/TSX Clean Technology Index. This new index consists of 21 TSX-listed green technology stocks that provide products and services that help solve environmental problems.

Focus on quality when investing in green technology stocks

A number of the companies on the S&P/TSX Clean Technology Index are speculative …read more »

The seeming attraction of wind power stocks is obvious — these companies operate (or make parts for) wind turbines, which offer a source of clean, endlessly renewable energy that can replace fossil fuels like oil, coal and natural gas. However, like other alternative-energy firms, wind power stocks face significant costs and risks.

One of the main problems with wind power …read more »

TRANSALTA CORP. $22.52 (Toronto symbol TA; Shares outstanding: 218.4 million; Market cap: $4.9 billion; SI Rating: Average; Dividend yield: 5.2%) is expanding its Kent Hills wind farm in New Brunswick. That’s because it won a 25-year power contract from the provincially owned electrical utility.

The company will increase Kent Hills’ capacity to 150 megawatts from 96 megawatts in partnership with Natural …read more »

The seeming attraction of solar power is obvious — it offers a source of clean, endlessly renewable energy that can replace fossil fuels like oil, coal and natural gas. However, like many alternative energy sources, solar power’s vast potential has risk to match.

(We’ve just released a new Special Report that covers all you need to know to find profit-making opportunities …read more »

TRANSALTA CORP. $24 (Toronto symbol TA; Conservative Growth Portfolio, Utilities sector; Shares outstanding: 198.0 million; Market cap: $4.8 billion; Price-to-sales ratio: 1.7; Dividend yield: 4.8%; SI Rating: Average) is expanding its Kent Hills wind farm in New Brunswick. That’s because it won a 25-year power contract from the provincially owned electrical utility.

The company will expand Kent Hills’ capacity to 150 …read more »

UNITED TECHNOLOGIES CORP. $70 (New York symbol UTX; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 937.5 million; Market cap: $65.6 billion; Price-to-sales ratio: 1.2; Dividend yield: 2.2%; WSSF Rating: Above Average) is buying 49.5% of U.K.-based Clipper Windpower PLC. Clipper makes turbines and other equipment for wind-power projects.

United Technologies is paying $271 million. That’s equal to 26% of …read more »

Recently, President Barack Obama visited a Florida solar-power plant operated by FPL Group (symbol FPL on New York), one of the green stocks we cover in our Wall Street Stock Forecaster newsletter.

The president was there to announce a $200 million U.S. grant to FPL that will help with the green stock’s installation of “smart meters.” Customers can use these …read more »

ALGONQUIN POWER & UTILITIES CORP. $3.33 (Toronto symbol AQN; Shares outstanding: 85.7 million; Market cap: $285.2 million; SI Rating: Extra Risk) is the new name of Algonquin Power Income Fund after its conversion to a dividend-paying corporation.

To effect the conversion, TSX-listed Hydrogenics Inc. bought Algonquin, then changed its name to Algonquin Power & Utilities Corp. That lets Algonquin benefit from …read more »

TRANSALTA CORP. $22 (Toronto symbol TA; Conservative Growth Portfolio, Utilities sector; Shares outstanding: 197.9 million; Market cap: $4.4 billion; Price-to-sales ratio: 1.5; SI Rating: Average) will pay roughly $755 million for Canadian Hydro Developers Inc. (Toronto symbol KHD), which owns and operates 21 power-generating facilities in Alberta, B.C., Ontario and Quebec. These include 12 hydroelectric plants, eight wind farms and …read more »

In spite of the weak economy, governments around the world continue to invest heavily in wind projects and electrical-power grids. On Monday, for example, the Ontario government committed $2.3 billion over the next three years to expand and strengthen the province’s grid.

Antiquated power grids can hold back wind power stocks

Upgrades to power grids are important to wind power stocks because, …read more »

TRANSALTA CORP. $21.60 (Toronto symbol TA; Shares outstanding: 197.9 million; Market cap: $4.3 billion; SI Rating: Average) has launched a hostile takeover bid for Canadian Hydro Developers Inc. (Toronto symbol KHD).

Canadian Hydro owns and operates 21 power-generating facilities in Alberta, B.C., Ontario and Quebec. These include 12 hydroelectric plants, eight wind farms and one biomass plant, which generates power by …read more »

The proposed “cap-and-trade” bill making its way through the U.S. Congress aims to limit the amount of greenhouse gases (particularly carbon dioxide) that companies can emit. This will almost certainly drive up their costs. However, many businesses stand to profit as consumers look for ways to cut their energy use. We’ve examined three below. While all are leaders in “green” …read more »

FPL GROUP INC. $57 (New York symbol FPL; Conservative Growth Portfolio, Utilities sector; Shares outstanding: 410.8 million; Market cap: $23.4 billion; Price-to-sales ratio: 1.4; WSSF Rating: Average) gets 70% of its revenue from wholly owned Florida Power and Light Co., a regulated utility with 4.5 million customers in eastern and southern Florida. FPL Group is also a leading producer of …read more »

THE BOEING CO. $43 (New York symbol BA; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 726.4 million; Market cap: $31.2 billion; Price-to-sales ratio: 0.5; WSSF Rating: Above Average) is focusing on improving the fuel-efficiency of its passenger jets. That should help it increase sales to cost-conscious airlines.

Boeing’s new 787 Dreamliner plane uses lightweight materials, like titanium and carbon …read more »

TOYOTA MOTOR CO. ADRs $83 (New York symbol TM; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 1.6 billion; Market cap: $132.8 billion; Price-to-sales ratio: 0.6; WSSF Rating: Above Average) recently overtook General Motors as the world’s largest carmaker. That was partly due to its success with gasoline-electric hybrid cars. Toyota started selling its Prius mid-sized hybrid car in …read more »

Most power plants are located near big cities to keep transmission costs down. However, wind farms tend to be in remote areas with steady winds. Growth in wind power will force utilities to expand their electrical-power grids. That should lead to higher sales for transmission-equipment suppliers, such as General Electric and ABB.

GENERAL ELECTRIC CO. $12 (New York symbol GE; Conservative …read more »

GENERAL ELECTRIC CO. $12 (New York symbol GE; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 10.6 billion; Market cap: $127.2 billion; Price-to-sales ratio: 0.8; WSSF Rating: Above Average) is one of the world’s largest makers of industrial equipment. Products include aircraft engines, medical-imaging scanners and locomotives.

GE is also a major supplier of electrical infrastructure equipment, such as turbines, …read more »

ABB LTD. ADRs $17 (New York symbol ABB; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 2.3 billion; Market cap: $39.1 billion; Price-to-sales ratio: 1.2; WSSF Rating: Above Average) is a Swiss-based maker of transformers, transmission switches and other electricity-infrastructure equipment.

In the three months ended June 30, 2009, ABB earned $728 million, or $0.29 per ADR. (Each American Depositary …read more »

With President Obama’s climate-change plan now before the U.S. Senate, a number of investors have been wondering if now is a good time to “green” their portfolios with environmentally friendly companies.

Regardless of the Senate’s decision, we still think there are a number of green stocks with investment appeal. But you’ll want to use caution when looking for opportunities in this …read more »

NISSAN MOTOR $12.87 (Nasdaq symbol NSANY; SI Rating: Above Average) (310-771-3111; www.nissanmotors.com; Shares outstanding: 2.3 billion; Market cap: $29.1 billion) has been granted $1.6 billion in low-interest loans by the U.S. Department of Energy.

Nissan plans to use the funds to equip its plant in Tennessee to make more than 100,000 all-electric cars a year, plus 200,000 lithium-ion batteries to power …read more »

AGRIUM INC. $43 (Toronto symbol AGU; Aggressive Growth Portfolio, Resources sector; Shares outstanding: 157 million; Market cap: $6.6 billion; Price-to-sales ratio: 0.5; SI Rating: Average) is working on a plan to capture carbon dioxide released from its fertilizer plant near Edmonton. The company wants to ship the reclaimed carbon to oil producers, who would pump it into underground deposits to …read more »

Green stocks have a lot of conceptual and emotional appeal, but may offer limited investment potential. Investments in environmental or green stocks may need a long time to move from the research or concept stage to profitability in the face of high initial costs and uncertain government subsidies. So they may not be profitable for investors.

It’s hard to set …read more »

Wind power stocks include companies that make components for wind turbines and those that use wind turbines to generate power.
Although publicly traded wind companies are considered green stocks, wind power does draw some objections from environmental groups. It also faces some challenging technical problems.
Concept has appeal, but wind power is imperfect
One of the key problems with wind power is that …read more »

Investors are interested in wind power stocks, solar power stocks and other green stocks because they like the idea of making money and helping the environment. But they need a healthy sense of skepticism in order to succeed.

Many stock promotions have an environmental angle. A number of penny stocks have dropped their old, unsuccessful business plans and become a …read more »

FPL GROUP INC. $52 (New York symbol FPL; Income Portfolio, Utilities sector; Shares outstanding: 408.9 million; Market cap: $21.3 billion; Price-to-sales ratio: 1.3; WSSF Rating: Average) operates through two wholly owned subsidiaries.

Florida Power and Light Company (which accounted for 71% of FPL Group’s 2008 revenue and 46% of its earnings) is a regulated utility with 4.5 million electricity customers in …read more »

ALGONQUIN POWER INCOME FUND $2.39 (Toronto symbol APF.UN; Units outstanding: 77.6 million; Market cap: $185.6 million; SI Rating: Extra Risk) owns or has interests in 41 hydroelectric facilities — 13 in New York State, 12 in Quebec, nine in New England, four in Ontario, one in Alberta, one in New Jersey and one in Newfoundland. This gives Algonquin total hydroelectric …read more »

STANTEC INC. $25.25 (Toronto symbol STN; SI Rating: Extra Risk) (780-917-7288; www.stantec.com; Shares outstanding: 45.4 million; Market cap: $1.1 billion) has signed a letter of intent to design the new terminal expansion at Edmonton International Airport.

The project will increase capacity by about 50%.The expansion will add 13 new gates, additional retail, food and beverage space, while enhancing passenger flow.

Airports are …read more »

GREY ISLAND SYSTEMS INTERNATIONAL $0.23 (Toronto symbol GIS; SI Rating: Speculative) (877-434-4844; www.interfleet.com; Shares outstanding: 73.9 million; Market cap: $16.6 million) is an Internet-based automated vehicle location and mobile data services provider for the fleet management market.

Grey Island’s InterFleet product features a live map display of entire fleets of vehicles. The company’s NextBus technology uses GPS and wireless communications to …read more »

ALGONQUIN POWER INCOME FUND $5.70 (Toronto symbol APF.UN; SI Rating: Extra Risk) has interests in 41 hydroelectric facilities — four in Ontario, 12 in Quebec, 13 in New York State, nine in New England, one in Alberta, one in New Jersey and one in Newfoundland. This represents total generating capacity of 141 megawatts.

Algonquin also has interests in five natural …read more »

TENNANT CO. $27 (New York symbol TNC; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 18.5 million; Market cap: $499.5 million; WSSF Rating: Average) has developed a new floor scrubbing machine that cleans without detergents.

Called ‘ech2o’, this scrubber uses electricity to enhance the cleaning power of ordinary tap water. That cuts its operating costs. As well, the new scrubber …read more »

INTEL CORP. $23 (Nasdaq symbol INTC; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 5.7 billion; Market cap: $131.1 billion; WSSF Rating: Above average) has agreed to merge its solar-power technology into a new joint venture called SpectraWatt Inc.

This new company will make photovoltaic cells from silicon. These cells are the primary component used in making solar panels that …read more »

INNERGEX POWER INCOME FUND $12 (Toronto symbol IEF.UN; SI Rating: Extra Risk) has agreed to buy IHI Hydro Inc., the holder of a 22.4% interest in five of Innergex’s hydroelectric facilities, for $13.5 million.

The acquisition will give Innergex 100% ownership of the Saint-Paulin, Chaudiere and three Portneuf hydroelectric facilities, all of which sell their electricity under long-term power purchase agreements …read more »

ALGONQUIN POWER INCOME FUND $7.68 (Toronto symbol APF.UN; SI Rating: Extra Risk) now has direct or indirect interests in 47 hydroelectric facilities — 4 in Ontario, 12 in Quebec, 13 in New York State, 9 in New England, 1 in Alberta, 1 in New Jersey and 1 in Newfoundland. This represents total generating capacity of 140 megawatts.

Algonquin also has interests …read more »

LINAMAR CORP. $14 (Toronto symbol LNR; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 69.8 million; Market cap: $977.2 million; SI Rating: Speculative) has started selling a new, rechargeable electric lawn mower that performs as well as a traditional gasoline-powered lawnmower. This new mower should appeal to environmentally conscious consumers. Linamar will also offer customers a recharger that uses …read more »

WAL-MART STORES INC. $53 (New York symbol WMT; Conservative Growth Portfolio, Consumer sector; Shares outstanding: 4.0 billion; Market cap: $212.0 billion; WSSF Rating: Above average) plans to improve its image with consumers by using its size to pressure suppliers into cutting down on wasteful packaging. It’s also installing LED lights and solar panels in its stores.

Meanwhile, Wal-Mart plans to acquire …read more »

ARCHER DANIELS MIDLAND CO. $42 (New York symbol ADM; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 643.6 million; Market cap: $27.0 billion; WSSF Rating: Above average) currently accounts for about 15% of the United States’ ethanol production. Fuel companies add ethanol to gasoline to cut harmful emissions.

Due to government subsidies, ethanol production has soared in the past two …read more »

TOYOTA MOTOR CORP. ADRs $104 (New York symbol TM, Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 1.8 billion; Market cap: $187.2 billion; WSSF Rating: Above average) is the world’s second-largest car maker after General Motors. Each Toyota ADR represents two of Toyota’s common shares.

The company spends about 4% of its revenue on research. This spending has helped Toyota …read more »

AUTODESK INC. $33 (Nasdaq symbol ADSK; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 230.9 million; Market cap: $7.6 billion; WSSF Rating: Average) is the largest maker of design software used in construction and engineering. It has now developed what it calls its “sustainability analysis dashboard”. This lets engineers and architects measure the environmental impact of design features.

The Leadership …read more »

THE BOEING CO. $76 (New York symbol BA; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 764.8 million; Market cap: $58.1 billion; WSSF Rating: Above average) is the world’s second-largest maker of commercial aircraft, behind Europe’s Airbus.

Boeing is currently developing its new 787 Dreamliner passenger jet plane, which uses lightweight materials like titanium and carbon fiber. This makes the …read more »

GENERAL ELECTRIC CO. $37 (New York symbol GE; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 10.0 billion; Market cap: $370.0 billion; WSSF Rating: Above average) is one of the world’s largest industrial corporations. GE’s products include major appliances; lighting products; medical imaging equipment; power generation and delivery products; and aircraft jet engines. It also owns 80% of media …read more »

Growing interest in the environment continues to prompt changes in consumer spending habits. Here are five companies with the technology and size to profit from this trend.

GENERAL ELECTRIC CO. $37 (New York symbol GE; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 10.0 billion; Market cap: $370.0 billion; WSSF Rating: Above average) is one of the world’s largest industrial …read more »

INNERGEX POWER INCOME FUND $12.10 (Toronto symbol IEF.UN; SI Rating: Extra Risk) owns interests in 10 hydroelectric power generating facilities in Quebec, Ontario, British Columbia and Idaho as well as two wind farms in Quebec.

The company’s hydroelectric plants in Quebec are at La Chaudiere, Saint-Paulin, Montmagny and Windsor, There are also three facilities at Portneuf, Quebec. The Ontario plant is …read more »

SUNOPTA INC. $11.99 (Toronto symbol SOY; SI Rating: Speculative) (905-455-2528; www.sunopta.com; Shares outstanding: 63.9 million; Market cap: $766.1 million) will partner with Central Minnesota Ethanol Co-op to complete feasibility and engineering studies to build a 10-million-gallon cellulosic ethanol plant. The partners will jointly own and operate the plant to be located in Little Falls, Minnesota. The plant will turn wood …read more »

SUNOPTA INC. $14.76 (Toronto symbol SOY; SI Rating: Speculative) (905-455-2528; www.sunopta.com; Shares outstanding: 63 million; Market cap: $929.8 million) has three business units:

1) SunOpta Foods operates in every stage of the purchasing, processing and distribution of organic, kosher and specialty food products from seeds to packaging. It sells these under its own brand names, as well as to private label …read more »

ALGONQUIN POWER INCOME FUND $8.43 (Toronto symbol APF.UN; SI Rating: Extra Risk) now has direct or indirect interests in 48 hydroelectric facilities — 4 in Ontario, 12 in Quebec, 13 in New York State, 13 in New Hampshire, 1 in Alberta, 2 in Vermont, 1 in New Jersey and 1 in Newfoundland. This represents total generating capacity of 140 megawatts. …read more »

TOYOTA MOTOR CORP. ADRs $129 (New York symbol TM; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 1.8 billion; Market cap: $232.2 billion; WSSF Rating: Above average) is the world’s second-largest automobile maker after General Motors, based on annual vehicle sales. However, Toyota should overtake GM as the world’s largest car company later this year.

The company operates plants in …read more »

Japanese automakers Toyota and Honda have been terrific performers for us since we first recommended them in June 2004. Toyota is up 90%, while Honda has gained 71%.

Both continue to do a good job anticipating new trends in the auto industry, such as hybrid-engine cars, and creating products that help them stay ahead of competitors. The recent jump in the …read more »