In this article, we are going to discuss the 13 best electrical infrastructure stocks to buy in 2026.
The US power demand hit its second annual high in 2025, driven primarily by the rapid expansion of data centers and the rise of AI applications, domestic manufacturing growth, and the general electrification of different sectors.
According to the Energy Information Administration (EIA)’s Short-Term Energy Outlook earlier this month, this demand is projected to rise from a record 4,195 billion kWh in 2025 to 4,271 billion kWh in 2026, and then 4,397 billion kWh in 2027.
To keep up with the soaring demand, the country’s utilities are expected to make $240 billion in capital expenditures this year, presenting a historic, multi-billion-dollar opportunity for electrical infrastructure operators. Moreover, the opportunity is expected to sustain in the long run, as Deloitte estimates that the US power sector investments may need to reach $1.4 trillion between 2025 and 2030, with spending remaining high for the next two to three decades.
With that said, here are the Best Electrical Infrastructure Stocks to Buy Now.
Our Methodology
To collect data for this article, we used our screeners to identify electrical infrastructure stocks with the highest number of hedge fund holders at the end of Q1 2026, as per the Insider Monkey database. We then limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. The following are the Best Electrical Infrastructure Stocks to Buy According to Hedge Funds.
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. Insider Monkey’s quarterly newsletter strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
13. FirstEnergy Corp. (NYSE:FE)
Number of Hedge Fund Holders: 42
FirstEnergy Corp. (NYSE:FE)’s 10 electric distribution companies form one of the nation’s largest investor-owned electric systems, serving customers in Ohio, Pennsylvania, New Jersey, West Virginia, Maryland, and New York.
On June 11, UBS analyst William Appicelli slightly upped the firm’s price objective on FirstEnergy Corp. (NYSE:FE) from $50 to $51, while maintaining a ‘Neutral’ rating on the shares. The target boost implies an upside of almost 10% from the current price level.
In its last earnings call, FirstEnergy Corp. (NYSE:FE) reiterated its core earnings guidance range of $2.62 to $2.82 per share for FY 2026. The growth will be supported by its $6 billion capital investment plan for the year, with a focus on grid modernization, distribution upgrades, and transmission reliability. Moreover, the company reaffirmed its long-term core earnings CAGR guidance of 6% to 8% through 2030, with a target to deliver near the top end of that range.
12. MYR Group Inc. (NASDAQ:MYRG)
Number of Hedge Fund Holders: 43
A holding company of specialty electrical construction companies, MYR Group Inc. (NASDAQ:MYRG) and its subsidiaries provide large-scale electrical construction services throughout the US and Canada.
On June 11, Oppenheimer assumed coverage of MYR Group Inc. (NASDAQ:MYRG) with a ‘Perform’ rating and did not assign the stock a specific price objective.
Oppenheimer highlighted the strong outlook for electrical transmission and distribution (T&D) services, which MYR is positioned well to offer. Moreover, the analyst pointed to the company’s long-term growth prospects in the commercial and industrial business, supported by the rapid expansion of data centers and other complex infrastructure projects.
With MYR Group Inc. (NASDAQ:MYRG) up by over 230% since the beginning of 2026, Oppenheimer believes that investors should be mindful of the stock’s premium valuation compared to its peers, its potential upside versus the 2026 consensus, and the evolving dynamics of T&D margins over time.
MYR Group Inc. (NASDAQ:MYRG)’s total backlog stood at a record $2.84 billion at the end of Q1 2026. The company revealed that it has been awarded multiple data center projects in New Jersey, Arizona, California, and Colorado. It is forecasting a revenue growth of 12% for FY 2026.
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