Google Just Went Nuclear in Georgia. These 2 Industrial Stocks Get Paid to Build It.

Alphabet's (NASDAQ: GOOG) (NASDAQ: GOOGL) Google recently struck a deal with The Southern Company's (NYSE: SO) Georgia Power to boost its capacity at two nuclear plants. Google will finance "uprates" (upgrades for a reactor's power output) at Georgia Power's Vogtle and Hatch nuclear plants to add 96 MW of new capacity to its electric grid.

Those upgrades will support the construction of new data centers, while Google's funding will shield Georgia Power's residential and industrial customers from those expenses. That's a win-win for both companies, and two other industrial stocks that could benefit from the deal are GE Vernova (NYSE: GEV) and Brookfield Renewable Corporation (NYSE: BEPC).

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GE Vernova

GE Vernova, the former energy division of General Electric (NYSE: GE), was spun off as a stand-alone company in 2024. Its Power business, which accounted for 55% of its orders last year, produces gas turbines for combined-cycle plants and steam turbines for coal, gas, and nuclear plants. It also provides services for nuclear power plants. Its Electrification business, which accounted for another 33% of its orders, upgrades electrical grids. Both of these businesses have benefited from the rapid construction of power-hungry data centers.

GE Vernova, through its nuclear business and nuclear joint venture with Hitachi, has a massive presence at Georgia Power's Hatch plant. The plant's Unit 1 and Unit 2 sites both use GE's Mark I Boiling Water Reactors (BWRs), and it still relies on GE Vernova's reactor services, engineering support, and nuclear fuel advancements.

Therefore, any major upgrades at Hatch will likely rely on GE Vernova's equipment and services, thereby boosting the Power segment's orders. The plant's increased electricity transmission to the grid could also generate tailwinds for its Electrification business.

The growth of those two businesses should offset the slower growth of its Wind business, which grappled with operational, macroeconomic, and demand-related challenges in recent years. GE Vernova's backlog already grew 37% year over year to $176.3 billion in its latest quarter, and it should grow even bigger as the cloud and AI markets continue to expand.

Brookfield Renewable Corporation

Brookfield Renewable builds hydroelectric dams, wind farms, solar power plants, and other green energy projects, with a total operational capacity of 47.3 GW. On its own, Brookfield might not seem to have that much exposure to Google's deal with Georgia Power.

But three years ago, a consortium led by Brookfield Renewable (along with its institutional affiliates) and the uranium miner Cameco (NYSE: CCJ) acquired Westinghouse Electric Company, one of the world's leading nuclear technology companies. Brookfield and its affiliates took a 51% stake in the company, while Cameco controlled the remaining 49%.

Westinghouse built the pressurized water reactors (PWRs) used across all four units at Georgia Power's Vogtle plant, and it still provides the utility with specialized engineering services, regulatory compliance support, and proprietary nuclear fuel assemblies. Therefore, any major upgrades at Vogtle should generate tailwinds for Westinghouse and boost Brookfield's earnings.

But investors shouldn't jump to conclusions

GE Vernova and Westinghouse could benefit from Google's deal with Georgia Power, but investors shouldn't count their eggs before they hatch. Georgia's state regulators still need to approve the massive deal amid swelling protests against AI and data centers, and it will take at least a few years to uprate both plants.

Instead of assuming Google's deal with Georgia Power will drive more investors toward GE Vernova or Brookfield Renewable, investors should just view the deal as another positive sign for the AI power market. That's why Meta struck a similar deal with Constellation Energy last year. We'll likely see more of these deals as the AI market's breakneck expansion drives demand for nuclear power beyond its available supply.

Leo Sun has positions in Brookfield Renewable and Meta Platforms. The Motley Fool has positions in and recommends Alphabet, Cameco, Constellation Energy, GE Aerospace, GE Vernova, and Meta Platforms. The Motley Fool recommends Brookfield Renewable and Hitachi. The Motley Fool has a disclosure policy.