In the new Security of Supply Report of the Federal Network Agency states that Germany needs many new gas-fired power plants very quickly so that the lights do not go out.

A total of 71 new large gas-fired power plants will be needed in the next ten years. Previously, the security of supply reports stated that around 40 power plants were needed. Now the new German government has apparently recalculated and come to the conclusion that an additional 35.5 gigawatts are needed to be on the safe side. As a gas-fired power plant of the larger type can supply around 500 megawatts, more is now needed.

A single one of these power plants costs between 600 and 800 million euros. So in total, we are talking about 50 billion euros. When it comes to such investment sums, it also becomes interesting for investors, as companies have to build the new power plants and connect others to the grid.

In the gas turbine business in particular, there are not so many players at the forefront. One of them is the German stock market star Siemens Energy $ENR (-2,17 %). Together with its competitors GE Vernova
$GEV (-2,13 %) and Mitsubishi Power
$7011 (+1,02 %) the Germans share around two thirds of the global market for gas turbines.

The power plants also have to be operated and there are not many companies vying for the job. The main reason for this is that gas-fired power plants are only supposed to step in when there is not enough renewable energy available. With state support/subsidies, this will still be a good business for energy companies such as RWE $RWE (+0,73 %) , EnBW
$EBK (-0,43 %) and E.on $EOAN (+0,56 %).

Source text (excerpt): Welt, 05.09.25 | Graphic: Wikipedia

$GEV (-2,13 %) #Holidaychallenge

Been there today as a "small" shareholder:

Who recognizes where?

GEVernova Inc (NYSE:GEV), a manufacturer of energy equipment, has suffered from concerns about the sustainability of its investments in AI and semiconductors, as well as the sustainability of the energy needs of its AI supply chain.

GEVernova has outperformed market expectations since its spin-off from General Electric in April 2024. As a global leader in the gas turbine market, the company is expected to benefit from increasing energy demand, decarbonization and grid modernization.

The experienced management team has successfully implemented its goals and positioned the company for a multi-year turnaround through organizational simplification, focused product offerings and cost reduction measures.

$META (-2,33 %)

Hello folks,

AI is not just a pipe dream, AI is a reality.

And the DeepSeek narrative from a year ago has also disappeared.

I hope you are well invested in the shovel manufacturers who are building the infrastructure for the big 7. And supply them with electricity.

Meta secures nuclear power for data centers

$CEG (+1,46 %)
$VST (-0,3 %)

https://www.tagesschau.de/wirtschaft/energie/meta-atomstrom-100.html

$TLNE

Talen Energy - Power producer signs long-term contract with Amazon Web Services.

https://aktienmagazin.de/blog/analystenempfehlungen/talen-energy-stromproduzent-schliest-langfristigen-vertrag-mit-amazon--152080.html

$EQT (+0,06 %)

EQT becomes energy supplier of the next AI era - Pennsylvania relies on gas instead of wind or solar.

$GEV (-2,13 %)

GE Vernova is supplying seven @Simpson Homer City with seven high-performance turbines, while Kiewit Power is responsible for construction. This infrastructure lays the foundation for Pennsylvania to serve as a reliable supply location for hyperscalers and AI providers.

https://aktienmagazin.de/nachrichten/hot-news/eqt-wird-energielieferant-der-nachsten-ki-ara-pennsylvania-setzt-auf-g-149150.html

HOCHTIEF subsidiary builds mega data center for Meta in the USA

$HOT (+3,48 %)

https://www.hochtief.de/aktuelles-medien/pressemitteilungen/pressemitteilung/hochtief-tochter-baut-in-den-usa-mega-rechenzentrum-fuer-meta

data centers

$NVDA (-0,8 %)

NVIDIA Corp ('US67066G1040')

A dominant player: Hardly any AI data center runs without Nvidia

$TLNE

Talen Energy Corp ('US87422Q1094')

Talen Energy - Power producer signs long-term contract with Amazon Web Services.

$APLD (-0,44 %)

Applied Digital Corp ('US0381692070')

Applied Digital: AI data centers as growth driver

$LITE (-3,83 %)

Lumentum Holdings Inc ('US55024U1097')

Lumentum Holdings is a beneficiary of demand for data center infrastructure

$BTDR (+9,45 %)

Bitdeer Technologies Group ('KYG114481008')

Bitdeer grows rapidly: hashrate doubled, but losses still rise significantly

$ALAB

Astera Labs Inc ('US04626A1034')

Astera Labs goes from insider tip to profit rocket! The AI connectivity star conquers billion-dollar markets!

$IFX (-0,83 %)

Infineon Technologies AG ('DE0006231004')

Infineon convinces with green technology in a difficult environment

$TTR1 (+6,6 %)

technotrans SE ('DE000A0XYGA7')

Technotrans: Ice cold back on the road to success

$HOT (+3,48 %)

Hochtief AG ('DE0006070006')

Hochtief - Infrastructure investments worth billions are growth drivers.

$FLEX (-3,58 %)

Flex Ltd ('SG9999000020')

Flex: Contract manufacturer with power - Data center boom drives share to new heights.

$ORCL (-1,41 %)

Oracle Corp ('US68389X1054')

DEPOT BRIEFING: Meta Platforms (META;i) to build giga data center. Investments in AI infrastructure remain high.

$PRIM (-1,68 %)

Primoris Services Corp ('US74164F1030')

DEPOT BRIEFING: Meta Platforms (META;i) to build giga data center. Investments in AI infrastructure remain high.

$VST (-0,3 %)

Vistra Energy Corp ('US92840M1027')

DEPOT BRIEFING: Meta Platforms (META;i) to build giga data center. Investments in AI infrastructure remain high.

$EQT (+0,06 %)

EQT Corp ('US26884L1098')

EQT becomes energy provider of the next AI era - Pennsylvania turns to gas instead of wind or solar

$AMZN (-1,27 %)

Amazon.com Inc ('US0231351067')

Strategy on multiple fronts! Amazon cools GPUs, invests in Anthropic and fills shopping carts during Prime Days!

$STX (-0,29 %)

Seagate Technology Holdings PLC ('IE00BKVD2N49')

Seagate - Irish to significantly improve margins and sales again in H2 with new technology.

$ECL (+1,09 %)

Ecolab Inc ('US2788651006')

With 3D TRASAR Technology against water waste: How Ecolab is making data centers smarter.

$AAOI (-0,42 %)

Applied Optoelectronics Inc ('US03823U1025')

Applied Optoelectronics reports production milestone and growth in the data center sector

$IESC (-1,21 %)

Data centers as growth engine: IES Holdings continues to grow strongly and shines with increasing margins!

$VRT (-0,89 %)

WHERE KI CALCULATES, VERTIV COOLS: LIQUID COOLING SYSTEMS FUEL RECORD RESULTS AND A FORECAST INCREASE FOR 2025!

$EME (-1,19 %)

ENERGY INFRASTRUCTURE PROVIDER EMCOR BENEFITS FROM US INFRASTRUCTURE PROGRAM AND DATA CENTER MAINTENANCE

$FIX (-1,44 %)

COMFORT SYSTEMS BENEFITS FROM THE CONSTRUCTION OF NEW DATA CENTERS AND CHIP FACTORIES - EARNINGS RECORD IN THE SEASONALLY WEAKEST PERIOD!

In a small town in Louisiana, Mark Zuckerberg is having the largest artificial intelligence data center ever built for Meta on agricultural land. It is the size of 70 soccer pitches and cost 10 billion dollars.

Rayville is a town in north-eastern Louisiana in the USA that is experiencing a declining population. In the 2020 census, the population was 3347, down almost 21 percent from 4234 in 2000.

However, this is now likely to change. The state regulatory authorities approved a controversial plan to supply power to the largest artificial intelligence data center to date, which is being built by technology company Meta. This clears the way for the construction of three gas-fired power plants. This was reported by the portal "Nola".

The project is being built on a former agricultural area of around 70 soccer pitches. It is expected to cost around 10 billion dollars (approx. 8.6 billion euros). Meta CEO Mark Zuckerberg has announced plans to further expand the area so that it would be comparable to the size of Manhattan. The company is plunging headlong into the high-risk race for supremacy in the emerging AI sector.

"We chose Louisiana as the location for our largest data center to date for a variety of reasons, including excellent infrastructure connectivity, a strong labor base and a reliable power grid," said a Meta spokeswoman.

Criticism of Meta plans

However, the project in Richland Parish has met with criticism due to its enormous energy requirements, among other things. Davante Lewis was the only person to vote against the plan. He said the agreement leaves fundamental questions unanswered that are "too bitter to swallow", "Nola" quotes him as saying.

https://www.focus.de/finanzen/in-ort-mit-3347-einwohnern-entsteht-fuer-10-milliarden-dollar-groesstes-ki-rechenzentrum_e9ff4911-4348-48b8-9903-9038e11fcefa.html

$GEV (-2,13 %)

GEV has performed remarkably well since the beginning of the year, gaining 67.1%, although current valuation metrics suggest that the stock could be trading above its fair value

GE Vernova as one of the top three players in gas, onshore wind and transmission and distribution assets and services. These are sectors that are expected to deliver above-average sales growth until the end of the decade.

Although losses in the offshore business and challenging price-cost dynamics in the onshore and grid divisions have weighed on margins, the company has a path to a significant margin improvement. Strong pricing, volume increases, selective project selection and cost reduction initiatives could drive EBITDA margins into the high tens to low twenties by the end of the decade.

GE Vernova's solid net cash position, which is expected to build further as free cash flow generation expands. This could support future dividend growth and "significant share buyback programs"

In other recent news, GE Vernova reported strong results for the second quarter of 2025, with both revenue and earnings per share (EPS) beating expectations. The company reported EPS of $1.86, which was above the forecast of $1.50 and a positive surprise of 24%. Sales reached $12.4 billion, significantly higher than the expected $8.8 billion. This development is a positive reflection of the company's strategic direction and financial health.

I have been focusing my portfolio for weeks now. So the question arose: what will be the result? Of course, the companies that overlap have to go first. Now the problem arises as to which share is better. With $GEHC (-1,1 %) vs. $SHL (+1,99 %) After much deliberation, I opted for $SHL (+1,99 %) after much deliberation. Now only $GEV (-2,13 %) vs. $ENR (-2,17 %) . Here the decision is just as difficult for me. One is cheaper than the other, the other is fundamentally better and... Both have pros and cons, so I'm wondering if any of you have any ideas.

.

$GEV (-2,13 %)

In an interview with CNBC's Jim Cramer on Wednesday, GE Vernova CEO Scott Strazik said electricity load growth in the U.S. is the largest since the industrial boom that followed the end of World War II. "You have to go back to 1945 and the end of World War II to see the infrastructure build-out that was coming," he said. "We had to expand the power grid, not only for economic growth, but also for national security. For both reasons, we need to do it again now, and that's exactly what we're going to do."

Strazik claimed that over the last 20 to 40 years there have "always been winners and losers" in technological changes to the electricity grid, with some companies trying to replace others. However, he emphasized that this expansion of the power grid, along with new artificial intelligence, will enable the economic growth the U.S. needs.

GE Vernova, General Electric's spin-off into the power sector, released quarterly earnings on Wednesday that beat estimates and sent share prices up just over 3% by the close of trading.

The company also maintained its guidance for the year, despite the potential impact of tariffs on the business. Strazik spoke about GE Vernova's gas division and boasted that the company had sold out gas turbine orders for 2026 and 2027. According to him, gas will play an important role as hyperscalers continue to build out data centers and confirmed that the company has substantial orders in the data center sector. "We have decarbonized the power grid in the U.S. by switching to cold gas, and ultimately gas is the driving factor behind the expansion of wind and solar power," he said. "Without gas, we can't achieve the global renewable energy penetration rate we're aiming for."

GE Vernova ($GEV (-2,13 %) ) recently held its first conference at the 42nd Barclays Industrial Select since the spin-off. The year 2024 served as a foundation to go on the offensive after the spin-off on April 2. The company has a strong balance sheet with over USD 8 billion in cash at the end of the year. This supported the first capital allocation program with a dividend and a share buyback program of USD 6 billion. In addition, the company's long-term profitability was strengthened, as evidenced by a $6 billion increase in backlog margins over previous years.

The individual divisions were then discussed:

Gas: At least 20 gigawatts of new orders per year are expected to be received. In the first quarter, this is expected to be at least 5 gigawatts. There is a healthy demand cycle for services. In North America and the Middle East, the volume has even doubled, which is due to increased investment in the installed gas base.

Wind: The end market remains weak and low order intake for new onshore wind turbines is expected in the short term. However, there are opportunities in repowering and some international markets may offset the weakness in North America. There is progress in the maintenance of the installed wind turbine base. The number of crews and cranes for maintenance has more than doubled compared to the previous year. In addition, the quality of the rotor blades is being improved by subjecting every rotor blade coming out of the factory to a crawler inspection with visual inspections and AI.

Electrification: The fastest growing segment, which has increased its order backlog from USD 6 billion to USD 20 billion in the last two years. Annual backlog growth in 2025 is expected to be similar to the average of 2023 and 2024. Significant growth can be achieved through lean methods and more efficient factory management. For example, an enclosure plant in Pennsylvania will increase its sales by almost 1 billion US dollars from 2024 to 2026, with an investment of only 20 million US dollars. The company is sticking to the forecast it made in December and is looking ahead to 2025 and beyond with confidence.

Less than 5% of material purchases come from China, Mexico and Canada and are imported into the US. The company is building its capabilities to manage its supply chain through a period of volatility. Currently, there is mid-range load growth, at least in the US, from data centers. Of the orders in 2024, 25 were for HA gas turbines (high-efficiency baseload gas turbines), 20 were for F-class gas turbines (choice for peaking applications) and about 45 were for aeroderivative units. The need for F-class and derivatives is due to the more vulnerable system caused by intermittent energy sources. The company sees this as just the beginning and expects further growth from its customer base.

GE Vernova has set itself medium to high margin targets in the low double-digit range for the Power and Electrification segments for 2028. The company is confident of increasing its margins over time.

The company also currently has $8 billion of cash on hand. The company will conduct a share buyback of USD 6 billion over several years. Organic growth is a priority, but acquisitions to increase the resilience of the supply chain are being considered.

Semiconductor stocks and electricity shares are falling today because of the Deepseek panic. This panic is probably exaggerated. We'll talk about it in tonight's podcast. So be sure to subscribe to the podcast: https://open.spotify.com/show/3SHlvxmpYWkpiWnykajNPa

Semiconductors:

-12% Broadcom $AVGO (-0,51 %)

-12% TSMC $2330
$TSM (+1,22 %)

-11% Nvidia $NVDA (-0,8 %)

-11% BE Semiconductor $SMH (-0,58 %)

-11% ARM Holdings $ARM (+0,31 %)

-11% ASML $ASML (-0,29 %)

-9% Dell $DELL
$DELL (-4,59 %)

-9% Micron $MU (+2,16 %)

-6% AMD $AMD (-3,56 %)

-5% KLA $KLAC (-2,65 %)

Power stocks:

-20% Siemens Energy $ENR (-2,17 %)

-15% Bloom Energy $BE (+1,55 %)

-14% GE Vernova $GEV (-2,13 %)

-13% Vistra $VST (-0,3 %)

-11% Schneider Electric $SCHNEIDER

#deepseek
#openai
#ai
#ki
#china
#podcast
#spotify
$SPOT (-3,82 %)
#semiconductor
#halbleiter