You can complain about fossil fuel trends -- or you can try and profit from them by investing in alternative energy. That's the advice of Pavel Molchanov, equity research analyst at Raymond James. He gave "Morning Call" viewers his favorite names in solar and -- perhaps surprisingly -- ethanol.
Molchanov's top pick is China-based JA Solar Holdings, which serves a domestic market. He told CNBC's Michele Caruso-Cabrera that "the solar trend in China is unstoppable right now." Why? "China is a low-cost manufacturing market, and the name of the game for solar is lowering per-watt costs," he said. The company is "perfectly positioned to capitalize on that," the analyst believes.
SunPower is U.S.-based, but has some manufacturing in Asia. Molchanov praises it as "one of the highest-quality, best-run companies in the business." He also likes its vertical integration, allowing it to control many aspects of cost and revenue.
The analyst named a "very contrarian" pick, VeraSun Energy, which produces ethanol and its co-products. Molchanov says ethanol "is green and it is profitable" -- and the alternative fuel maker enjoys "tremendous government support at both federal and state levels."