11 Best Performing Energy Stocks in 2025

5. Ormat Technologies, Inc. (NYSE:ORA)

YTD Gains as of December 26: 63.67%

Ormat Technologies, Inc. (NYSE:ORA) is a leading geothermal power company and the only vertically integrated company engaged in geothermal and recovered energy generation, as well as energy storage solutions.

Ormat Technologies, Inc. (NYSE:ORA) received a boost on December 18 when Piper Sandler raised its price target on the stock from $102 to $125, while maintaining an ‘Overweight’ rating on the shares. The revised target represents an upside potential of over 10% from the current share price.

Piper Sandler noted that while the energy sector had a tough year in 2025, it remained tenacious and focused on finding alternative growth avenues. While the firm continues to be selective in 2026, it sees various cyclical tailwinds beginning to mount, including Saudi Arabia/Mexico getting back to work and a bottoming land market in the US. However, the analyst doesn’t expect the offshore sector to recover before 2027.

Nearly every sub-sector of the power industry has posted significant gains this year, driven by record electricity demand due to the AI boom and its data centers. The rally has also extended to less conventional sources of electricity generation, including geothermal. As a result, the share price of Ormat Technologies, Inc. (NYSE:ORA) has surged by over 63% so far this year, helped by the company’s efforts to renew power-purchase agreements with data center operators at more favorable prices when the current contracts expire. Given the high demand, the geothermal energy operator aims to achieve a portfolio capacity target of 2.6-2.8 GW by the end of 2028.