The Top Geothermal Energy Stocks for Retail Investors

Jason Williams

Posted June 28, 2024

Dear Reader,

Today, I sat down to write an article about the top 10 geothermal energy stocks on the markets. But the thing is that there are barely 10 geothermal energy stocks at all. And of those, only a few deserve a top spot on your watch list or in your portfolio. So instead of throwing out some stocks I’m not so sure about, I’m just going to give you the top geothermal energy stocks as I see them. And I won’t shoot for any particular number just to make a good headline…

top geothermal energy stocks

But before I get into the list, I should explain what’s got me so interested in this market in the first place… As you probably already know, I’m willing to look just about anywhere for profits. I’ll even take a look at things that seem crazy at the time, like psychedelics or electric cars. So when I heard about advances in geothermal energy technology, I decided to learn what all the buzz was about…

Why You Need the Top Geothermal Energy Stocks

And what I found out completely changed my opinion about this long-used yet seldom praised form of energy generation. You see, up until this point, geothermal energy was something you could use only if you were directly over a geothermal hot spot. That limited the areas where it was possible. Further limiting its spread, those hot spots had to be very close to the surface so you could access them. Because it was a small industry, products weren’t manufactured at scale and were prohibitively expensive. Plus, after several years of cycling geothermal fluid in and out of the hot spot, eventually it would evaporate and the power source would be gone.

top geothermal energy stocks old

That’s why geothermal never really spread. It’s also why I wasn’t really interested in finding the top geothermal energy stocks. But then I started to study the advances being made in the industry. And I was amazed. You see, some very smart engineers decided to take a different approach. They were thinking outside of the box and looking outside of their industry. And they realized that the solution researchers had been seeking for decades was right in front of them, in the oil industry…

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The Top Geothermal Energy Stocks “Frack” Heat

They started studying the fracking industry. And they looked at things like horizontal drilling and multi-pad drill sites. And they realized that those same technologies that disrupted the oil and gas industry could be exploited to disrupt and innovate the geothermal energy market as well. No longer did you have to be directly on top of the heat source. You could drill into it from afar. And no longer did that source have to be near the surface. You could drill deep and across now. But the final piece of the puzzle came from the engineers’ own research…

They implemented these techniques from the oil industry and combined them with a “closed-loop” system. So, while the oil and gas technology let them access deep hot spots over a vast distance, the closed loop prevented any geothermal fluid from ever evaporating away. That means the hot spots will remain hot until the Earth’s molten core cools, which isn’t expected to happen until after the sun burns out. So, in essence, they’ve created a limitless source of energy that will outlast our own sun and could power the entire world!

top geothermal energy stocks new

So now you should have a better understanding of what’s got me so excited about geothermal energy. And you should also understand why you should be looking for the top geothermal energy stocks, too. So let’s talk a little bit about those stocks, shall we?

The Top Geothermal Energy Stocks: Expert Drillers

This first stock is likely going to strike you as a little odd because the company has always focused only on the oil markets. But it’s that expertise that gives it such major potential as a top geothermal energy stock. You see, Baker Hughes Company (NASDAQ: BKR) is one of the world’s leading oil field services companies. And what that means is that it helps supply and construct the equipment essential for extracting oil from a field. We’re talking about wells and drilling rigs, helping with asset assessment, even production.

top geothermal energy stocks bkr

And that know-how makes Baker Hughes perfectly positioned to help advance and spread this innovative new geothermal technology. So, while it’s not strictly a “pure play” on geothermal energy, it’s likely to see a pretty nice bit of profit flowing from that market as it develops. And that makes Baker Hughes a top geothermal energy stock in my book.

The Top Geothermal Energy Stocks: Buffett’s Big Bet

Next up is the company I alluded to when I sent this out to our members in an email: “Warren Buffett’s Secret Bet.” You see, unbeknownst to most people, the Oracle of Omaha has a huge stake in the geothermal energy market. He’s not just betting on oil. He’s diversifying into industries that can use his oil expertise AND his billions in backing. And one of the Berkshire Hathaway (NYSE: BRK-B) subsidiaries with the most potential is Berkshire Hathaway Energy. And it’s that segment’s positioning that makes Berkshire’s Class B (or Class A) shares one of the top geothermal energy stocks…

top geothermal energy stocks brk

Berkshire Hathaway Energy is where Buffett makes his boldest bets on the future of the energy markets. Proud owner of over 11 well-diversified investments in energy from solar fields to oil fields, Berkshire Energy has a spoon in almost every pot that generates energy around the world. So it should be no surprise that it’s also been investing in the geothermal energy market. It’s still a small piece of the puzzle. But with the might and wealth of the parent company backing its investments, Berkshire could easily turn out to be one of the top geothermal energy stocks as the industry develops.

The Top Geothermal Energy Stocks: The Lynchpin

Finally, we’re at the top of my list of the top geothermal energy stocks. And I say it’s the top because I’ve saved the best for last. You see, Baker Hughes knows drilling and pipelines. And Berkshire Energy knows power and distribution. But they’re both banking on the technology that another company pioneered and advanced on its own. And that’s the company taking the No. 1 spot on any list of the top geothermal energy stocks. Because it’s the lynchpin of the whole market. Geothermal energy can now expand to power more than ever thought possible thanks to the technological solution this company developed…

top geothermal energy stocks fg

The horizontal drilling that makes access easier from afar… The deep wells that allow access to previously inaccessible geothermal hot spots… The closed-loop system that doesn’t allow for any wasted energy… That all came from one company and its brilliant research and development team. Now that company is poised to dominate what could become the largest segment of the global energy market.

In fact, I’m so convinced that this is the best of the top geothermal energy stocks, I recently detailed the opportunity it presents for the members of my investment community, Future Giants. And I’d like to share that report with you here today.

Take a few more minutes of your time to check it out and see why this company is both the lynchpin of the geothermal energy market and the top geothermal energy stock investors can buy.

To your wealth,

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Jason Williams

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After graduating Cum Laude in finance and economics, Jason designed and analyzed complex projects for the U.S. Army. He made the jump to the private sector as an investment banking analyst at Morgan Stanley, where he eventually led his own team responsible for billions of dollars in daily trading. Jason left Wall Street to found his own investment office and now shares the strategies he used and the network he built with you. Jason is the founder of Main Street Ventures, a pre-IPO investment newsletter; the founder of Future Giants, a nano cap investing service; and authors The Wealth Advisory income stock newsletter. He is also the managing editor of Wealth Daily. To learn more about Jason, click here.

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