ESG Stocks Poised To Pop in 2023 (VKIN, ABB, EADSY, NIO)

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Investing in smaller ESG (environmental, social, and governance) stocks can bring a number of benefits to investors. These companies often focus on sustainability and social responsibility, which can lead to strong relationships with stakeholders and a positive reputation.

Additionally, smaller ESG stocks are often less established and may have more room for growth, providing investors with the potential for higher returns. ESG factors can also be extremely important in risk management and ensuring the company's long-term stability, which results in a more resilient investment portfolio.

According to Dow Jones' survey of 200 financial leaders, ESG investments are projected to more than double in the next three years, accounting for 15% of all investments by 2025. ESG is here for the long run. By considering smaller ESG stocks, investors can align their values and financial goals while potentially reaping the benefits of a more responsible and sustainable investment strategy.

Here are four ESG stocks to put on your watchlist for 2023.

Viking Energy Group Inc. VKIN is an ESG, growth-oriented, diversified energy company. Viking provides customized energy and power solutions to commercial and industrial clients in North America and holds interests in oil and natural gas assets in the United States through a number of subsidiaries in which it holds a majority stake. Technologies that fall under the VKIN umbrella range from carbon capture to green biodiesel production. Viking Energy also has the licensing rights to the technology of ESG Clean Energy LLC for Canada and 25 other markets in the United States.

Last year, VKIN secured a US Patent (No. 11,286,832) relating to the IP and other rights licensed by VKIN from ESG involving a Bottoming Cycle Power System related to its carbon capture technology. The patent covers the invention of an ‘exhaust-gas-to-exhaust-gas-heat exchanger.'

Furthermore, the company owns a majority stake in entities with intellectual property rights to a fully developed, ready-for-market proprietary Medical & Biohazard Waste Treatment System based on Ozone Technology, as well as an Open Conductor Detection System for power grid use.

VKIN recently announced an update regarding its medical waste treatment technology. The United States Patent and Trademark Office has granted U.S. Utility Patent No. 11,565,289 to Viking Ozone Technology, LLC, the company's majority-owned subsidiary.

The patent is titled "Multi-Chamber Medical Waste Ozone-Based Treatment Systems and Methods." VKIN states that a related international application is in the works, and in the near future, a few nations will be chosen for national phase coverage. The company believes that the approval of this US patent application will result in the issuance of additional related patents in other countries.

This utility patent relates to Viking Ozone's proprietary methods and devices utilizing ozone-based treatments for biohazardous waste. Viking expects to use this technology in waste treatment and disposal systems, such as those used in hospitals, prisons, laboratories, military bases, and care facilities.

According to the World Health Organization, managing medical waste requires greater diligence and care in order to avoid negative health effects. As the demand for medical waste grows, it is critical to prioritize waste treatment and disposal options that are both safe and environmentally responsible.

VKIN is leading the market with their revolutionary patent and should be at the top of any savvy investor's watchlist for ESG stocks in 2023.

ABB Ltd. ABB is a technology leader in electrification and automation, focusing on a more sustainable and resource-efficient future. The company's solutions connect engineering know-how and software to optimize the way things are manufactured, moved, powered, and operated.

ABB announced a fourth-quarter profit of $1.13 billion on Thursday of last week. The Zurich-based business reported 60 cents in earnings per share, beating Wall Street expectations. The average estimate of the four analysts surveyed by Zacks Investment Research was for earnings of 39 cents per share. The industrial automation company outperformed Wall Street expectations with revenue of $7.82 billion during the quarter, whereas the three analysts surveyed by Zacks expected a revenue of $7.58 billion.

For the year, the company reported profits of $2.48 billion, or $1.30 per share. Revenue was reported at $29.45 billion. ABB shares have increased by 16% since the beginning of the year.

ABB is well-positioned to benefit from growing demand for industrial automation and robotics, while margins are expected to expand as a result of the company's restructuring.

Airbus SE EADSY gains from the theme of "air taxis," which are highly automated aircraft designed to cover short distances of less than 250 kilometers, or around 150 miles. Deloitte Insights estimates that the market for so-called electric vertical takeoff and landing vehicles in the United States could top $17.7 billion by 2040 and reach $3.4 billion by 2025. CityAirbus NextGen is a brand-new flying cab that Airbus unveiled in 2021. By 2035, the company hopes to have the first commercial aircraft with zero emissions.

On February 3, EADSY announced they had won a federal contract award for $198,256 from the Department of Homeland Security, U.S. Coast Guard, Elizabeth City, North Carolina, for aircraft parts and Auxiliary Equipment Manufacturing.

This just represents one win for the company lately, putting them in the right place to have a solid 2023.

Nio Inc. NIO is a pioneer and a leading company in the premium smart electric vehicle market. NIO was founded in November 2014 with the mission to shape a joyful lifestyle around electric vehicles.

NIO aims to build a community starting with smart electric vehicles to share joy and grow together with users. NIO designs, develops, jointly manufactures, and sells premium smart electric vehicles, driving innovations in next-generation technologies in autonomous driving, digital technologies, electric powertrains, and batteries.

NIO differentiates itself through its continuous technological breakthroughs and innovations, such as its industry-leading battery swapping technologies Battery as a Service, or BaaS, as well as its proprietary autonomous driving technologies and Autonomous Driving as a Service, or ADaaS.

NIO's product portfolio consists of the ES8, a six-seat smart electric flagship SUV, the ES7 (or the EL7), a mid-large five-seat smart electric SUV, the ES6, a five-seat all-round smart electric SUV, the EC7, a five-seat smart electric flagship coupe SUV, the EC6, a five-seat smart electric coupe SUV, the ET7, a smart electric flagship sedan, and the ET5, a mid-size smart electric sedan.

Last week, the company offered an update on its January 2023 delivery results. NIO delivered 8,506 vehicles in January 2023. The deliveries consisted of 2,190 premium smart electric SUVs and 6,316 premium smart electric sedans. Cumulative deliveries of NIO vehicles reached 298.062 as of January 31, 2023.

From January 13, 2023, to January 31, 2023, the peak travel season around the Chinese New Year Holiday, NIO provided over 1 million power swaps to its users, among which over 300,000 swaps were completed at the NIO power swap stations along the highways and over 11,000 swaps were flexible battery upgrades to enhance the long-distance travel experience.

On January 18, 2023, NIO was recognized in Corporate Knights Global 100 and ranked first among car brands on the world's most sustainable companies list. NIO attaches great importance to low-carbon development, environmental protection, and joint ecosystem building and is committed to promoting full-lifecycle carbon footprint management, energy conservation, and emission reduction. With the vision of Blue Sky Coming, NIO will continue to improve its ESG performance and support global sustainable development.

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