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Goldman is still positive on the solar industry amid the sell-off — Here are the firm’s top picks

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Aaron Newsom, left, an installer for the solar company, Sunrun, and Tim McKibben, a senior installer, install solar panels on the roof of a home in Granada Hills.

Mel Melcon | Los Angeles Times | Getty Images

The recent pullback in solar stocks is overdone, and with strong growth prospects on the horizon the sell-off represents a buying opportunity for some of the stocks in the space, Goldman Sachs said in a note to clients.

The firm pointed to a number of reasons to remain positive on the industry, including solid fundamentals, a healthy financing backdrop, as well as policy catalysts.

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