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- [Stock Idea] AI Needs More Power...
Welcome to the VIP edition newsletter from ALPHA, our Stock Deep Dive!
We're committed to delivering top-notch financial insights, expert analysis and research, and market updates to help you make informed investment decisions.
In this edition, you’ll read an in-depth analysis of a great stock we’ve been watching: 👇
Stock Deep Dive: Siemens Energy (SMNEY-US ADRS, $87B MCAP)
We need more power—and fast.
Capital expenditures at megacap tech companies surged 58% in 2024, and the momentum isn’t slowing. After the most recent earnings season, Wall Street sharply revised its full-year 2025 estimates upward—from +50% YoY growth to +72% YoY growth—and 2026 still looks underestimated. Even as expectations climb, the investment wave keeps outpacing forecasts.
What’s driving this? The massive buildout of data centers required to fuel the AI revolution.
But that raises a critical question: what is powering the data centers themselves?
While the U.S. is accelerating permitting around nuclear energy, nuclear plants require huge upfront capital and years to develop. In the meantime, operators need a faster, more flexible solution. Increasingly, they’re turning to natural gas.
More specifically, gas turbines—the workhorses bridging today’s power gap.
Which is exactly what Siemens Energy manufactures. And importantly, they hold the largest market share in this space.
Even though the stock has already enjoyed a historic run, I believe there’s still more upside ahead.
So let’s dive in.
Why now? 👉 The Data Center Moment
Overview 👉 What Does Siemens Energy Do?
How Do They Win? 👉 Value Proposition
How Do They Make Money? 👉 Revenue Streams
Business Segments 👉 Divisional Breakdown
By The Numbers 👉 Key Metrics
Risks 👉 Potential Pitfalls
