This Propelled Babcock & Wilcox’s (BW) Shares to 7-Year High

Babcock & Wilcox Enterprises Inc. (NYSE:BW) is one of the 10 Stocks With Unexpected Gains.

Babcock & Wilcox soared to a new seven-year high on Monday, as investors poured funds back into companies riding the artificial intelligence boom, supported by optimism following the looming start of development of its $2.4-billion power generation project.

It can be recalled that Babcock & Wilcox Enterprises Inc. (NYSE:BW) earlier secured the green light for the construction of a 1.2-gigawatt power generation project for Base Electron to support the needs of data center giant, Applied Digital Corp.

Under the agreement, Babcock & Wilcox Enterprises Inc. (NYSE:BW) would engineer, procure, and construct four 300-MW natural gas-fired boilers and steam turbine generator systems, with engineering and manufacturing activities already underway. It tapped Siemens Energy, Inc. to design and supply the steam turbine generator sets.

This Propelled Babcock & Wilcox's (BW) Shares to 7-Year High

A production line equipment assembling solar modules. Photo from T1 Energy website

“With data processing demand growing at an unprecedented pace, B&W is uniquely positioned to provide the proven, flexible and redundant power solutions these mission‑critical operations require and deploy them faster than traditional combined-cycle or simple-cycle gas technologies,” Babcock & Wilcox Enterprises Inc. (NYSE:BW) Chairman and CEO Kenneth Young said.

In other news, the company narrowed its net loss attributable to shareholders last year by 39 percent to $36.2 million from $59.9 million in 2024. Total revenues inched up by 1.1 percent to $587.7 million from $581 million year-on-year.

While we acknowledge the risk and potential of BW as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than BW and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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