The AI Energy Boom: 10 Power Sector Stocks Positioned to Dominate Data Center Growth

The Electricity Revolution Nobody Saw Coming

For decades, America’s electricity consumption stayed relatively stable. That changed overnight. The explosion of artificial intelligence has fundamentally reshaped energy demand worldwide—a shift comparable in scale to the Industrial Revolution.

Goldman Sachs reports that data center power demand will skyrocket 160% by 2030. Think about that: the International Energy Agency projects that by 2030, data centers alone will consume as much electricity as an entire nation—specifically, as much as Japan uses today. The kicker? AI workloads can’t tolerate intermittent power. These systems run 24/7, which means renewable energy alone simply won’t cut it.

That reality has triggered two seismic shifts: a full-blown nuclear power renaissance and a massive infrastructure push in natural gas. For savvy investors, this energy transition represents a multi-decade wealth-building opportunity.

The Nuclear Powerhouse

Constellation Energy (NASDAQ: CEG) commands the largest nuclear reactor fleet in America, delivering around-the-clock carbon-free electricity—exactly what tech giants need to hit net-zero targets. The company recently locked in a historic power agreement with Microsoft to reboot the Three Mile Island Unit 1 reactor. Plus, Constellation is acquiring Calpine for approximately $26.6 billion (including debt), massively expanding its natural gas generation capacity.

NextEra Energy (NYSE: NEE) runs the world’s biggest wind and solar operation, and now it’s making aggressive nuclear plays. The company partnered with Alphabet to revive the Duane Arnold nuclear facility in Iowa. The 615-megawatt reactor is slated to start operations by 2029, with Google contractually committed to buying most of its output for their data centers.

The Utility Giants Capturing Regional Opportunity

Southern Company (NYSE: SO) controls a regulated utility network in a region that’s becoming the epicenter of data center expansion. Georgia specifically has exploded as a data center hub. Southern has over 50 gigawatts of potential new large-load customer growth waiting in the pipeline, with roughly 40 GW concentrated in Georgia—much of it tied directly to hyperscaler data center projects.

Dominion Energy (NYSE: D) dominates Northern Virginia, where approximately 70% of the world’s internet traffic originates. Dominion is negotiating contracts for 40 to 47 gigawatts of new data center capacity and anticipates peak electricity demand in its service territory will surge dramatically over the next decade.

Entergy (NYSE: ETR) holds the dominant position across the Gulf Coast—a region blessed with cheap real estate and world-class energy infrastructure already in place. The company is managing a pipeline of 7 to 12 gigawatts of data center projects and has already inked deals with Amazon, Alphabet, and Meta Platforms.

The Hybrid Players and Pipeline Controllers

Vistra (NYSE: VST) owns an intriguing combination: substantial nuclear capacity paired with efficient gas-powered generation. The stock has delivered exceptional returns lately. Vistra operates the Comanche Peak nuclear plant and is in active negotiations with major tech companies about co-locating data centers right beside its nuclear and gas facilities, with potential multi-year power supply agreements on the table.

Williams Companies (NYSE: WMB) controls roughly 30% of U.S. natural gas volume—a critical chokepoint. The company is strategically pivoting to build gas-fired generation projects directly at data center locations, solving local grid congestion problems and guaranteeing reliable power delivery.

Kinder Morgan (NYSE: KMI) ranks among the largest energy infrastructure operators in the S&P 500. Its pipeline network transports about 40% of America’s natural gas. As AI demand overwhelms renewable output, Kinder Morgan’s infrastructure becomes indispensable for feeding the gas-burning power plants utilities are frantically constructing.

The Equipment Suppliers Fueling the Build-Out

GE Vernova (NYSE: GEV) is essentially the arms supplier of this entire energy transformation. Regardless of whether the world emphasizes wind, gas, or nuclear solutions, GE Vernova manufactures the turbines and generators that produce the actual electricity. The company is seeing an explosion of gas turbine orders, many explicitly tied to powering AI infrastructure and data centers.

Cameco (NYSE: CCJ) stands as the Western hemisphere’s leading uranium supplier. With Microsoft, Alphabet, and Amazon all committing to nuclear reactor restarts or new construction projects, these long-term commitments significantly increase the probability of sustained uranium demand growth. Cameco also maintains a 49% ownership stake in Westinghouse, the primary nuclear reactor builder.

Why This Moment Matters for Investors

These ten companies represent a cross-section of the energy ecosystem: nuclear operators, utility monopolies, natural gas infrastructure networks, and industrial equipment manufacturers. The AI-driven energy investment supercycle is just beginning its acceleration phase, and companies controlling electricity generation and distribution will reap benefits for decades to come.

For investors seeking exposure to artificial intelligence without buying into crowded tech stocks, the energy sector presents a sophisticated—and surprisingly overlooked—avenue for returns during this historic infrastructure expansion.