Why These 15 Energy Stocks Are up the Most So Far in 2025

6. Hallador Energy Co (NASDAQ:HNRG)

Number of Hedge Fund Holders In Q4 2024: 24

Hallador Energy Co (NASDAQ:HNRG) is a vertically integrated independent power producer that operates the Merom Generating Station and also produces coal through its Sunrise Coal subsidiary.

The most significant driver behind the stock’s sharp rise in 2025 is its strategic transformation from a coal producer to a power producer. It signed a non-binding term sheet with a leading global data center developer in late 2024.

This deal, if finalized, would lock in the sale of most of Hallador’s power generation at premium margins for more than a decade, and the exclusivity period for finalizing the agreement lasts through early June 2025. The data center partner has already committed up to $5 million during this period, signaling strong intent and confidence in the transaction.

Another major catalyst was Hallador’s report of robust Q4 and full-year 2024 financials, with Q4 operating cash flow jumping to $32.5 million and adjusted EBITDA nearly tripling year-over-year to $6.2 million. The company also reduced its bank debt by more than half, finishing 2024 with $44 million in debt, and secured a $60 million prepaid power purchase agreement that further improved its balance sheet.

The consensus price target of $16 implies 10.4% upside.

HNRG stock is up 26.38% year-to-date.