Wall Street bank Citi has identified two stocks it believes are poised to thrive regardless of changes in the interest rate environment or the political landscape. Citi's research was conducted ahead of a possible rate cut by the Federal Reserve later this month and the upcoming U.S. election in November. The investment bank said in an Aug. 30 note to clients that three areas of green industry — clean water, energy efficiency and nuclear power — are “low interest rate/political sensitivity” and attractive to investors. “Rate and political catalysts alone are unlikely to sustain 'green' stocks over the medium term,” Citi analysts led by Drew Pettit said. “As such, we focus on three key fundamental characteristics: positive Cash flow, visible profitability, and sales/EBITDA growth accelerating. Citi described both Ecolab and IDEX as having “positive free cash flow” and being “profitable,” with sales and earnings expected to grow through 2026. Buy” and said: price target of $265. Meanwhile, according to Citi, IDEX is expected to rise about 35% in the next 12 months to $277 per share. ECL 1Y line Citi believes that the fundamentals for stock market investors ahead It's even more important because many clean energy stocks that were caught in “microbubbles” in 2021 have “completely unraveled.” “Some companies have even filed for bankruptcy. Currently, more than 20 stocks are down more than -80% from their 5-year highs. A quarter of 'green' stocks are down -60% or worse from their post-epidemic peak,” analysts said. The investment bank also believes the two stocks will not be affected by any changes in the political landscape in November. “The Democratic platform contains a more supportive stance on long-term green initiatives, as well as policies that mandate or accelerate the adoption of certain 'green' technologies,” Citi analysts said. Analysts at the bank also believe that the Democratic Party, which has been an outspoken supporter of oil and Former President Trump in the natural gas industry is unlikely to withdraw support for new energy companies and affect Ecolab and IDEX. “For Republicans, former President Trump discussed repealing the Inflation Reduction Act (IRA), but we believe this is unlikely because of the disproportionate spending going to Republican-controlled congressional districts. For renewable energy The all-out attack appears more like a campaign, with analysts adding that some areas will need additional power in the near term due to growing demand for data center power.