10 Stocks That Will Benefit From AI

7. Vistra Corp. (NYSE:VST)

Number of Hedge Fund Holders In Q3 2024: 97

Vistra Corp. (NYSE:VST) is one of the top-performing stocks of 2024 as its shares are up by a whopping 305% year-to-date. It is a Texas-based utility, and as you might have guessed, the firm has wide exposure to the nuclear industry. Vistra Corp. (NYSE:VST) also benefits from being an unregulated utility which enables it to self-set rate of returns on its power generation projects. The stock has risen in 2024 after the firm’s decision to bring a nuclear business fully under its fold sent the shares soaring by 25%. Vistra Corp. (NYSE:VST) also scored another win this year when regulators approved its request to extend the operational life of a nuclear power plant. For full-year 2024,  the firm aims to earn between $5 billion to $5.2 in operating income and $2.65 billion to $2.85 billion in free cash flow. Along with deals with data center firms for clean energy and the regulatory environment for future projects, these also play an important role in Vistra Corp. (NYSE:VST)’s story.

Meridian Funds mentioned Vistra Corp. (NYSE:VST) in its Q3 2024 investor letter. Here is what the fund said:

“Vistra Corp. (NYSE:VST) is an integrated retail electricity and power generation company, primarily serving Texas and the Midwest. We own Vistra because we expect power markets to continue tightening as baseload supply declines, coupled with rising demand from data centers, electric vehicles, and manufacturing reshoring. These factors create a favorable pricing environment for Vistra’s generation fleet, especially its nuclear and gas assets. The stock performed well during the period for three key reasons: tightening energy markets and strengthened pricing in forward-year energy contracts, the continuation of Vistra’s aggressive share repurchase program, and the company’s announced plan to acquire the remaining interest in Vistra Vision at an attractive valuation. Additionally, the company reaffirmed its 2024 guidance, indicating that results are trending toward the upper end of the previously projected range. We took advantage of the stock’s strength this quarter to trim our position.”