The green energy revolution is here. Virtually all automakers are coming out with new all-electric designs, and electric utilities are deploying more and more clean energy power sources every year. Meanwhile, the whole transition has been turbocharged by the subsidies in last year's Inflation Reduction Act.

Many think the ways to play these trends are the electric vehicle or utility stocks themselves. However, both those industries can be capital-intensive and price-sensitive.

Instead, the power semiconductors used inside all of these applications may be the best way to play the green revolution. After all, the more electric and autonomous the machine, the more power chips, sensors, and microcontrollers need to be deployed per vehicle or utility to make it all work. And best of all, a lot of these chip companies are profitable, trade at reasonable valuations, and have a high-growth outlook.

Continue reading

Source Fool.com