Key Points
CenterPoint Energy (NYSE: CNP) recently achieved an all-time high share price of over $44, driven by significant demand for electricity stemming from the rapid growth of AI infrastructure. The company’s stock has increased 24% over the past year, highlighting its strong performance as a regulated utility.
In Texas, CenterPoint reported a remarkable 700% surge in data center interconnection requests, with two-thirds of new load growth in the Houston area attributed to this sector. The utility anticipates an additional 10 gigawatts of demand by the end of 2029, fueled by Houston’s rapid population growth of approximately 1.5 million residents since 2010. To support this expansion, CenterPoint plans to invest $65 billion over the next decade, which is projected to drive earnings growth of 7% to 9% through 2035.
As a founding partner in the AI-driven grid reliability initiative, Chain Reaction, CenterPoint aims to enhance the resilience of Houston’s power grid, collaborating with technology leaders like Nvidia and Palantir on modernization efforts.
