Morgan Stanley's Top Fund Manager Says This Utility Stock Could Win Big From AI Demands
Portfolio Pulse from Benzinga Neuro
Morgan Stanley's top fund manager, Aaron Dunn, has identified CMS Energy Corporation (NYSE:CMS) and Emerson Electric (NYSE:EMR) as stocks that could benefit from the increasing power demands of AI. Dunn highlighted the utility sector's potential, especially focusing on renewable energy, which aligns with the green energy initiatives of major cloud computing players. The growing electricity needs of AI servers and data centers, consuming significant amounts of power, underscore the importance of sustainable energy solutions in the tech and energy sectors.

April 01, 2024 | 3:27 am
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CMS Energy Corporation, highlighted by Morgan Stanley for its focus on renewable energy, could see a positive impact due to the increasing power demands of AI.
CMS Energy's emphasis on renewable energy solutions positions it well to meet the growing power demands of AI and cloud computing, potentially leading to increased investor interest and stock price appreciation.
CONFIDENCE 85
IMPORTANCE 80
RELEVANCE 90
POSITIVE IMPACT
Emerson Electric, mentioned by Morgan Stanley, could benefit from AI's power demands, with a favorable outlook for earnings growth.
Given Emerson Electric's involvement in the utility sector and potential for earnings growth, the increasing power requirements of AI could drive demand for its services and products, positively impacting its stock.
CONFIDENCE 80
IMPORTANCE 75
RELEVANCE 80