FirstEnergy Corp. (FE) is experiencing significant growth opportunities due to rising electricity demand from data centers in its service territories, particularly in West Virginia. Currently, nearly 1.8 gigawatts (GW) of data center projects are in the pipeline—a 50% increase from earlier projections. The company is also in negotiations for over 6 GW of potential load, with nearly 4 GW expected to be contracted soon, contributing to a projected demand increase to 14.9 GW by 2035, up 15% since February 2026.
FirstEnergy plans to invest roughly $6 billion in 2026 and $36 billion between 2026 and 2030 as part of its Energize365 grid modernization initiative. This investment aims to enhance infrastructure, improve customer experience, and maintain competitive electricity rates amidst expanding data center consumption. The Zacks Consensus Estimate for FE’s EPS suggests year-over-year increases of 7.45% for 2026 and 7.57% for 2027.
In related data, American Electric Power (AEP) anticipates a demand bump of 63 GW by 2030, up from 56 GW, primarily driven by hyperscale data centers. Meanwhile, PPL Corporation has identified 28.3 GW of potential demand in Pennsylvania and 12.9 GW in Kentucky through 2032. FE’s stock is trading at a premium with a forward price-to-earnings ratio of 17.1X compared to the industry average of 15.87X.
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