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News  ›  The Motley Fool

Could Utility Stocks Be the Next Big AI Winners?

The Motley Fool Logo The Motley Fool By Matt Dilallo
Could Utility Stocks Be the Next Big AI Winners?

Utility stocks are positioned to be major beneficiaries of the AI boom as data centers require massive amounts of electricity. NextEra Energy, Dominion Energy, and Entergy are investing billions in power generation capacity to meet surging demand from AI data center operators like Google and Meta, with expectations for strong earnings and dividend growth.

Insights
NEE   positive

Company operates largest U.S. electric utility and has strategic partnerships with Google for nuclear energy development. Expected to grow adjusted EPS over 8% annually with increasing dividend yield.