Enphase Energy Leads S&P 500 Gainers on Solar Tax Credit News

Enphase Energy (ENPH) was the best-performing stock in the S&P 500 amid reports Congress may not cut federal tax incentives for residential rooftop solar installations.

Enphase shares soared more than 10% to pace the benchmark index early Thursday afternoon. Rivals Sunrun (RUN), SolarEdge Technologies (SEDG), and First Solar (FSLR) advanced roughly 6%, 5%, and 3%, respectively.

Solar stocks have risen this week after Sen. Kevin Cramer of North Dakota told reporters that “Republicans on the Senate tax writing committee were considering making a slate of clean energy tax credits more generous, including by pushing back their expiration dates,” Bloomberg reported, adding that he said “lawmakers are also discussing changes for rooftop solar credits.”

Shares of solar firms plummeted last month after the House passed a tax and spending bill that would end tax credits for wind and solar projects in 2029. They tumbled further last week after the Senate maintained the full removal of clean-energy tax credits in the budget bill.