Power demand is turning into one of the market’s most interesting long-term themes. Investors should look for companies that either generate more electricity, help utilities manage strained grids, or own infrastructure that becomes more valuable as demand climbs. The sweet spot is a business with visible growth projects, useful assets, and a clear role in keeping the lights on when homes, factories, data centres, and electrification all pull more from the same system. So let’s look at a few to consider on the TSX today.
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CPX
Capital Power (TSX:CPX) looks like one of the clearest plays on that trend. It owns power generation assets across Canada and the United States, with a mix that includes natural gas, wind, solar, and flexible generation. When power demand rises, grids don’t just need more supply, but reliable supply at the right time. Over the last year, Capital Power kept leaning into that opportunity. It reached commercial operation at Halkirk 2 Wind, raised equity to support U.S. expansion, and issued $2.3 billion of senior unsecured notes to strengthen its funding base.
For 2025, Capital Power generated adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) of $1.6 billion, up from $1.3 billion in 2024, while adjusted funds from operations rose to $1.1 billion from $824 million. Adjusted funds from operations (AFFO) per share climbed to $7.08 from $6.38, and management highlighted a 12th straight year of dividend growth.
At the same time, its 2025 investor day laid out a plan for 8% to 10% annual AFFO per-share growth and a 50% cumulative increase in U.S. capacity by 2030. The stock’s trailing dividend yield sits around 4%, making Capital Power look like a solid buy built for a higher-demand world.
GRID
Tantalus Systems Holding (TSX:GRID) is much smaller, but that is part of the appeal. Instead of generating power, it helps utilities modernize distribution grids with smart grid technology, connected devices, and software. If more electricity flows through ageing systems, utilities need better visibility, better data, and better tools. In February it completed a $23 million bought deal financing, and in March it extended its ERT licence agreement with Itron, giving utilities another bridge as they upgrade legacy infrastructure.
Its latest results showed real traction. Tantalus reported record 2025 revenue of US$54.1 million, up 22% year over year, alongside record adjusted EBITDA and sales orders. Q4 revenue reached US$20.5 million, Q4 adjusted EBITDA came in at US$1.3 million, and Q4 net income was US$179,000.
This is still a small-cap growth stock, so valuation is richer than what investors get with mature utilities. It shows a price-to-sales ratio around 4.2. That means the risk is higher and the shares could stay volatile. Still, for investors who want a smaller company tied directly to smarter, more capable grids, it has a lot of interesting upside.
NPI
Northland Power (TSX:NPI) brings a different angle. It owns renewable generation, natural gas facilities, storage, and utility assets, so it offers a broader platform for rising demand. Over the last year, NPI stock advanced its Baltic Power and Hai Long offshore wind projects, added late-stage battery storage projects in Poland, and sharpened its long-term strategy. Management now targets doubling gross operating capacity to 7 GW by 2030.
The latest earnings were mixed but still useful. Full-year 2025 revenue from energy sales rose to $2.43 billion from $2.35 billion, while fourth-quarter adjusted EBITDA increased to $390 million from $312 million. Fourth-quarter results also got a lift from higher market demand for dispatchable power at natural gas facilities and contributions from the Oneida energy storage facility. Full-year net income flipped to a loss because of a large non-cash impairment, so this is not a perfect story.
Even so, NPI stock guided for 2026 adjusted EBITDA of $1.45 billion to $1.65 billion, and the stock offers a forward dividend yield a little above 3%. That mix of current income and long-term project growth keeps it in the conversation.
Bottom line
If power demand keeps climbing, investors do not need to guess wildly. These are very different stocks, but each gives investors a sensible way to tap into one theme that still looks like it has plenty of room to run.
