On the surface, Vistra (VST -5.16%) sounds like a boring utility stock. Indeed, in some ways it is: The Texas-based company sells electricity to homes and businesses in the U.S. It might keep the lights on, but “thrilling growth stock” is probably not the first phrase that comes to mind.
And yet, if you bought Vistra stock five years ago and held on through the years, you’ve definitely seen at least the energy side of the company’s portfolio light up.
Image source: Getty Images.
Five years ago, Vistra was trading for about $17 a share. Today it trades at $142 a pop. Over five years, that’s a roughly 663% gain. If you had invested $10,000 in Vistra five years ago, your investment would be worth over $76,350 today.
Here’s an interesting tidbit: Over the past five years, Vistra has nearly kept pace with Nvidia (NVDA -3.36%), which has gained aboyt 854% over the last half decade.
Data by YCharts.
Of course, that last fact isn’t a pure coincidence. AI data centers need both chips and power, and Vistra has benefited from at least the latter. What’s more, data centers are expected to need tremendous amounts of power in the future. That demand has remade boring ol’ Vistra into something that looks like an exciting growth stock.
Granted, the next five years of Vistra probably won’t deliver another ninefold gain. And yet for investors who believe electricity demand will keep climbing, this power giant could be worth adding to a diversified portfolio.