Rising demand from data centers is strengthening NRG Energy’s outlook in Texas and supporting higher profit expectations for 2026, according to a report by Vardah Gill for Finviz. As artificial intelligence and cloud computing continue to expand, data centers are emerging as a major driver of electricity consumption, particularly in Texas, where NRG has a significant footprint.
NRG recently said it expects its standalone core profit in 2026 to exceed its updated 2025 forecast. The company now projects 2026 core profit in the range of $3.93 billion to $4.18 billion, compared with revised 2025 guidance of $3.88 billion to $4.03 billion. The increase is primarily attributed to stronger power demand, much of it tied to data center growth.
The company also secured a $562 million low-interest loan from the Texas Public Utility Commission to help finance construction of the 689-megawatt Cedar Bayou power plant. Financing for the project began in September 2025 and will run through 2028. At the same time, NRG has continued expanding its data center-related business, signing two new long-term retail power agreements totaling 150 MW at PJM market sites. Altogether, NRG now has 445 MW of data center-related contracts across the ERCOT and PJM markets, with new facilities expected to come online between 2028 and 2032.
NRG is also returning capital to shareholders. Its board approved a $3 billion share buyback program through 2028 and authorized an 8% dividend increase to $1.90 per share, consistent with the company’s long-term growth targets. Management reaffirmed its current-year earnings outlook of $7.55 to $8.15 per share.
In Texas specifically, performance continues to accelerate. Adjusted core profit from NRG’s Texas operations rose 38% year over year to $807 million, underscoring how data center-driven electricity demand is reshaping the state’s energy market.
Source: Finviz
Author: Vardah Gill
Original story: https://finviz.com/news/266493/data-center-growth-lifts-nrgs-texas-outlook-and-2026-profit-targets