The Best 3 Industrial Energy Stocks to Buy and Hold for Decades

Industrial companies do many things, but one area with significant demand is power. The world is electrifying and, at the same time, shifting away from dirtier power sources. Economic development, electric vehicles, AI, and data centers are all a part of the equation.

The increasing demand for cleaner electricity is likely to be a multi-decade opportunity. Bloom Energy (NYSE: BE), Brookfield Renewable (NYSE: BEP)(NYSE: BEPC), and NuScale Power (NYSE: SMR) are three ways you can play this vital industrial energy trend.

Bloom Energy is helping fill the utility gap

Bloom Energy makes solid oxide fuel cell systems. The process generates electricity from natural gas, hydrogen, or biogas without combustion. The fuel cells are modular so they can be scaled up as needed simply by adding additional fuel cells. The key is that this fast-growing industrial business makes its fuel cells in a factory and then delivers them to where they are needed.

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Because it can take a long time to secure a grid connection from a utility, Bloom Energy is helping quickly provide power to data centers and other vital infrastructure. And the demand for its fuel cells and services is huge, with the company ending 2025 with a $20 billion backlog. It also reported a 37% increase in revenue, with the top line hitting a record $2 billion. Gross margin increased 160 basis points. And on an adjusted basis, earnings rose from $0.28 per share in 2024 to $0.82 in 2025.

To be fair, investors are aware of the opportunity here. The stock is up over 500% in a year. It is only appropriate for growth investors. However, given the huge backlog, growth doesn't look likely to slow down anytime soon.

Brookfield Renewable Energy is an income opportunity

For investors who need income, Brookfield Renewable will be a solid option. The partnership share class has a yield of 5% while the corporate share class yields 4%. The only difference between the two share classes is the corporate structure; the yield difference is driven by higher demand for the corporate share class. Many institutional investors are barred from owning partnerships, which creates an income opportunity for small investors.

Brookfield Renewable owns a portfolio of solar, wind, hydroelectric, and storage assets spread across North America, South America, Europe, and Asia. But the industrial energy story is that it also owns 50% of Westinghouse, one of the world's largest service providers to the nuclear power industry. It designs, builds, and helps maintain nuclear power plants.

An investment in Brookfield Renewable lets you hit two targets at once, since you get a clean power business and an industrial energy company in one. Notably, the company expects to spend up to $10 billion on growth projects over the next five years, helping to support its goal of 5% to 9% distribution growth.

NuScale Power is a high-risk/high-return play

Sticking with the nuclear power theme, NuScale Power is building a business around small modular nuclear reactors (SMRs). Its reactors will be factory-built and use modern safety technology, helping to reduce the costs of reactors and increase their safety, from construction to operation. SMRs could revolutionize the nuclear power industry.

The problem is that NuScale Power has yet to build and sell its first SMR. It has some sales lined up, but they have not yet been finalized. The stock has been on a roller coaster ride over the past year, up more than 190% at one point but now down over 30%. Clearly, only the most aggressive growth investors should consider NuScale Power. However, if the company's SMR technology gains traction, it could be a major player in the nuclear power industry for decades to come.

Three ways to play the industrial energy niche

Electricity is increasingly important to the world, and you can tap into that demand with companies like Bloom Energy, Brookfield Renewable, and NuScale Power. They'll each appeal to a different type of investor, from dividend lovers to start-up fans. Take some time to learn about each, and you'll likely find one that fits your portfolio.

Reuben Gregg Brewer has positions in Brookfield Renewable Partners. The Motley Fool has positions in and recommends Bloom Energy. The Motley Fool recommends Brookfield Renewable, Brookfield Renewable Partners, and NuScale Power. The Motley Fool has a disclosure policy.