Companies most exposed to potential US data-center curbs after blue sweep
QQQ•States where Democrats could restrict data-center development account for about 45% of planned US capacity, including roughly 25% in Texas. Analysts identified potential risks for data-center developers, power suppliers, chipmakers and cloud companies, while saying hyperscalers and some utilities could be more resilient.
1. Developers and power suppliers
Cipher Digital, MARA Holdings, SEI and Galaxy Digital have notable exposure to Texas data-center projects, Morgan Stanley said. J.P. Morgan expects Vistra, NRG Energy, Constellation Energy and Talen Energy could face pressure from project delays, while Morgan Stanley identified gas engine manufacturer Innio as particularly exposed to Texas and slower bookings.
2. Chip and cloud risks
UBS analysts estimate pauses could slow data-center construction into 2028, with about 30% of expected 2028 additions at risk. Oracle and CoreWeave could be affected by construction delays or moratoriums, Baird Equity Research said. Morgan Stanley expects underperformance across the power equipment group but sees limited impact on GE Vernova because of its diversified customer base and regional exposure.
3. Potentially resilient companies
Amazon, Microsoft and Alphabet could prove resilient because of diversified exposure and greater resources. Analysts said slower construction could ease cash-flow concerns for larger companies and raise the value of capacity they already own or lease. Applied Digital and TeraWulf have less Texas exposure, Morgan Stanley said, while investors could shift toward utilities including Ameren, Consolidated Edison and Duke Energy.
