247Wallstยท2025-10-27 13:43Core Insights - The demand for electricity from data centers is expected to drive significant growth in global electricity usage for decades, with data centers consuming an estimated 415 terawatt-hours of electricity in 2024, accounting for about 1.5% of global electricity consumption [4][5]. Utility Stocks - The S&P 500 utilities sector has gained nearly 16% from its low in mid-February, outperforming the S&P 500, indicating a strong performance in the utility sector amidst market fluctuations [7]. - High-yielding utility stocks are identified as potential beneficiaries of the increasing electricity demand from data centers, providing stable and dependable passive income [6][5]. Company Profiles - Canadian Utilities Ltd. (CDUAF): Operates in electricity, natural gas, renewables, and pipelines with assets of $22 billion and a dividend yield of 4.60% [8]. - Dominion Energy Inc. (NYSE: D): An integrated energy utility with a strong dividend yield of 4.34%, well-positioned geographically to serve data centers [10]. - Duke Energy Corp. (NYSE: DUK): Located near major data centers, this company offers a solid dividend yield of 3.28% and operates extensive electric and gas distribution networks [14][16]. - Entergy Corp. (NYSE: ETR): Engaged in electric power production and retail distribution, with a dividend yield of 2.48% and serving approximately 3 million customers [19][20]. - Exelon Corp. (NYSE: EXC): The largest electric parent company in the U.S. by revenue, offering a dependable dividend yield of 3.29% and engaged in energy distribution and transmission [21].