AI’s Energy Crunch: 3 Hidden Winners That Will Profit From the Crisis

The rapid rise of artificial intelligence (AI) is creating an unprecedented energy crisis in the U.S. As AI data centers proliferate to support advanced computing needs, their electricity consumption is projected to soar, potentially reaching 6.7% to 12% of the nation’s total power by 2028 — enough to power 24 million homes. 

This surge outpaces the current grid’s capacity, highlighting a critical gap between digital innovation and physical infrastructure. Nuclear energy is seen as a long-term solution, but building new reactors takes over a decade, leaving an urgent need for interim measures. Alternative fuels like natural gas, hydroelectric power, and geothermal energy are emerging as viable stopgaps, yet their expansion faces challenges such as environmental concerns, policy shifts, and infrastructure limitations. 

Coal also remains a significant power source, particularly for baseload electricity, though it has higher emissions than natural gas or nuclear. However, environmental regulations and public opposition make significant expansion unlikely unless policy shifts dramatically toward fossil fuels.

The strain is already evident, with rising electricity costs and community resistance to data center projects. As the need for immediate solutions grows, the three stocks below are likely to be surprising winners from the energy crunch AI is causing.

Exxon Mobil (XOM)

Exxon Mobil (NYSE:XOM) is well-positioned to profit from the AI energy crunch by leveraging its dominance in natural gas production. The company’s ability to rapidly scale output makes it a key player in meeting the immediate power demands of data centers, projected to require 325,000 to 580,000 gigawatt hours (GWh) annually by 2028. 

With the Trump administration’s pro-fossil-fuel policies and recent reversals of gas phase-out plans, the environment favors natural gas as a quickly deployable solution. Exxon Mobil’s extensive pipeline networks and liquified natural gas (LNG) export capabilities further enhance its flexibility to serve both domestic and global markets, ensuring it can respond to sudden demand spikes. 

Financially robust with a market cap over $476 billion, the company can invest heavily in expansion projects, such as new drilling sites in the Permian Basin, while maintaining strong dividends that appeal to investors. Despite potential environmental pushback and regulatory scrutiny, Exxon’s short-term relevance as a stopgap outweighs these concerns, especially as utilities scramble to secure reliable energy sources. 

The oil and gas giant’s recent partnerships with tech firms for direct energy supply contracts also signal its strategic pivot to meet AI-specific needs, solidifying its role in this crisis.

Brookfield Renewable Partners (BEP)

Brookfield Renewable Partners (NYSE:BEP) is the second stock that stands to gain from filling the stopgap need. By tapping into its strong hydroelectric power portfolio, Brookfield can quickly help address AI’s energy needs. 

With 33,000 megawatts (MW) of installed capacity and a 231,700 MW development pipeline, the company can upgrade existing facilities to provide baseload power faster than new nuclear plants, a critical advantage given the urgency of the demand spike. The projected growth aligns with Brookfield’s recent $5 billion investment in Bloom Energy (NYSE:BE) for fuel cell solutions, catering to data center requirements with hybrid renewable systems.

As community resistance grows against fossil fuels, its renewable status offers a sustainable edge, supported by a $8.1 billion market cap and a track record of managing large-scale renewable projects across North America. 

While permitting delays and environmental assessments could pose challenges, the company’s U.S. assets, particularly in states like New York and Pennsylvania, provide a solid foundation for rapid expansion. Brookfield’s focus on long-term power purchase agreements with tech giants further ensures steady revenue, positioning it to profit as utilities balance immediate needs with long-term sustainability goals amid rising public pressure.

Ormat Technologies (ORA)

Although not usually part of the mainstream discussion, Ormat Technologies (NYSE:ORA) is set to profit by advancing geothermal energy as a clean, stable power source for AI data centers. With plans to increase capacity by 36% to 2.7 GW by 2028, Ormat aligns with the projected 6.7% to 12% share of U.S. electricity consumption by data centers, offering a scalable solution. 

Its partnership with Sage Geosystems on enhanced geothermal technology accelerates deployment compared to nuclear, using advanced drilling techniques to tap into untapped reserves, making it a practical interim option. 

Financially sound with a $6.7 billion market cap, a low beta of 0.74, and a 19-year dividend history, Ormat can sustain growth through reinvestment in research and new plant construction. Though high upfront costs and site-specific limitations in regions like Nevada and Idaho exist, geothermal’s lower environmental impact and innovation potential make it attractive to policymakers and tech firms seeking green credentials. 

Ormat’s recent contracts with data center operators in the western U.S. highlight its growing relevance, positioning it to capitalize on the energy crunch as a forward-looking alternative.