But with so much uncertainty in solar and other areas of this newly developing field, it’s easy to get burned. How should you play it?
For the trade we turn to the Street analyst that's paving the way in this sector; Steve Milunovich, Bank of America / Merrill Lynch head of clean technology strategy.
According to Milunovich there are three distinct areas to watch. They are:
Solar: Rising electricity rates to benefit solar names
Storage: Power storage for utilities, batteries for electric cars
Efficiency/Smart Grid: Better use of energy is a no-brainer
It’s pretty clear we have to change the way we use energy and there should be investment opportunities as a result, says Milunovich.
But there's probably no need to rush into the space. However, if you’re looking to put capital to work over the next year or so Milunocih tells Fast Money the companies he likes most are Ener1 , First Solar.
Or you could look at IBM and Cisco , both are also exposed to clean technology.
Got something to to say? Send us an e-mail at firstname.lastname@example.org and your comment might be posted on the Rapid Recap. If you'd prefer to make a comment but not have it published on our website send your e-mail to email@example.com.
Trader disclosure: On Aug 20th, 2009, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Adami Owns (AGU), (C), (INTC), (MSFT), (NUE), (BTU); Najarian Owns (BAC) Calls; Najarian Owns (C) Calls; Najarian Owns (HAL) Calls; Najarian Owns (MS) And Is Short (MS) Calls; Najarian Owns (MSFT) And Is Short (MSFT) Calls; Najarian Owns (YHOO) Call Spread; Finerman's Firm Owns (MSFT), (WMT); Finerman's Firm Owns (AXL) And (AXL) Calls; Finerman's Firm Owns (BAC) Preferred Shares, Finerman Owns (BAC) Preferred Shares And (BAC); Finerman's Firm Owns (WFC) Preferred Shares And Is Short (WFC), Finerman Owns (WFC) Preferred Shares; Finerman's Firm Is Short (IYR), (IJR), (IWM), (SPY), (USO), (MDY); Finerman's Firm Owns (ARO); Seymour Owns (AAPL); Seymour Owns (BAC)
GE Is The Parent Company Of CNBC
For Steve Milunovich
(FSLR) Is An Investment Banking Client Of BAS-ML
(FSLR) Is A Non-Securities Related Client Of BAS-ML
BAS-ML Lynch Owns 1% Of (FSLR)
BAS-ML Lynch Received Compensation From (FSLR)