Power stocks decline as investors await data center deal

Power stocks, particularly Vistra Corp., are declining as investors await a significant data center deal. Vistra's stock fell over 11% this week, following a lack of updates on potential agreements during its earnings call. Last year, Vistra's value tripled due to expectations of increased demand from data centers. However, uncertainty around regulatory approvals and the company's failure to secure a deal has led to growing investor frustration. Talen Energy, another key player, has also seen its stock drop after a strong 2024. Both companies face challenges in finalizing agreements, with analysts expressing concerns about the pace of developments in the power sector related to AI and data centers.