2 Monster Energy Stocks to Hold for the Next 10 Years

Size is a competitive advantage in the energy industry, where larger assets and balance sheets can provide stability, greater borrowing flexibility, and help spread operating expenses. Over time, investors have seen industry titans continue to grow, often by acquiring smaller competitors.

Two prime examples are NextEra Energy (NEE 0.28%) and Chevron (CVX 0.31%). The former recently announced a blockbuster deal that will transform its outlook, while the latter is looking forward after finalizing a deal last summer that will help it boost cash flow for years to come.

Here are the specifics on each, and why both are monster energy stocks worth buying and holding for the next 10 years.

Image source: The Motley Fool.

1. NextEra Energy

Even before this deal, NextEra Energy was already one of the world's largest energy companies. It owns Florida Power & Light Company, a utility serving approximately 12 million people across Florida. It also owns NextEra Energy Resources, an energy infrastructure company that operates power generation and storage assets across natural gas, nuclear, and renewable energy. NextEra Energy is among the world's largest producers of wind and solar power with 28 gigawatts of capacity.

The proposed $67 billion all-stock merger with Dominion Energy would create an energy and utility juggernaut. Dominion generates power from coal, nuclear, natural gas, and renewables. It also operates utilities that provide electric service to 3.6 million customers in Virginia, North Carolina, and South Carolina, and gas service to 500,000 customers in South Carolina. Dominion has a hefty 51 gigawatt backlog of contracted capacity for data centers, too.

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NYSE: NEE

NextEra Energy

Today's Change

(-0.28%) $-0.24

Current Price

$87.01

Key Data Points

Market Cap

$181B

Day's Range

$85.69 - $87.21

52wk Range

$67.20 - $98.75

Volume

25.3M

Avg Vol

10.3M

Gross Margin

36.10%

Dividend Yield

2.67%

If approved, the merger would close in 12 to 18 months. The combined company would operate in 49 U.S. states, bringing utility service to millions of people. It would have a total of 110 gigawatts in operation, with a massive 130-gigawatt large-load project pipeline, at a base rate of $138 billion. NextEra would expect to grow its adjusted earnings per share by at least 9% annually through 2032.

Electricity demand is soaring in the United States. NextEra Energy estimates that incremental demand will rise by 60% by 2045. NextEra Energy was already a strong dividend growth stock, with decades of consistent annual increases that have added up over the years. This merger would cement NextEra Energy as an energy giant rivaling the world's largest oil companies in size.

2. Chevron

Despite the continued emergence of renewable energy over the past few decades, oil and gas aren't going anywhere anytime soon. Chevron is a legend in the oil and gas space and an integrated oil major that operates across multiple segments, including exploration, refining, and retail. The oil and gas industry can be volatile at times, but Chevron has proven it can endure the ups and downs with over four decades of uninterrupted dividend growth.

Chevron recently navigated its own merger drama. It had agreed to acquire Hess Corporation in late 2023. Unfortunately, the deal didn't close until last summer due to a legal dispute with ExxonMobil, which ended with an arbitrator allowing the merger to proceed. With the deal now closed, Chevron has acquired Hess' stake in the Stabroek Block off the coast of Guyana, one of the most important oil discoveries in modern history.

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NYSE: CVX

Chevron

Today's Change

(-0.31%) $-0.57

Current Price

$182.46

Key Data Points

Market Cap

$363B

Day's Range

$180.40 - $182.97

52wk Range

$136.43 - $214.71

Volume

13.9M

Avg Vol

12.3M

Gross Margin

15.15%

Dividend Yield

3.83%

The company now boasts a strong upstream portfolio, with oil and gas assets in the Permian Basin, Kazakhstan, Australia, Argentina, and the Stabroek Block. Management believes that Chevron will grow production by 2% to 3% annually, with earnings and cash flow averaging 10% annualized growth through 2030. Chevron also believes that it can support its famous dividend and planned capital expenditures as long as oil prices average at least $50 per barrel.

Due to the war in Iran that has sent energy prices through the roof, Chevron stock has already been a big winner this year. Shares are up by 25% so far in 2026. Yet, Chevron still yields 3.7% at its current price. The stock's current P/E ratio of 12 is a valuation investors can buy into, based on management's growth expectations for the coming years. Things can change quickly in this business, especially if the war ends and energy prices drop. If that happens, investors can confidently buy the dip thanks to Chevron's proven track record and excellent outlook.