Cooling and building efficiency stocks rise amid Europe heat wave
Cooling stocks gain as Europe heat drives demand for HVAC, heat pumps, and insulation See why record temperatures are boosting building-efficiency shares and renovation demand
Coolingrelated and building efficiency stocks moved higher on Thursday as parts of Europe faced another round of record heat and red weather alerts.
Companies linked to air conditioning, heat pumps, insulation and HVAC systems gained as investors focused on rising demand for technologies that can help buildings stay cooler and use energy more efficiently.
The article noted that the recent heat wave has reinforced the case for renovating older European buildings, many of which were not designed for current climate conditions. Morningstar’s Matthew Donen said more than 85% of EU buildings were built before 2001, but he also said the event is unlikely to materially change nearterm earnings expectations for the companies mentioned.