Even with federal EV and solar credits getting squeezed, the storage buildout is still accelerating. EV sales climbed about 35% year over year in Q1 2025, and more than a fifth of global auto sales are now electric. At the grid level, the EIA projects another record year for new utility scale capacity after last year’s 30% jump. Whether you approach this sector through EV batteries, grid infrastructure, backup power or commercial storage, the trend is firmly up.
On the big end of the spectrum, Panasonic continues to be a global force with more than $5B in battery-related revenue last fiscal year, supplying everything from EVs to grid storage. BYD remains the world’s top EV manufacturer and one of the largest battery producers, integrating most of its supply chain internally. Albemarle stays central to battery metals, delivering lithium products from mines on several continents. And for investors wanting something steadier, NextEra Energy is one of the largest wind and solar operators in the world, heavily dependent on storage to balance its generation portfolio. Bloom Energy brings solid oxide fuel cell systems to hospitals and commercial facilities, while Enphase remains a major player in rooftop solar and home energy storage. ABB still stands as the backbone provider for modern electrification and industrial power systems.
In the higher beta small-cap bucket, several names sit much closer to the edge of the grid transition. NXXT is one of the most interesting, shifting from fuel operations into microgrids with its first 28-year PPA in California covering 409 kW of solar and 300 kW of battery capacity. STEM focuses on AI-driven storage and virtual power plants, while EnerSys delivers industrial batteries and long-duration backup systems for critical sites. Fluence operates large-scale battery and control platforms across global grids. These companies do not move like utilities – each project can materially change their trajectory.
The large caps define where the sector is headed. The smaller ones feel each shift more intensely. Not financial advice.