Felix Prehn, the founder of Goat Academy, is known for sharing clear and practical investment ideas. In 2025, he highlights a major trend that many investors are watching: the rapid growth of data centers and the rising demand for energy, especially from nuclear power.
The Data Center Boom
Data centers are large buildings filled with computers that store and process information for companies and the internet. In 2020, companies spent $71 billion on data centers. By 2025, this number is expected to reach $348 billion, and it could be almost $500 billion in two years. This huge growth means more computers and more energy use.
Why Energy Matters
Modern computer chips, like those made by NVIDIA, use a lot of electricity. As technology improves, new chips will need even more power. For example, the next generation of chips could use up to 1,000 kilowatts, which is a lot more than today’s models. This means the world will need more energy, and reliable sources are important.
The Nuclear Energy Opportunity
Felix Prehn explains that, just like during the California gold rush when people who sold shovels made the most money, today’s “shovel sellers” are companies that provide the energy needed for data centers. Nuclear energy is becoming a key player because it can produce a lot of electricity without pollution.
Some of the top companies in this field include:
- Cameco (CCJ): The largest private uranium producer. Uranium is the fuel used in nuclear power plants. Cameco has seen strong growth and is considered a leader in the sector.
- GE Vernova: This company focuses on small nuclear reactors, which are easier to build and manage. They have a partnership with Hitachi, a well-known technology company.
- NuScale Power (SMR): NuScale designs small modular reactors. These are new types of nuclear plants that can be built faster and at lower cost.
- MIR and FlowServe: These companies also play important roles in the nuclear and energy sectors.
Understanding Stock Market Trends
Felix Prehn teaches that stock charts are not just lines and numbers. They show where money is moving in the market. For example, when a stock price “bounces” off a certain line, it can mean that many investors are buying at that level. This is called a “bullish event,” which means people expect the price to go up.
Market Warnings and Seasonality
Felix also warns that the stock market can be more risky in August and September. This is because many investors and bankers are on holiday, so there is less money moving in the market. This can make prices move more quickly, both up and down.
Earnings and Valuations
In the stock market, “earnings” means the profits that companies make. When companies report strong earnings, it can push stock prices higher. However, Felix notes that stocks are currently trading at high prices compared to their expected profits. This is called a high “price-to-earnings ratio.” It means investors should be careful and not just buy because prices are rising.
IPOs: What to Watch For
An IPO, or Initial Public Offering, is when a company sells its shares to the public for the first time. Felix explains that some IPOs are good because the company wants to raise money to grow. Others are less attractive because early investors just want to sell their shares. He suggests waiting to see how new stocks perform before buying.
Final Thoughts
Felix Prehn and Goat Academy focus on teaching investors how to spot trends and understand the market. By looking at energy needs, especially in nuclear power, and by reading stock charts, investors can make smarter choices. For more about Felix Prehn and his approach, visit the Felix Prehn Goat Academy About page.