AI Needs Electricity And NRG Energy (NRG) Is Well Placed To Deliver That

NRG Energy Inc. (NYSE:NRG) is one of the 10 Best AI Stocks to Watch in July. Gabriele Sorbara from Siebert Williams Shank & Co started coverage of NRG Energy Inc. (NYSE:NRG) with a Buy rating and assigned it a $184 price target on July 6. The firm’s price target suggests a further 33% upside from here on. It believes the company is well positioned due to its diversified power generation business. NRG has 25.5 GW of generation capacity, providing it a strong position in the power market. The company also operates one of the largest retail electricity and natural gas platforms in the United States. Even though NRG isn’t a pure-play on AI, its role in AI infrastructure is instrumental and is therefore one of the best AI stocks to watch in July.

According to Gabriele Sorbara, NRG Energy’s retail business is undervalued despite its stable earnings and large scale. The firm believes these strengths position the company well for long-term growth and support a bullish outlook on the stock.

On a more bullish note, Wells Fargo analyst Shahriar Pourreza raised his price target on NRG Energy Inc. (NYSE:NRG) while keeping a Buy rating on July 2. The analyst increased the firm’s price target on the stock from $140 to $239. The upwardly adjusted price target implies an attractive 73% upside from current levels.

NRG Energy Inc. (NYSE:NRG) is a utilities company that specializes in energy and home services through its Texas, East, West/Other, Vivint Smart Home, and Corporate Activities segments. The company provides its services to a diverse range of customers, from data centers to wholesale.

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