Recently, I have been observing investment opportunities in energy stocks for 2026 and have noticed that market narratives have completely changed. No longer is it about subsidy races and capacity battles of the past few years; the current focus has shifted to AI power demand, grid upgrades, and technological iterations—these are the true structural opportunities.

Let me start with an astonishing data point: global data center electricity consumption skyrocketed from 460 TWh in 2022 to 1,050 TWh in 2026, with AI-related parts contributing over half. The power consumption of training a large AI model is equivalent to the annual electricity usage of tens of thousands of households. What does this mean? Traditional intermittent energy sources cannot meet the 24/7 stable power supply needs of data centers, making nuclear energy and grid upgrades instant necessities.

Microsoft, Amazon, and Google are all heavily investing in nuclear energy in 2025-2026. Microsoft has signed a fusion agreement with Helion, and Amazon plans to deploy 12 small modular nuclear reactors. This is not an environmental issue but a competition for AI infrastructure.

But there is a point many people overlook: power generation is easy, but transmission is difficult. The global power grid is severely aging, with delivery times for high-voltage transformers and switchgear reaching 2-3 years, and supply shortages are expected to continue until at least 2027. This is the real "selling shovels" opportunity.

Of course, the long-term goal of green energy transformation remains unchanged. The IEA predicts that renewable energy will account for nearly 50% of global electricity by 2030. After experiencing overcapacity, solar and wind are now in a phase of cost reduction and demand recovery. Geothermal concept stocks are also gaining attention in this energy diversification wave, although their share is still small, their long-term potential as a 24/7 stable power source should not be underestimated.

Here in Taiwan, several stocks are worth watching. Delta Electronics (2308) is a leader in power electronics, with high-power-density AI servers boosting orders, expected to continue growth into 2026, and automotive electronics accelerating. Walsin Electric (1519) is a long-term partner of Taipower, benefiting from the NT$564.5 billion grid upgrade plan, and is also a leader in the nationwide charging station market. United Renewable Energy (3576) and Yuan Jing (6443) each have strengths in solar energy, with stable gross margins and dividends. Swancor (4733) has wind turbine blade material backlog exceeding NT$10 billion, making it one of the most stable growth stocks in traditional new energy.

In the US stock market, Constellation Energy (CEG) is the largest nuclear operator in the US. In 2025, it signed a 20-year contract with Microsoft to restart Three Mile Island, and its data center projects will expand significantly in 2026, with EPS growing 15-20% annually. Oklo (OKLO), supported by Sam Altman, develops micro nuclear reactors, and in 2026, it is leading in NRC approval progress. Amazon and Equinix are in negotiations, with explosive potential.

Eaton (ETN) and GE Vernova (GEV) are core stocks under grid bottlenecks. Eaton focuses on grid intelligence and power management, while GEV is GE’s spin-off for grid and power generation businesses, with record-high order backlogs. NextEra Energy (NEE) remains the defensive core of traditional green energy, leading globally in wind and solar capacity, with stable and continuously growing dividends.

For investment strategies, it is recommended that AI power stocks constitute 50-60% of the portfolio (high growth, high volatility), traditional energy stocks 30-40% (stable defense), and the remaining 10% in cash or bonds as a buffer. Since renewable energy stocks are volatile, avoid chasing highs; instead, look for short-term dips within the long-term upward trend as opportunities to add. Key leading indicators to monitor include AI capital expenditure, grid investment scale, order backlog, and technological iteration progress.

The renewable energy cycle is long, but every downturn is a starting point for a long-term bull run. Against the backdrop of the AI era and the global net-zero transition, 2026 to 2030 will be the most valuable structural opportunity window. This is not about hype but about investing in order certainty and rigid demand.