The Upcoming Energy Challenge in the AI Revolution: 3 Stocks Set to Lead the Charge

Key Points

• Bloom Energy’s first-quarter revenue surged 130% year over year to $751.1 million, with net income of $70.7 million, reversing a loss from the previous year.

• GE Vernova’s first-quarter orders rose 71% organically to $18.3 billion, with a total backlog of $163 billion and an increase in gas turbine backlog from 83 to 100 gigawatts.

• Vistra signed long-term agreements to supply Amazon and Meta with a combined total of over 3,800 megawatts of nuclear power.

Broadcom announced plans for a financing platform with Apollo Global Management and Blackstone aimed at enabling over 20 gigawatts of AI computing capacity by 2028, launching with an initial $35 billion investment tranche. As demand for electricity grows, particularly from AI infrastructure, these companies are positioned to address the bottlenecks in the power supply.

With rising orders and revenue, Bloom Energy, GE Vernova, and Vistra are capitalizing on the increasing demand for electricity needed by the burgeoning AI sector, although potential risks include a slowdown in AI capital expenditures that could impact their backlogs.