CYAN, DORE, BIFF: Should you invest in these green stocks now?

Be the First to Comment Read

CYAN, DORE, BIFF: Should you invest in these green stocks now?

Follow us on Google News:
 CYAN, DORE, BIFF: Should you invest in these green stocks now?
Image source: Phongphan,shutterstock.com

Highlights

  • Investor-led initiative Climate Action 100+ hasn’t contributed enough to tackle the issues related to climate change, as per a recent report released by NGO ShareAction.
  • The purpose of the initiative is to curb greenhouse gas emissions, enhance the disclosure related to climate action, and improve governance regarding the same.
  • According to the report, not even 20% of the investors informed about the advancement of their engagements.

Companies aren’t doing enough to tackle the issues related to climate change, as per a recent report released by NGO ShareAction. The British responsible investment NGO has claimed that the major investor-led initiative, known as Climate Action 100+, hasn’t been successful so far as companies have not achieved much with respect to climate change actions.

The initiative has 700 signatories, with assets worth US$68 trillion. Despite being the biggest investor engagement initiative related to climate issues, Climate Action 100+ hasn’t led to the expected results, creating the need for investors to put further pressure on the stragglers.  The purpose of the initiative is to curb greenhouse gas emissions, enhance the disclosure related to climate action, and improve governance regarding the same.

The 60 biggest signatories of the initiative were considered for reporting by the NGO, as the initial five-year phase of the initiative has entered its last year. According to the report, not even 20% of the investors informed about the advancement of their engagements, while 80% didn’t even cite their goals or the escalation procedure to be followed in case of failure of engagement.

The initiative is majorly aimed at increasing the transparency on policies related to climate change to prevent greenwashing, reducing escalation expectations, and declaring statistics to monitor the progress on climate action. In its benchmark assessment in March, the group stated that 17% of the companies had aligned themselves with the 1.5-degree target in the medium run, but the group has admitted that this isn’t enough to tackle climate change issues.

Related Read: AAF, SHEL, GLEN: How are these stocks performing in volatile market?

With the rising climate concerns, investors are becoming more environmentally conscious. The London Stock Exchange claims to be a hub for sustainable financing and has been granting companies with green economy marks for generating over half of their revenues through green products and activities. Here are 3 UK companies with a green economy mark that investors can keep an eye on.

            Companies not doing enough to tackle rising climate change issues

                                                                         ©2022 Kalkine Media®

CyanConnode Holdings plc (LON: CYAN)

CyanConnode Holdings plc is a global leader in IoT technology, specialising in Narrowband mesh networks. The shares of the AIM-listed company were up by 0.73% at around 9 AM (GMT+1) on 19 May 2022, at GBX 17.38. The company has given its shareholders a significant return of 112.50% over the last one year as of 19 May 2022. The current market cap of CyanConnode stands at £40.76 million.

Downing Renewables & Infrastructure Trust plc (LON: DORE)

Downing Renewables & Infrastructure Trust plc is a close-ended investment trust focusing on creating a diversified portfolio of renewable infrastructure assets in the UK and North Europe. The shares of the company were trading at GBX 110.50 at around 9 AM (GMT+1) on 19 May 2022. The company has given its shareholders a return of 17.40% over the last one year as of 19 May 2022. The current market cap of the trust stands at £40.76 million.

Related Read : DEC, IMB, AAL: Stocks to watch out for with growing fears of recession

Biffa plc (LON: BIFF)

Biffa plc is a leading UK-based waste management business focusing on the collection and recycling of waste. The shares of the FTSE 250-listed company were down by 2.41% at around 9 AM (GMT+1) on 19 May 2022, at GBX 300.20. The company has given its shareholders a return of 9.16% over the last one year as of 19 May 2022. The current market cap of Biffa stands at £40.76 million.

Note: The above content constitutes a very preliminary observation or view based on market trends and is of limited scope without any in-depth fundamental valuation or technical analysis. Any interest in stocks or sectors should be thoroughly evaluated taking into consideration the associated risks.

Disclaimer

Featured Articles