Another close presidential election could be on the way. It’s not too soon for investors to begin thinking about where the best opportunities might lie, depending on which candidate is elected.
I’ve already written about stocks I expect to perform well if GOP presidential nominee Donald Trump wins. However, Vice President Kamala Harris — the presumptive Democratic presidential nominee after President Joe Biden’s withdrawal from the race — has changed the dynamics of the campaign.
Which stocks will likely take off if Democrats hold on to the White House? I predict three stocks will soar if Harris wins in November.
Vice President Kamala Harris delivers remarks during a virtual Vaccine Month of Action Partners Call, Thursday, June 24, 2021, in the South Court Auditorium of the Eisenhower Executive Office Building at the White House. (Official White House Photo by Lawrence Jackson.)
1. Brookfield Renewable
Harris has a long track record of supporting ways to address climate change. She has already picked up endorsements from several groups that support renewable energy.
I think renewable energy stocks, in general, should enjoy a nice boost if Harris beats Trump. And I expect Brookfield Renewable (NYSE: BEP) (NYSE: BEPC) will be among the biggest winners.
Brookfield Renewable operates hydroelectric, wind, solar, and distributed energy and storage facilities in more than 20 countries. Its current operational capacity totals 32,500 megawatts. The company’s development pipeline could add another 157,000 megawatts of capacity.
I think Brookfield Renewable will deliver solid returns over the long run, even if Harris doesn’t win. Renewable power is already the lowest-cost energy solution in many cases. Energy security and independence are important, regardless of who sits in the Oval Office.
The company’s distribution gives it a big head start in generating attractive total returns. Brookfield Renewable’s distribution yield stands at 6%, and its distribution has increased by a compound annual growth rate of around 6% over the last two decades. Brookfield projects annual…
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