What Is One of the Best Energy Stocks to Hold for the Next 10 Years?

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By Selena Maranjian – Jan 9, 2026 at 4:42AM ESTKey PointsVistra has more pricing power than many utility companies.It's poised to benefit from a surge in energy demand from data centers.We’re bullish on these 10 stocks ›NYSE: VSTVistraMarket Cap$51BToday's Changeangle-down(-2.59%) $4.00Current Price$150.60Price as of January 8, 2026 at 4:00 PM ETIf you're bullish on the growth of artificial intelligence (AI) and data centers to process it, you will likely be bullish on this stock.If you're wondering which energy stock looks especially well positioned to profit over the coming decade, I recommend considering Vistra (VST 2.59%) as a promising stock to hold for many years. It's the largest power producer and seller in the U.S., with nuclear, coal, natural gas, solar, and energy storage assets. It's particularly attractive to many investors because as a nonregulated utility company, it can sell power to both retail and wholesale customers at market rates. Image source: Getty Images. And those market rates are on the rise, as the rapid growth of data centers for artificial intelligence (AI) processing demands a lot of energy. Indeed, Vistra just bought Cogentrix Energy for $4.7 billion in order to address surging demand. Cogentrix brings with it 10 natural gas facilities. ExpandNYSE: VSTVistraToday's Change(-2.59%) $-4.00Current Price$150.60Key Data PointsMarket Cap$51BDay's Range$149.19 - $155.8052wk Range$90.51 - $219.82Volume2.8KAvg Vol4.5MGross Margin38.78%Dividend Yield0.60% Note, though, that I'm suggesting Vistra as a stock to hold over the coming decade. If you don't already own it, I'd think twice before buying, on valuation concerns. Its recent forward-looking price-to-earnings (P/E) ratio of 17, for example, is well above its five-year average of 12. And its recent price-to-sales ratio of 3.3 is way above its five-year average of 1.1. So are you out of luck, if you had your heart set on investing in energy? Of course not. There are plenty of other energy companies with more attractive valuations. But investing in an energy-focused exchange-traded fund (ETF) may be your best bet so that you're not trying to pick just one winner. For that, consider the Vanguard Energy Index ETF (VDE +2.97%).Advertisement This ETF will spread your dollars across 109 stocks, with recent top holdings being ExxonMobil and Chevron. It sports a 3.1% dividend yield, too. If you still really want to own Vistra, though, perhaps just take a small position in it, or buy into it over time with dollar-cost averaging. Or, if you can handle the risk, just buy it, expecting to hang on for many years.Read NextNov 23, 2024 •By Jon QuastThe Top S&P 500 Stock of 2024 (So Far) Isn't Nvidia. Here's Where History Says the Soaring Stock Is Headed in 2025.Nov 5, 2024 •By Lawrence Rothman, CFAWith 2024 Almost Over, These Are the 5 Top-Performing Stocks in the S&P 500About the AuthorSelena Maranjian is a contributing personal finance and investing expert at The Motley Fool. Selena has produced The Motley Fool’s nationally syndicated newspaper feature since 1997. She is the author of The Motley Fool Money Guide and Investment Clubs: How to Start and Run One the Motley Fool Way, and the co-author of The Motley Fool Investment Guide for Teens and several editions of The Motley Fool Investment Tax Guide. Prior to The Motley Fool, she worked as a high school teacher and public opinion analyst. She holds a master’s degree in teaching from Brown University and a master’s degree in finance from the Wharton School of the University of Pennsylvania.TMFSelenaStocks MentionedVistraNYSE: VST$150.60 (0.03%) $4.00Vanguard World Fund - Vanguard Energy ETFNYSEMKT: VDE$130.87 (+0.03%) $+3.77*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.Advertisement
