U.S. Energy Stocks Surge as Investors Eye Data Center Expansion
Key Ideas
- Domestic individual investors in South Korea are actively buying U.S. energy-related stocks like GE Bernova, Plug Power, and Vistra Energy, expecting benefits from expanding data centers.
- GE Bernova, specializing in gas turbine and small module nuclear power plant businesses, has seen a significant stock price increase due to anticipated policy support under 'Trump 2.0'.
- Plug Power, a clean hydrogen producer, experienced a surge in stock price after the confirmation of clean hydrogen production tax credit but faced challenges due to Trump's stance on renewable energy.
- Vistra Energy, a fossil fuel producer, is projected to have the highest gains among the mentioned stocks, with a considerable stock price rise despite concerns about overvaluation and stock price volatility.
In the U.S., President Donald Trump signed an executive order in the Oval Office, impacting the market sentiment. South Korean individual investors (known as Seohak ants) have shown interest in U.S. energy stocks due to the potential growth driven by data center expansions. Among the stocks popular among these investors are GE Bernova, Plug Power, and Vistra Energy. GE Bernova, focusing on gas turbine and small module nuclear power plant businesses, has gained 26.63% in stock price on the expectation of favorable policies under 'Trump 2.0'. Plug Power, known for clean hydrogen production, saw a surge in stock price supported by clean hydrogen production tax credit but faced challenges due to Trump's anti-renewable energy stance. Vistra Energy, a fossil fuel producer, has experienced a significant stock price increase despite concerns about overvaluation and volatility. Investors are advised to monitor the market closely due to the expected fluctuations in these stocks.