We recently announced a list of 10 highest AI stocks in the magnifying glass this week. In this article, we're going to look at where Bloom Energy Corporation (NYSE: Be) stands against 10 other top AI stocks in this week's spotlight.
According to investment company Morgan Stanley, the demand for electricity is going to be durable regardless of any recession that may come into effect from Trump's tariff policies. This is because data centers need a lot of power, and demand will not decrease despite decline or due to efficiency gains from Ant Group, Deepseek, and others. While it is true that industrial demand may fall in the short term, bringing manufacturing back to the US will help solve this problem.
“We believe that the trends of power demand are more durable than in previous cycles, partly due to the inelasticity of data center demand. Industrial demand could deteriorate in the near term, but manufacturing reshaping is a long-term tail.”
Also read: 10 AI Stocks Beats on Today's News and 10 Stocks AI You Shouldn't Overlook At This time.
A similar analysis by a Bloomberg The report predicts that US power demand coming from 20-40% zoom data centers in 2025, with strong double digit growth likely to continue in 2026-30.
Although Morgan Stanley recognizes that rapid policy changes may have deep implications for major capital investments, it also predicts the use of electricity of artificial intelligence that grows ten times by 2028.
“With this in mind, we do not want to reduce the risk of 'shock' of a season almost in the near term. This could convert to slow the growth of order for some companies.”
History has shown that energy stocks remain resilient despite economic downturn. The company noted how, since 1960, demand had fallen just 0.2% on average during such periods.
“A utility screen is favorable in a recession given their defensive nature,”
That said, it is optimistic about strong AI infrastructure expenditure by technology giants such as Meta, Amazon, and the alphabet. This is because hyperscalers want to lead in artificial intelligence and also because they have large product pipelines that need GPUs.
For this article, we selected AI stocks by going through news articles, stock analysis, and press releases. These stocks are also popular with hedge funds. Hedge fund data is from CH4 2024.
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