• EN

    • -+ 0.00%
    -+ 0.00%
    -+ 0.00%

    Why Solaris Energy Infrastructure (SEI) Is Up 6.9% After Major AI Data Center Power Deal And What's Next

    Simply Wall St·02/16/2026 16:26:14
    Listen to the news
    • On February 12, 2026, Solaris Power Solutions, an indirect subsidiary of Solaris Energy Infrastructure, signed a Master Equipment Rental Agreement with Hatchbo to supply more than 500 megawatts of power generation equipment for AI data centers starting January 1, 2027, under a 10-year initial term with extension and early-termination provisions.
    • A parent-company guaranty covering at least half of the future rental fees and a framework to convert the rental into a long-term power purchase agreement point to a potentially more durable, contracted revenue base tied directly to the growing power needs of AI computing.
    • Next, we’ll examine how this large AI data center power contract and its credit protections reshape Solaris Energy Infrastructure’s investment narrative.

    The latest GPUs need a type of rare earth metal called Neodymium and there are only 30 companies in the world exploring or producing it. Find the list for free.

    Solaris Energy Infrastructure Investment Narrative Recap

    To own Solaris Energy Infrastructure, you need to be comfortable with a high-growth, high-volatility story centered on modular power for data centers and energy customers. The Hatchbo AI data center contract meaningfully strengthens the near term catalyst of building a more contracted, power-as-a-service revenue base, but it also sharpens today’s biggest risk: execution on a very capital intensive buildout that depends on timely equipment deliveries and disciplined project returns.

    Among recent developments, Voya Financial’s disclosure of a 5.2% stake in Solaris stands out beside the Hatchbo deal. While Voya’s interest does not change the fundamentals, it highlights that some institutional investors are willing to underwrite Solaris’ growth plan despite its high valuation and elevated short interest, adding another angle to how the new AI data center agreement could influence sentiment around contract visibility and balance sheet risk.

    But against this attractive AI growth story, investors should also be aware of how concentrated dependence on a few large contracts could...

    Read the full narrative on Solaris Energy Infrastructure (it's free!)

    Solaris Energy Infrastructure's narrative projects $949.9 million revenue and $128.9 million earnings by 2028.

    Uncover how Solaris Energy Infrastructure's forecasts yield a $65.50 fair value, a 16% upside to its current price.

    Exploring Other Perspectives

    SEI 1-Year Stock Price Chart
    SEI 1-Year Stock Price Chart

    Some of the lowest price target analysts saw a tougher road for Solaris, even before this Hatchbo deal, expecting revenue of about US$1.0 billion and earnings near US$97.8 million by 2028, and highlighting how customer concentration and gas turbine reliance could still cap the upside.

    Explore 7 other fair value estimates on Solaris Energy Infrastructure - why the stock might be worth less than half the current price!

    Build Your Own Solaris Energy Infrastructure Narrative

    Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

    Curious About Other Options?

    The market won't wait. These fast-moving stocks are hot now. Grab the list before they run:

    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.