Zacks Thematic Screens lets you dive into 30 dynamic investment themes shaping the future. Whether you’re interested in cutting-edge technology, renewable energy, or healthcare innovations, our themes help you invest in ideas that matter to you.
For those interested in viewing the Thematic lists, please click here >>> Thematic Screens – Zacks Investment Research.
Let’s take a closer look at the ‘Nuclear’ theme and analyze a few stocks that the screen returned, such as Constellation Energy CEG and Vistra VST.
Nuclear Overview
Nuclear energy stands at the cusp of the global push for a low-carbon, greener and more resilient energy future. This investment theme encapsulates companies engaged in uranium mining, nuclear reactor construction and maintenance, and the generation of electricity from nuclear sources, alongside firms providing essential technology and services to the nuclear industry.
As nations seek reliable and consistent power sources amid rising energy demands and geopolitical tensions, nuclear energy offers a unique solution with its near-full capacity operations and zero emissions. Please click here for a direct link to the Zacks Nuclear Thematic Screen.
CEG and Microsoft Team Up
Constellation Energy shares melted higher following news that it’d be restarting a nuclear plant in a deal with mega-cap technology giant Microsoft. Microsoft looks to purchase power from the plant to meet its data center needs, another theme we’ve all become familiar with amid the AI frenzy.
Up nearly 130% YTD, CEG shares have delivered a remarkable performance relative to the S&P 500’s 23% gain. The outlook for its current fiscal year remains constructive, with the $7.95 Zacks Consensus EPS estimate up 21% over the last year and suggesting 59% growth year-over-year.
Image Source: Zacks Investment Research
Vistra Shares Melt Higher
Vistra safely operates a reliable, efficient, power generation fleet of natural gas, nuclear, coal, solar, and battery energy storage facilities. Shares have been scorching hot in 2024, gaining nearly 200% and seeing bullish action following the above-mentioned news surrounding CEG.
Notably, Vistra closed an acquisition of Energy Harbor earlier in 2024, which added more than 4,000 MW of nuclear generation to its portfolio alongside roughly one million retail customers. Further, the company inked two new power purchase agreements with both Amazon and Microsoft, adding to its already favorable stance.
Shares could also attract income-focused investors, with its current 14% five-year annualized dividend growth rate reflective of a shareholder-friendly nature. Below is a chart illustrating the company’s dividends paid on a quarterly basis.
Image Source: Zacks Investment Research
Bottom Line
Thematic investing has emerged as a powerful way for investors to sync their portfolios with emerging trends. A mix of long-term and short-term themes is increasingly dictating which companies lead as economies expand and markets shift.
While stocks in each theme aren’t direct recommendations, they offer a solid starting point. Leverage the Zacks Rank and other metrics to identify the best stocks for your strategy. Each featured stock comes with a Zacks report, giving you the tools to analyze performance and potential.
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Constellation Energy Corporation (CEG) : Free Stock Analysis Report
Vistra Corp. (VST) : Free Stock Analysis Report
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