Solar energy stocks dropped sharply on Tuesday as the market digested cuts to renewable power tax credits in the Senate’s version of the budget bill.
— Samuel O’Brient
Solar energy stocks plunged for a second day on Tuesday, on news that the Senate version of the budget bill retains cuts to renewable energy tax credits.
A US Senate panel has proposed fully phasing out all tax credits for solar and wind energy within the next three years. The development swiftly sent solar energy stocks into free fall, including First Solar, SolarEdge and Sunrun.
First Solar fell as much as 22%, while SolarEdge declined as much as 42%, and Sunrun dropped 44%.
The proposed tax policy changes are part of the Senate’s version of President Donald Trump’s «One Big Beautiful Bill Act», a budget package that was recently passed in the House of Representatives.
