Missed Out on Nvidia? This AI Energy Stock Might Be the Next Big Winner.

Missed Out on Nvidia? This AI Energy Stock Might Be the Next Big Winner. Courtney Carlsen, The Motley Fool Wed, July 1, 2026 at 5:22 PM GMT+2 3 min read NVDA FLNC Since the release of ChatGPT in November 2022, Nvidia stock has surged by over 1,090%, helping make it one of the most valuable artificial intelligence (AI) stocks around.

Now hyperscalers are facing bottlenecks in power and equipment and are scrambling to secure reliable energy. One company making headlines in recent weeks for its partnership with Nvidia to power next-generation AI factories is Fluence Energy (NASDAQ: FLNC). Could Fluence be the next big AI winner?

Let's dive into the company and its new partnership to find out. Missed Nvidia in 2009? This Rare Signal Is Flashing Again.

 In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia.  For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia.   Continue » Image source: Getty Images.

Fluence's partnership with Nvidia could be a game changer Established in 2018 as a joint venture between Siemens and global independent power producer AES Corp. , Fluence went public in 2021. The company offers modular, utility-scale battery energy storage systems (BESS) for commercial, utility, and industrial customers, along with software optimization tools to stabilize electrical grids.

Because high-density AI computing workflows place highly volatile load demands on power infrastructure, hyperscale data centers are vulnerable to severe voltage drops. On top of this, hyperscalers face multiyear delays in utility interconnections to the power grid. As a result, Fluence's quick-to-deploy, containerized battery system enables data centers to power massive facilities ahead of traditional public transmission line upgrades.

On June 1, Fluence Energy, along with Siemens and nVent Electric , partnered with Nvidia to provide industrial power and electrical architecture to power Nvidia's next-generation AI factories . Fluence's Smartstack architecture will be integrated within Siemens' AI data center reference architecture blueprint for Nvidia's advanced DSX Vera Rubin NVL72 AI factory platform. Fluence's battery system will act as a shock absorber, using software to handle severe load fluctuations and provide supply voltage and frequency ride-through protection for sensitive GPU clusters against disruptions.

Barclays analyst Christine Cho notes this could open up a massive new sales channel for Fluence Energy. The move could rerate Fluence stock, not only for its growth but also for its high-margin, recurring software platform, which could help margins grow long-term. Is Fluence stock right for you?

Story Continues Buying Fluence today carries risks, primarily due to fierce competition from Tesla and other domestic automotive manufacturers repurposing underutilized factory space for utility-scale grid battery storage. Other risks include its cash burn over the years and low gross margin amid heightening competition. That said, Fluence Energy's deal with Nvidia incorporates its technology into the design of new AI factories, and the move could give the stock a much-needed boost after years of negative free cash flow.

Analysts covering the stock think its earnings could improve as soon as 2027, thanks to this new growth avenue. Investors must balance the risks of rising competition with the potential rewards of long-term growth and margin expansion from this partnership with Nvidia. For that reason, the stock is best suited to aggressive investors bullish on the long-term outlook for Fluence's energy solutions business.

Should you buy stock in Fluence Energy right now? Before you buy stock in Fluence Energy, consider this: The Motley Fool  Stock Advisor  analyst team just identified what they believe are the  10 best stocks  for investors to buy now… and Fluence Energy wasn't one of them.  The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years.

Consider when  Netflix  made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation,  you'd have $385,055 ! * Or when  Nvidia  made this list on April 15, 2005...

if you invested $1,000 at the time of our recommendation,  you'd have $1,228,089 ! * That performance is why people listen. With a track record of  beating the S&P 500 by 4x ,  Stock Advisor  offers a distinct advantage.

Don't miss the latest top 10 list, available with  Stock Advisor , and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of July 1, 2026. Courtney Carlsen has positions in Fluence Energy and Nvidia.

The Motley Fool has positions in and recommends Fluence Energy, Nvidia, and Tesla. The Motley Fool recommends Barclays Plc and Siemens Energy Ag. The Motley Fool has a disclosure policy .

Missed Out on Nvidia? This AI Energy Stock Might Be the Next Big Winner.