Solar stocks diverged in 2026; SolarEdge up 19%, Enphase up 13%, First Solar down 22% amid policy shifts.

In 2026, major U.S. solar stocks moved in different directions due to federal tax-credit policy changes. SolarEdge rose 19%, recovering from lows with strong commercial sales and new AI power infrastructure bets. Enphase gained 13%, supported by tariff refunds and expanded financing programs despite weak U.S. residential demand. First Solar, the largest and most profitable, fell 22% due to legal issues and market concerns despite strong margins and backlog. Investors should watch upcoming policy updates and company guidance, as solar stocks remain sensitive to regulatory shifts.