The growing demand for power is expected to drive an increased need for natural gas in the future. Nvidia has been a major beneficiary of the AI trend, with its chips in high demand. This has contributed to significant revenue and earnings growth, making Nvidia one of the most valuable companies globally. However, the AI boom is benefiting not only Nvidia but also the natural gas sector. Data centers that support AI applications are power-intensive, which could lead to a surge in power demand. This presents an opportunity for energy stocks, particularly in the natural gas industry. One company that could benefit from the rise in natural gas demand is EQT, the leading gas producer in the Appalachian region. With extensive land holdings in Pennsylvania, Ohio, and West Virginia, EQT can produce gas at a low cost.

The company is well-positioned to supply gas to data centers, thanks to its pipeline access to various data center clusters. EQT expects to generate significant free cash flow in the coming years, which can be used for debt repayment, dividends, and share repurchases, potentially leading to strong returns for investors. Another potential beneficiary of increased power demand is Williams, a natural gas pipeline company. Operating the Transco pipeline along the East Coast, including high-demand areas like Atlanta and Charlotte, Williams could play a vital role in supplying gas to data centers in regions such as Virginia. The company has multiple ongoing projects to expand its pipelines, providing growth opportunities and visibility. Williams expects to grow earnings and its high-yielding dividend by 5% to 7% annually, offering potential for robust returns. Overall, the AI boom is not only benefiting Nvidia but also creating growth potential for the natural gas sector. Companies like EQT and Williams, with their proximity to data center locations, are well-positioned to benefit from increased natural gas demand driven by AI applications. Investors have an opportunity to capitalize on this early stage of growth and potentially earn significant returns.