3 Indian Nuclear Energy Stocks Powering Data Center And Grid Demand

Inflation worries, shifting rate expectations and energy price swings are keeping markets on edge. At the same time, they are pushing investors to look more closely at nuclear energy stocks. The Nuclear Energy Stocks screener focuses on companies across uranium production, enrichment and reactor operations that are tied to reliable and low carbon power. This theme sits at the crossroads of energy security, inflation sensitive input costs and long term power demand. In this article you will see three stocks from the screener that help show how different parts of the nuclear energy value chain fit into today’s market story.

Kirloskar Oil Engines (NSEI:KIRLOSENG)

Overview: Kirloskar Oil Engines is a Pune based manufacturer of diesel engines, gensets, pumps and related equipment that supplies backup and prime power solutions for sectors such as infrastructure, data centers, telecom, manufacturing, agriculture and defense in India and abroad.

Operations: Kirloskar Oil Engines generates most of its revenue from its B2B segment at ₹56.9b, with smaller contributions from B2C at ₹11.4b and Financial Services at ₹8.8b. The bulk of revenue comes from India at ₹68.0b, compared with ₹9.0b from exports.

Market Cap: ₹318.4b

Kirloskar Oil Engines gives you direct exposure to the rising need for reliable backup power in India as cities grow, data centers expand and grid reliability stays uneven. The recent 192 MW HyperNext data center order and healthy earnings in FY2025-26 suggest that its higher capacity gensets and services are gaining traction, while analysts see room for further earnings growth. At the same time, you need to weigh real pressure points such as reliance on diesel technology, margin strain in parts of the B2C business and capital tied up in areas that are not yet pulling their weight. If you want to understand how these moving pieces balance out for Kirloskar Oil Engines in the nuclear and critical power theme, there is more to unpack in the detailed work behind this summary.

Kirloskar Oil Engines operates at the intersection of critical power, data centers and nuclear adjacent infrastructure. However, the real story lies beneath the headline orders. Get the full context in the analysis report for Kirloskar Oil Engines

Larsen & Toubro (BSE:500510)

Overview: Larsen & Toubro is a Mumbai based engineering and construction group that delivers large infrastructure, energy and industrial projects, along with higher tech manufacturing for sectors such as nuclear energy, defense, green hydrogen and aerospace in India and overseas.

Operations: Larsen & Toubro generates most of its revenue from Infrastructure & Utilities at ₹1,348.6b, Energy - Conventional at ₹566.8b and Technology, Platforms & Services at ₹565.6b, with smaller contributions from Manufacturing & Products at ₹148.6b, Financial Services at ₹189.2b and Development Projects at ₹49.7b.

Market Cap: ₹5,418.3b

Larsen & Toubro sits at the heart of large scale infrastructure, energy and nuclear adjacent spending, with a record order book, growing exposure to green energy, data centers and AI infrastructure, and recent earnings reports that show higher revenue and net income through FY2026. At the same time, you need to factor in its heavy dependence on government and Middle East projects, pressure on project margins, a high reliance on external borrowing and the execution risk that comes with hundreds of thousands of site workers. If you want to see how these strengths and pressure points balance out for Larsen & Toubro within the Nuclear Energy Stocks screener story, the detailed analysis goes much further than this snapshot.

Larsen & Toubro’s expanding order book in infrastructure, energy and nuclear related projects looks powerful, yet the real story lies in how those projects are priced and executed. Get the full picture in the 2 key rewards and 1 important warning sign

Bharat Heavy Electricals (BSE:500103)

Overview: Bharat Heavy Electricals is a New Delhi based engineering group that designs and manufactures power plant equipment and industrial systems across coal, gas, hydro and nuclear power, as well as rail, transmission, defence, aerospace, e-mobility and energy storage in India and overseas.

Operations: Bharat Heavy Electricals generates most of its revenue from Power at ₹274.3b, with a smaller but meaningful contribution from Industry at ₹85.7b.

Market Cap: ₹1,417.7b

Bharat Heavy Electricals appears in the Nuclear Energy Stocks screener because it operates at the center of large power and industrial build outs while also participating in newer areas like green hydrogen through its tie up with thyssenkrupp nucera. Earnings growth was very large over the past year and recent quarterly results shifted from a loss to profit. At the same time, the stock trades on a rich P/E multiple with a target price below the current share price, so expectations are already high. Combined with a young board with no independent directors and reliance on external funding, this creates a mix of quality signals and governance questions that can make deeper analysis especially important for investors focused on nuclear and grid infrastructure themes.

Bharat Heavy Electricals’ sharp earnings swing and rich P/E suggest something bigger is unfolding around its power and nuclear projects. See how the valuation, board structure and funding mix fit together in the analysis report for Bharat Heavy Electricals

The three stocks covered here are only a starting point, with the full Nuclear Energy Stocks screener surfacing 20 more companies that carry equally compelling nuclear energy and power grid narratives through the Nuclear Energy Stocks screener. Use Simply Wall St to identify and analyze the specific catalysts, risk flags and business narratives that matter most so you can focus on the highest conviction ideas in this theme.

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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.

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