Why Solar Energy Stocks Plunged on Monday

The stock market has dropped like a rock on Monday as investors sell off nearly every part of the market. The worst of the sell-off is in growth stocks, which are generally very highly valued relative to other stocks, based on price-to-sales or price-to-earnings multiples. But the crash has also hit solar energy stocks, which are down across the board with some stocks off more than 10%.

JinkoSolar Holding (NYSE: JKS) was the worst performer in solar today, falling as much as 10.8%, but manufacturer First Solar (NASDAQ: FSLR) wasn't far behind with its 10% drop. The stocks were down 10.1% and 8.8% respectively at 3:30 p.m. EDT. Other notable moves were residential solar companies SolarEdge Technologies (NASDAQ: SEDG) dropping as much as 6.7%, Enphase Energy (NASDAQ: ENPH) falling 7.2%, and SunPower (NASDAQ: SPWR) declining 8%. As you can see, everyone is down big in all parts of the value chain.

Image source: Getty Images.

Source Fool.com