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All claims

Energy and grid capacity binds AI capex: dispatchable additions (~5-8 GW/yr) cannot match demand (NERC +69%/+224GW peak revision) on the 2026-2027 timescale. The constraint is thermodynamic, not capital-allocation (Smil's 50-70yr transition iron law + Jevons), and hyperscaler nuclear PPAs (~1.8 GW by 2030) cover ~2% of self-created demand.

Energyhigh confidencestructural

as of July 31, 2026

What would prove us wrong

PJM clearing < $200/MW-day for 2 consecutive auctions
NERC LTRA peak demand growth < 30%
New-net dispatchable capacity additions close the gap to required pace
Trigger: >40 GW/yr net dispatchable additions sustained

Posture implications

  • accumulateGE Vernova
  • accumulateSiemens Energy
  • accumulateVertiv
  • accumulateVistra
  • accumulateNextEra
  • accumulateConstellation
  • accumulateuranium producers
  • avoidpure-play AI infrastructure without owned generation