NVIDIA is considered a bell of artificial intelligence.
Early leadership in the sector that develops quickly does not mean that the company will always remain a leader.
The demand for electricity is undeniable AI, where investors can invest confidently for a long time.
10 stock we like better than Nextera Energy ›
Nvidia(NASDAQ: NVDA) reported another quarter of high growth during its fiscal 2026. A quarter. Income increased by 69% per year and increased by 12% in a row. Demand for data centers was a major factor in the activity, and income from this client group increased by 73%a year.
This growth level is a major reason for these three promotions will be a great investment in purchasing and support if you want to take advantage of AI growth.
Nvidia acts exclusively as a business. However, this is not a mystery, and in the last five years the share price has increased by more than 1400%. Although stock prices and sales and price and income relationships are based on their five -year averages, it would be difficult to say that NVIDIA is cheap shares. In fact, the P/E ratio is noble 45x. It costs a lot of good news here.
Image Source: Getty Images.
The full argument of the glass side is that Nvidia has a lot of good news and there is no sign that the good news will stop flowing. However, artificial intelligence (s) is still a very young industry. Yahoo! at one time Looked like a category killer in search but still surpassed him AlphabetGoogle service. S is still in the early days and still find it difficult to predict which companies, from nvidia to PalantirTechnologywill be long -term winners.
However, there is one thing that is very clear: Ai and the data centers where it lives will increase the demand for electricity by a huge amount. Based on the assessment of the National Association of Electrical Electrical Manufacturers, the demand for electricity will increase by approximately 300% over the next decade. And this will change the demand for electricity. Demand has increased a total of 9% from 2000 to 2020, but it is expected that by 2020-2040. It will increase by 55%.
PG is great, but it stops working if you turn off the power switch. And it pulls great power out of the power grid. PG growth will be suitable for electricity suppliers. The safest performance is probably the utility as Nextera energy(Nyse: No); This company is actually two companies in one.
Nextera owns one of the largest regulated utilities in the US, providing it with a solid business fund. In addition, she has created one of the world’s largest clean energy business. This has helped Nextera grow very quickly, and the company has increased its dividends over the last decade, with an annual share of 10%. This is a huge growth of dividends for any company, not to mention the utility. Add an attractive 3.1% dividend yield and growth and income investors, as well as amateurs, will want to get acquainted with Nextera Energy.
However, investors for investors Brookfield renewable partners(Nyse: be) It will probably be a better choice. It has a huge 5.7% yield and grow regularly, albeit slower than Nextera Energy. But the big story is that data centers are increasingly trying to find ways to use clean power for their properties.
The brookfield renewing headline is that she wrote an agreement Microsoft provide 10.5 gigavat power technology giant. The specific purpose of the agreement is to feed Microsoft data centers. Bookfield Renewal is not a regulated company, so it can sell energy to any company in the world, taking into account its diversified renewable energy portfolio. He prepares negotiations with other technology companies that can make offers similar to what is written with Microsoft.
However, investors wishing to invest in AI shares are oriented to income and avoid risk investments such as Nextera and Brookfield updates may not be what you are. If you want to bend over to the “other big thing”, consider Normale power(NYSE: SMR)which aims to create small modular reactors (SMR). Basically, the SMR is a nuclear power plant built in the factory, distributed version and can be placed near where energy, such as AI Data Center.
Currently, the Nucle Power concludes partial agreements with several potential customers and tries to sink into its first customer. However, when he agrees, it is very likely that additional customers will follow. And this could turn this money that has lost this money starting with reliable nuclear energy stocks. PG and data centers can be very important for the final market.
You can definitely try to choose another big Ai stock. And maybe you will hit Jackpot. However, Wall Street is filled with once hot companies that haven’t done it. But one thing that is very clear is that he needs to “live”. And if you can shift gears slightly as an investor, there are many ways to play with AI with the choice and mining method.
Nextera is a conservative and dividend growth option. Brookfield renewal is a choice of high yields. Nine Power is the most advanced nuclear energy investment that will probably arouse more aggressive investors. When Ai business intends to increase its electricity demand at least in the next decade, each of these energy -related investments is the wind.
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Suzanne Frey, Alfabet executive, is a member of the Board of Motley Fool. Reuben Gregg Brewer holds Bookfield renewable partners. The Motley fool is a position and recommends the alphabet, Microsoft, Nextera Energy, Nvidia and Palantir Technologies. The Motley Fool recommends brookfield renewable partners and Netale Power and recommends the following options: 2026. January January 395 USD calls Microsoft and briefly 2026. January $ 405 Microsoft calls. The Motley fool has a disclosure policy.
3 Artificial Intelligence Stocks you can buy and hold for the next decade initially announced by The Motley Fool
