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2 penny stocks that could power my profits by 2030!

Lady researching stocks

Lady researching stocks

I’m searching for the best stocks to buy to help me make excellent investor returns by 2030. Here are two penny stocks on my radar today.

An exciting electric car stock to buy

The Bradda Head Lithium (LSE: BHL) share price has more than tripled in value over the past year. Strong drilling results at the firm’s lithium projects in Arizona, and signs of growing demand for electric vehicles (EVs), have helped power the business higher. To illustrate the point, Bradda Head’s latest exploration update in January suggested that confirmed resources at the Basin East project will be “significantly larger” than previous forecasts. Fresh news on drilling work is being released in the current quarter.

Lithium is a key component in helping EVs to move around. And Bradda Head’s assets — it also owns a couple of lithium brine assets in Nevada — are located very close to EV car-building country. Tesla’s Fremont facility is in California and its under-construction Nevada gigafactory is just up the road too. There are also many battery manufacturers located around the West Coast to which Bradda can sell its lithium as well.

EV sales look set to soar

Of course Bradda Head has a long way to go before it can start pulling its lithium out of the ground. And any setbacks on this front could have a significant impact on the company’s share price. That being said, I think the quality of the firm’s assets and bright forecasts for EV demand in the years ahead still make the stock a top buy today. The International Energy Agency (IEA) said annual EV sales will reach 25.8m a year by 2030 (based on green policies in mid-2021).

That being said, recent news flow suggests that actual sales could actually exceed even the IEA’s super-bright forecasts. Just last week US President Biden announced plans to boost EV sales by investing $5bn in the country’s charging network. I’m expecting new ambitious plans from across the globe to follow as nations strive to achieve their emissions targets.

Another green penny stock I like

Sticking with the green theme, I think US Solar Fund (LSE: USFP) could also be a great share to buy as demand for renewable energy soars. As the name suggests, this London-listed penny stock specialises in generating energy from photovoltaic panels in the US. More specifically its assets can be found in California, North Carolina, Utah and Oregon.

I like US Solar Fund because it operates in a country where legislation is particularly encouraging for renewable energy stocks like this. I’m also a fan of the fund because it continues to make progress in building its portfolio. Earlier this month it acquired an extra 25% stake in the 200 MW DC Mount Signal 2 solar plant in Southern California. This takes its total holding to 50%.

US Solar Fund could suffer temporary profits trouble if the sun fails to shine. The company doesn’t make any money if it isn’t making energy! But from a long-term view, I still think this penny stock could deliver excellent returns if I buy.

The post 2 penny stocks that could power my profits by 2030! appeared first on The Motley Fool UK.

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Royston Wild has no position in any of the shares mentioned. The Motley Fool UK has recommended Tesla. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

Motley Fool UK 2022

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