Solar Stocks Sink: Trump Slashes Green Tax Breaks

Core Viewpoint - President Trump's executive order to expedite the phaseout of clean-energy tax credits has led to a significant drop in solar stocks, reflecting market concerns over the future of solar and wind energy projects [1][3]. Group 1: Executive Order Details - The executive order mandates a faster phaseout of clean-electricity tax credits for solar and wind projects, eliminating these credits within 45 days after the "Big Beautiful Bill" takes effect, likely before the end of 2025 [1][2]. - Trump expressed his opposition to subsidies for solar and wind, labeling them as "expensive and unreliable" energy sources [2]. Group 2: Market Impact - Following the announcement, solar stocks experienced notable declines: First Solar, Inc. (FSLR) fell by 3.89%, Sunrun, Inc. (RUN) dropped over 10%, and SolarEdge Technologies, Inc. (SEDG) decreased by 4.3% [3]. - TD Cowen downgraded Enphase Energy, Inc. (ENPH) from Buy to Hold and reduced its price target from $58 to $45, citing the negative impact of the tax credit elimination on U.S. residential solar demand, which is already facing challenges due to high interest rates [4].