by Intro to research
Again, the international team researched and analyzed global companies to fit into the clubs renewable energy investment theme. The focus of the research is to find companies that provide into the supply chain of renewable energy production; companies that manufacture windmills or solar panels, own and produce energy, or supply electricity generated from these renewable methods. Companies researched also have a large percentage of the market share, reducing the risk of buying into this developing sector.
Goldwind Research
Xinjang Goldwind Science and Technology, more commonly referred to as Goldwind, is “A world-leading wind turbine technology and energy solutions provider. Through the implementation and investment in industry-leading turbine technology, water treatment solutions, and other green energy technological ventures, Goldwind has been hailed as one of China’s most innovative companies. The company now operates on 6 continents, has more than 8,000 employees, and more than 50 GW of installed wind capacity”. Goldwind has more than 31,000 turbines worldwide. The company was ranked #7 in the top ten wind turbine manufacturers of 2019.
One thing that makes Goldwind stand out compared to other wind turbine manufacturers is the financials of the company. The company offers a dividend yield of 3.07%, with a PE ratio of 9.91. Chart analysis shows steady growth with dips due to trade conflicts with the US. A more in-depth analysis is needed to determine how further trade conflicts will affect the production numbers of this company.
Siemens Research
Siemens AG is a German company headquartered in Munich and is the largest industrial manufacturing company in Europe. The company is looking to sell the majority of its gas and energy sector, and the sale will likely cause the creation of a new major player in the energy market with a 30 billion Euro business volume. The move will affect 80,000 employees and give the new company “complete independence and entrepreneurial freedom,” and a new stock exchange listing is expected by September 2020.
Siemens employed 379,000 workers worldwide at the end of 2018. With about 44,000 employees in its Gas and Power unit, Siemens would create 25,000 new jobs in digital industries and smart infrastructure, including electric mobility, energy storage, and smart buildings. This move allows Siemens to encompass the entire scope of the energy market, diversifying its portfolio I both gas power generation and renewable energy sources. Siemens, as a parent company and minority shareholder in this company, will remain the political anchor of the company, offering professional financial services and regional sales networks. Siemens will put its Digital Industries and Smart Infrastructure divisions at the core of the company. Between dominant gas power and innovative renewable energy, this new company created by Siemens will offer an optimized and combined range of offerings from a single source.
So while investing in Siemens now would provide nothing, this new listing coming next year will be necessary for the energy market. As more news releases with information regarding the sector, there is not much to be said. While the Siemens parent NYSE has been a safe stock moving with inflation over the past two decades, this new company seeks to be a breath of fresh air for both customers and employees.