As the Q2 earnings season comes to a close, it’s time to take stock of this quarter’s best and worst performers in the renewable energy industry, including Enphase (NASDAQ:ENPH) and its peers.

Renewable energy companies are buoyed by the secular trend of green energy that is upending traditional power generation. Those who innovate and evolve with this dynamic market can win share while those who continue to rely on legacy technologies can see diminishing demand, which includes headwinds from increasing regulation against “dirty” energy. Additionally, these companies are at the whim of economic cycles, as interest rates can impact the willingness to invest in renewable energy projects.

The 20 renewable energy stocks we track reported a mixed Q2. As a group, revenues missed analysts’ consensus estimates by 5.2% while next quarter’s revenue guidance was 10.9% below.

After much suspense, the Federal Reserve cut its policy rate by 50bps (half a percent) in September 2024. This marks the central bank’s first easing of monetary policy since 2020 and the end of its most pointed inflation-busting campaign since the 1980s. Inflation had begun to run hot in 2021 post-COVID due to a confluence of factors such as supply chain disruptions, labor shortages, and stimulus spending. While CPI (inflation) readings have been supportive lately, employment measures have prompted some concern. Going forward, the markets will debate whether this rate cut (and more potential ones in 2024 and 2025) is perfect timing to support the economy or a bit too late for a macro that has already cooled too much.

Renewable Energy stocks have held steady amidst all this with average share prices relatively unchanged since the latest earnings results.

Enphase (NASDAQ:ENPH)

The first company to successfully commercialize the solar micro-inverter, Enphase (NASDAQ:ENPH) manufactures software-driven home energy products.

Enphase reported revenues of $303.5 million, down 57.3% year on year. This print fell short of analysts’ expectations by 2.1%. Overall, it was a softer quarter for the company with a miss of analysts’ earnings and volume estimates.

Unsurprisingly, the stock is down 3.9% since reporting and currently trades at $99.58.

Read our full report on Enphase here, it’s free.

Best Q2: EVgo (NASDAQ:EVGO)

Created through a settlement between NRG Energy and the California Public Utilities Commission, EVgo (NASDAQ:EVGO) is a provider of electric vehicle charging solutions, operating fast charging stations across the United States.

EVgo reported revenues of $66.62 million, up 31.8% year on year, outperforming analysts’ expectations by 12.2%. The business had a stunning quarter with an impressive beat of analysts’ operating margin estimates and full-year revenue guidance exceeding analysts’ expectations.