Solar stocks tumbled this week as Donald Trump gains ground in the polls, with the Republican Party rallying around the former president after a shocking assassination attempt on him on July 13. The Democratic Party, meanwhile, is in disarray after President Joe Biden's weak debate performance against Trump in June. Pressure is growing within the party for Biden to drop out of the race , as many Democrats fear he is poised to lose the election and could cost them the House and Senate.
Residential solar stocks, including Enphase , Sunnova , Sunrun , SolarEdge and SunPower , would face a "severe impact" if Republicans successfully weaken or entirely repeal the IRA, according to Piper. Enphase tumbled 9.5% this week, while SolarEdge fell 15.5%. SunPower also lost 43.9% and Sunnova is down 6.6% while Sunrun shed less than 1%. Under a full repeal of the IRA, the investment tax credit that has supported residential solar would decline to 10%.