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NextEra Energy received a Zacks #2 (Buy) rating, driven by an expected 7.9% increase in current-year earnings per share despite the stock's recent 3.9% decline.
Political pressure on electricity rates creates uncertainty for utility stocks in 2026, despite the sector delivering 16% returns so far this year driven by AI data center demand.
PPL Corporation's stock is trading at a premium 17.4X P/E ratio as the utility plans a $20 billion investment to meet surging data center electricity demand.
The Federal Reserve's 25 basis point interest rate cut on December 10, 2025, has positioned the utilities sector for growth by lowering its target range to 3.50-3.75%.
Vistra Corp. is poised for growth as the Federal Reserve's 175 basis point rate cut is expected to help drive a 70.48% increase in its 2026 earnings per share.
GE Vernova has announced its entry into the fuel cell market, targeting the rapidly growing power demands of AI data centers. The move positions the industrial giant as a direct competitor to incumbent Bloom Energy, signaling a significant shift in the energy landscape for the tech sector.
NextEra Energy's stock valuation is being reassessed following a minor pullback, as the company secured major new clean energy contracts with Meta and Google. These deals, totaling over 2.5 GW, pivot the utility towards powering the high-growth AI sector, signaling a significant strategic shift.
Bank of America has shifted its investment strategy for the U.S. power and utilities sector, advising selective stock picking in anticipation of a structural repricing driven by massive electricity demand from AI and data centers.
US equity futures climbed in pre-bell trading as markets anticipate a crucial week of delayed economic data. Investors are weighing optimism from a recent Federal Reserve rate cut against mixed corporate signals and the potential for heightened volatility heading into year-end.
Brookfield Asset Management has offered $2.7 billion to revive an abandoned nuclear power project in South Carolina, aiming to sell the electricity directly to high-demand customers like data centers. The move highlights a major strategic shift in energy investment, driven by the artificial intelligence industry's voracious power requirements.
ExxonMobil is revising its five-year corporate plan, increasing its 2030 earnings growth forecast by $5 billion to $25 billion. The company is cutting its low-carbon investment budget by a third, reallocating capital to its core oil and gas assets in the Permian Basin and Guyana, signaling a strategic prioritization of fossil fuel production and shareholder returns.
Xcel Energy has selected Oracle's Opower platform to enhance customer energy management and efficiency. The move is a strategic step to modernize its services as the broader utility sector grapples with unprecedented electricity demand growth, largely driven by the expansion of AI data centers.
Eaton is investing over $50 million in a new Virginia manufacturing campus to meet surging demand for power distribution technologies from the AI data center industry. This strategic expansion is supported by the company's strong financial performance and aims to solidify its role in the critical infrastructure supply chain for AI.
Established industry leaders Broadcom and ExxonMobil are leveraging their immense scale and market power to dominate critical segments of the AI supply chain. Broadcom is cementing its position in high-end semiconductors and networking, while ExxonMobil is pivoting to supply the massive energy needs of data centers.
ExxonMobil is pausing its clean hydrogen projects, cutting its low-carbon budget by $10 billion for 2025-2030. The move reflects a broader industry retreat from nascent green technologies amid shifting political and economic pressures, signaling a strategic refocus on core fossil fuel operations.
NextEra Energy is forming strategic alliances with ExxonMobil, Google, and Meta to build extensive energy infrastructure, addressing the surging power demands of the AI industry. The strategy combines natural gas with carbon capture, clean energy, and AI-driven grid management.