Entergy and NiSource May Benefit as Utilities Invest $1 Trillion in AI, But Dividend Investors Might Not
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 09 2026
0mins
Source: Barron's
Investment in AI Energy Demand: Utilities are projected to invest over $1 trillion to accommodate the growing energy demands of artificial intelligence technologies.
Impact on Earnings Growth: This significant investment is expected to drive earnings growth for utility companies.
Mixed Blessing for Dividend Investors: While the investment may enhance profitability, it presents a complex situation for dividend investors.
Future of Utility Sector: The shift towards AI energy demand could reshape the utility sector's financial landscape and investment strategies.
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Analyst Views on NI
Wall Street analysts forecast NI stock price to rise
8 Analyst Rating
7 Buy
1 Hold
0 Sell
Strong Buy
Current: 47.030
Low
41.88
Averages
47.24
High
50.00
Current: 47.030
Low
41.88
Averages
47.24
High
50.00
About NI
NiSource Inc. is an energy holding company. The Company operates through two segments: Columbia Operations and NIPSCO Operations. Columbia Operations segment, through its wholly owned subsidiary NiSource Gas Distribution Group, Inc, provides natural gas to approximately 2.4 million residential, commercial and industrial customers in Ohio, Pennsylvania, Virginia, Kentucky, and Maryland. It operates approximately 37,200 miles of distribution main pipeline plus the associated individual customer service lines and 330 miles of transmission main pipeline. NIPSCO Operations segment NIPSCO Operations includes NIPSCO Holdings I and its subsidiaries, including NIPSCO, which has fully regulated gas and electric operations in northern Indiana. The Company has six renewable generation facilities in service: Rosewater, Indiana Crossroads Wind, Indiana Crossroads Solar, Dunns Bridge I Solar, Cavalry Solar and Storage and Dunns Bridge II Solar and Storage.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Optimistic Future Outlook: Management reaffirmed the 2026 adjusted EPS guidance of $2.02 to $2.07, with expectations that data center projects will drive an 8% to 9% compound annual growth rate, indicating strong confidence in future growth.
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