12 Best Utility Stocks to Buy According to Hedge Funds

7. Duke Energy Corporation (NYSE:DUK)

Number of Hedge Fund Holders: 46

Duke Energy Corporation (NYSE:DUK), headquartered in Charlotte, North Carolina, is one of the largest energy holding companies in the United States. The company serves over 8.2 million customers across the Carolinas, Florida, Indiana, Ohio, and Kentucky, Duke Energy Corporation (NYSE:DUK) generates power from a diverse energy mix, including nuclear, coal, natural gas, and renewables.

Duke Energy Corporation (NYSE:DUK) is investing heavily in grid hardening and modernization. In 2023 alone, the company invested more than $4 billion in grid enhancements, including targeted undergrounding, pole upgrades, and the deployment of self-healing technology. These investments have not only improved the resilience of the grid but also helped avoid nearly 550,000 customer outages and saved 7 million hours of outage time during recent hurricanes. Looking ahead, Duke Energy Corporation (NYSE:DUK) plans to continue these critical infrastructure investments, with grid investments accounting for half of its $73 billion capital plan over the next five years.

Duke Energy Corporation (NYSE:DUK) is also driving growth through robust economic development and customer additions. The company has seen significant customer growth, adding approximately 75,000 residential customers in the Carolinas and nearly 30,000 in Florida in the first 9 months of 2024. This growth is supported by strong economic development activity, including the signing of letter agreements for 2 gigawatts of data centers.