Is Dominion Energy (D) the Top Pick for Nuclear Energy Investment Among Billionaires?

We recently released a compilation of the 10 Top Nuclear Energy Stocks That Millionaires Are Buying According To Reports In this piece, we will examine how Dominion Energy, Inc. (NYSE:D) measures up against some of the top players in the nuclear energy sector.

Currently, nuclear power accounts for nearly 10% of the worldwide electrical output, making it the second largest producer of low-emission electricity globally. The future outlook indicates substantial growth, with approximately 70 gigawatts of additional nuclear capability being built across the globe based on data from the International Energy Agency. Furthermore, upwards of 40 nations are planning to increase nuclear energy's share within their respective national grids. In the U.S., although nuclear facilities constitute less than 8% of installed generating capacity, they produced more than 19% of the nation’s electricity in 2024.

READ ALSO: 11 Top Solar Energy Stocks That Hedge Funds Recommend Buying

Nuclear power has become a leading contender for fueling the expanding AI industry along with its associated data centers. As per recent projections from Deloitte, the electrical needs of these data centers might increase five times over by 2035, hitting around 176 gigawatts. It's anticipated that roughly one-tenth of this requirement will be fulfilled through nuclear sources. In fact, just last month during the side events of the CERAWeek conference held in Houston, numerous major technology corporations gathered and committed themselves to boosting global nuclear energy production three-fold by mid-century.

However, the challenge lies in the fact that numerous such initiatives require several years for development, with certain ones potentially taking upwards of ten years before completion. Additionally, these ventures demand significant financial investments—often reaching into billions—and frequently encounter difficulties linked to delays and budgetary excesses, factors that may impede their feasibility and competitive edge economically. An answer to this predicament comes through Small Modular Reactors (SMRs), each boasting a maximum output capability of around 300 megawatts, making them faster to erect and offering better prospects for reducing costs. Furthermore, they can be prefabricated using standardized components and are considered versatile enough to cater specifically to individual clients, such as data centers or large-scale industrial facilities. According to projections made by the International Energy Agency (IEA), under supportive conditions, SMR deployments might achieve a total installed capacity of approximately 80 gigawatts by 2040, representing roughly one-tenth of all global nuclear energy generation capacities.

Even with an unprecedented rise in demand for nuclear power, many stocks within the industry have experienced considerable drops during the past twelve months because of the falling uranium prices. These prices dropped approximately 37% starting from January 2024. This downturn partly comes down to escalating disputes between the U.S. and Canada—the biggest source of uranium imports for America. Additionally, expectations about possible easing of sanctions against Russia contribute significantly; Russia had been the top provider of enriched uranium to the American commercial market back in both 2022 and 2023.

Nevertheless, the nation prohibited the entry of Russian uranium during the previous year to encourage local production. Additionally, the Department of Energy received $2.7 billion in funds aimed at fostering the expansion of America’s nuclear fuel supply network. Consequently, this has led to a surge; specifically, five facilities located in Wyoming and Texas have witnessed a 24% rise in homegrown uranium output over the course of 2024. Furthermore, following President Trump's directive for an investigation into potential duties on key mineral imports such as uranium, financial backers are now heavily investing in acquiring shares within American-based uranium firms.

A detailed view of an electric power line set against a vivid blue backdrop, emphasizing the firm’s range of electricity and natural gas offerings.

Our Methodology

To gather data for this article, we examined Insider Monkey’s database of billionaires and selected the top 10 firms within the nuclear power industry that attracted the most hedge fund investors during Q4 of 2024. In cases where multiple companies had an equal number of billionaire backers, they were ordered according to their market capitalization at the time of writing. Below are these listed entities: Top Nuclear Energy Stocks as Identified by Billionaires .

At Insider Monkey, we have an intense focus on the stocks that hedge funds heavily invest in. This interest stems from our findings which indicate that mimicking the top choices made by leading hedge funds allows us to surpass market performance. Each quarter, our quarterly newsletter recommends 14 small-cap and large-cap stocks, delivering a return of 275% since May 2014, thereby exceeding its benchmark by 150 percentage points. see more details here ) .

Dominion Energy, Inc. (NYSE: D )

Number of Billionaire Owners: 9

Dominion Energy, Inc. (NYSE:D) delivers regulated electrical services to 3.6 million residential and commercial properties across Virginia, North Carolina, and South Carolina, as well as regulated natural gas supply to 500,000 consumers within South Carolina. Additionally, the firm manages multiple nuclear facilities throughout the nation.

In the fourth quarter of 2024, Dominion Energy, Inc. (NYSE:D) delivered contrasting financial outcomes with revenues totaling $3.4 billion, which was approximately $541 million short of market forecasts. On the positive side, the firm’s adjusted earnings per share came in at $0.58, surpassing analyst predictions by $0.03. Additionally, the corporation recorded operational profits amounting to $2.4 billion over the entire year of 2024, marking an increase from the previous year’s figure of $1.7 billion during the equivalent timeframe. Furthermore, the company continues to uphold its annual dividend payout at $2.67 per share.

Dominion Energy, Inc. (NYSE:D), operating in northern Virginia where the globe's biggest concentration of data centers is located, connected 15 new facilities last year and intends to link up with another 15 by 2025. This firm aims at tapping into this profitable sector and has revised its projected capital investments from 2025 to 2029 upwards to $50 billion. These efforts are expected to boost their annual earnings per share growth rate between 5% and 7%. Additionally, Dominion entered into a Memorandum of Understanding (MoU) with Amazon during the previous year to investigate the potential for constructing a small modular reactor close to the company’s North Anna nuclear plant situated in Louisa County, Virginia.

Overall, D ranks 9th On our roster highlighting top nuclear energy stocks favored by billionaires, we recognize the growth prospects associated with D. However, we lean towards the perspective that AI stocks present superior opportunities for substantial financial gains over a brief period. Notably, one particular AI equity has surged year-to-date in 2025, contrasting sharply with many prominent AI equities which have declined approximately 25% during the same timeframe. Should you seek an underpriced AI option—trading below five times its earnings—that surpasses D’s appeal, explore our detailed analysis available in our latest report. cheapest AI stock .

READ NEXT: 20 Top AI Stocks You Should Consider Buying Today and 30 Top Stocks to Purchase Currently as Recommended by Millionaires .

Disclosure: There are no conflicts of interest. This article was initially published here. Insider Monkey .

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