Favorable government policies and the increasing installations of solar power units in residential and industrial areas have been driving the solar industry’s growth. Although most solar companies have the ability to solve current supply-chain problems, some may struggle in the short term. Wall Street analysts recommend Sunnova Energy (NOVA), and FTC Solar(FTCI) as investments. However, they are concerned that SunPower Corporation (NASDAQ) may experience a decline. Let’s discuss.The recent passage of a $1.75 trillion infrastructure bill, which offers significant funding and tax credits for the renewable energy and electric vehicle (EV) industries, should bode well for the solar industry. Solar companies will be encouraged to create efficient photovoltaic panels and energy storage systems, as well as grid-tied systems, due to the growing need for solar power for industrial and household uses. Global solar energy markets are expected to increase at 20% annually to $200 billion in 2026.

Although ongoing supply chain bottlenecks could affect the industry’s production in the near term, rising government support should help the industry keep growing. Investors’ interest in solar stocks is evident in the Invesco Solar Portfolio ETF’s (TAN) 14.3% returns over the past six months.

Wall Street analysts suggest buying in this context. Sunnova Energy International Inc . (NYSE:), and FTC Solar, Inc. But, they suggest that SunPower Corporation be avoided (SPWR).

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