Add solar energy investors to the list of those smarting from crude oil’s latest price dive.
Shares of solar power companies enjoyed a huge bounce at the end of 2015 thanks to the lengthy five-year extension of a key solar tax credit in the United States and a major global accord to combat climate change that promises to spur development of renewable energy.
But a sharp slide in the price of oil to 12-year lows this week has rekindled long-held worries that low fossil fuel prices will sap demand for renewable energy sources. Many say those worries are misplaced, yet they have affected share prices.
“There is very little rational reason for this,” said Shawn Kravetz, president of Boston-based Esplanade Capital, which has a fund focused on the solar industry. “However, in the short term fear trumps all.
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