Instead of speculating on artificial intelligence stocks, investors continued to accumulate energy stocks. AI servers, when they are running training models, require enormous amounts of electricity.
Vistra (VST) gained 8.55% on Jan. 2, 2025, to close at $149.66. VST stock is already a winning investment for 2024 after it gained nearly 268%. The nuclear plant operator is a long-term buy. Electricity demand will only increase at a faster pace as AI server use rises.
Constellation Energy (CEG) added 8.44% yesterday, closing at its 50-day simple moving average of $242.60. The firm announced a nuclear power supply deal with the U.S.
government worth $1 billion. The General Services Administration handled the supply deal to more than 13 government agencies. The 10-year contract is worth $840 billion.
Constellation will also supply power to Energy Savings Performance Contract, a deal worth $172 million.
Texas Pacific Land (TPL) gained 6.7% to close at $1,180.08. On November 26, 2024, it joined the S&P 500 (IVV) index, replacing Marathon Oil. In the third quarter, the firm reported non-GAAP EPS of $4.63. Revenue grew by 9.9% Y/Y to $173.56 million.
In 2024, TPL stock gained over 120%. Since peaking at around $1800, momentum investors are likely betting on the stock bouncing back.
