You Won't Want to Miss This Once-in-a-Generation AI-Powered Opportunity

Core Insights - Brookfield Renewable is positioned as a significant beneficiary of the increasing demand for power driven by artificial intelligence (AI) applications [1][7][18] Group 1: Demand Growth - The demand for renewable energy is expected to accelerate significantly, particularly as technology companies commit to powering their data centers with renewable sources [8][14] - Data centers currently consume 1% to 2% of global electricity, with projections indicating this could rise to 3%-4% by 2030 due to the high power requirements of AI applications [14] Group 2: Strategic Opportunities - Brookfield has a substantial development pipeline exceeding 155 GW across various stages, bolstered by in-house capabilities and acquisitions, including a majority interest in Neoen [5][10] - A landmark agreement with Microsoft to deliver 10.5 GW of renewable capacity from 2026 to 2030 highlights Brookfield's ability to secure large contracts, significantly larger than previous agreements [15] Group 3: Growth Potential - The company anticipates growing its cash flow per share at over 10% annually through 2028, supporting a long-term dividend growth target of 5% to 9% [17] - Brookfield's current operating capacity is around 33 GW, with plans to build an additional 7 GW of new renewable energy generation capacity annually through 2030 [10][18] Group 4: Market Position - Despite the robust growth potential, Brookfield's stock is currently over 30% below its three-year high, presenting a compelling long-term investment opportunity [12] - The expected surge in power demand from AI is likely to enhance Brookfield's dividend income and earnings growth profile [18]