10 Best Performing Utilities Stocks to Buy Now

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In this article, we will take a look at the 10 Best Performing Utilities Stocks to Buy Now.

The global utilities industry is divided into three basic sectors: electricity, natural gas, and water. It is critical to the safe and sustainable generation, transmission, and distribution of these vital resources.

In the past, US electricity demand has averaged about 2% yearly, mirroring economic development. However, since 2000, as industrial power demand has dropped and energy efficiency has improved, this association has reduced. Consequently, since 2007, power demand has remained relatively stable.

That said, the industry may be poised for a renaissance owing to factors like the rise in data centers driven by AI developments and the widespread use of electric vehicles (EVs). In that regard, Morningstar predicts that demand will increase by 1% to 2% annually.

Speaking of AI data centers specifically, industry giants like Microsoft Corporation are making considerable progress given nuclear power’s capacity to meet the energy-intensive demands of AI applications while adhering to lower carbon footprint targets. In this context, Goldman Sachs predicts that by 2030, AI data centers’ electricity consumption will have more than doubled, accounting for 8% of overall consumption in the United States.

10 Best Performing Utilities Stocks to Buy Now

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Our Methodology

For this list, we used stock screeners and identified utilities stocks that were popular among elite hedge funds and favored by analysts. We then checked their year-to-date performance and selected the 10 best-performing stocks from our initial pool. The names on this list appear in ascending order of their year-to-date performance, as of August 22.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

10. Enlight Renewable Energy Ltd. (NASDAQ:ENLT)

Year-To-Date Performance as of August 22: 56.97%

Number of Hedge Fund Holders: 2

Enlight Renewable Energy Ltd (NASDAQ:ENLT) ranks among the best performing utilities stocks to buy now. On August 7, Roth/MKM maintained its Buy rating on Enlight Renewable Energy Ltd. (NASDAQ:ENLT) and boosted its price target from $23 to $28. The hike comes after the renewable energy company released what Roth/MKM called a strong second-quarter report, coupled with upward adjustments to its 2025 projection and run-rate revenue expectations for the end of 2025 and 2026.

According to Roth/MKM, Enlight Renewable Energy Ltd. (NASDAQ:ENLT) has safely-harbored 6 GW of its portfolio, which is a major step toward its objective of attaining 6.5-8GW by the deadline of July 4, 2026.

Although the firm noted that a large portion of Enlight’s mature portfolio is expected to be completed before the end of 2027, it cautioned that there is still some risk associated with possible changes to safe harboring regulations.

Enlight Renewable Energy Ltd. (NASDAQ:ENLT) is an Israeli company that develops and manages solar and wind power projects. Back in 2021, the Israel-based company acquired Clēnera of Boise, Idaho, to expand into the US market.

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