Analysts at Goldman Sachs and Bank of America have picked out their top energy stocks, with those related to hydrogen, electric vehicles and renewable energy among their favorites. The sector certainly looks hot right now, with the iShares Global Energy ETF up about 30% so far as investors react to sky-high energy prices. In a note from June 9 on ESG investments (or those that take into account environmental, social, and governance factors), Goldman noted limitations with some of the ESG data. “This is why we are eyeing stocks selected by our industry analysts based on the latest research,” said bank analysts, led by Evan Tylenda. where ESG elements are a core part of the investment highlights or thesis”. “Companies and industries … have notable positive sustainability impacts or are beneficiaries of broader ESG trends.” Some of the stocks highlighted by analysts are in the energy sector, including aluminum and renewable energy company Norsk Hydro. Goldman is appreciated on the stock, noting its expansion into low-carbon and recycled products. Analysts are also highly appreciative of Norwegian hydrogen producer and distributor Nel, which they see as benefiting from Europe’s plan to move away from Russia’s fossil fuels. Meanwhile, Japanese electrical appliance company Fuji Electric is on Goldman’s trusted list of its top buys. The bank likes its semiconductor business, which it says is seeing earnings growth fueled by the electric vehicle boom and its energy electronics business, which is set to benefit from the boom. customers increase their use of renewable energy. Spanish oil company Repsol is also on Goldman’s buy-rated stock list. Our European Petroleum Group believes that a low-carbon transition is changing the competitive landscape of the global energy industry. Read more These defeated global tech stocks, the analysts wrote. have strong fundamentals – and analysts love them This recession will be different, so buy these names with higher-income clients, says BofA Automation is coming to the hospitality industry, from 24-hour check-in to texting to towels Bank of America’s Repsol Options is also an acquisition of BofA, described as one of the “Top 10 Stocks of America” Beat Factor” in Europe, in a research note published June 13. “Beat Factor identifies BofA research analysts” most stock ideas don’t have a consensus in the universe. FTSE Eurofirst 300, using a purely quantitative approach based on price targets and earnings estimates,” said analysts, led by Milla Savova, said. The FTSEurofirst 300 index is made up of 300 large-cap European companies. BofA also likes Norwegian oil and gas company Equinor, which tops the list. “Equinor is the stock with the highest Beat Factor score this month, driven by our analysts’ price target of nearly 30% above consensus, as well as our also high 2022/2023 EPS estimate. significantly more,” Bank of America stated. EPS refers to earnings per share, a measure of a stock’s performance. Power utility RWE ranks second on BofA’s top 10 list. “RWE has the second-highest Beat Factor scores, with our analysts’ price targets and an estimated 2022 EPS of more than 20% ahead of consensus. favorable, while their estimate for 2023 EPS is more than 80 percent above,” the analysts wrote. They also like broader energy and materials. “Our analysts expect 25% EPS growth this year for European companies in their coverage, particularly above 14% consensus, with energy and materials together contribute more than half of the gap between the two companies.”