3 AI Infrastructure Stocks Backed By Data Center And Power Demand

AI infrastructure stocks sit at the crossroads of real world demand and the huge computing power that modern models require. While growth and inflation signals are mixed across major economies, capital spending on data centers, power and connectivity continues to be a key focus for many businesses and governments. This screener looks for the "picks and shovels" of AI, companies that turn that demand into revenue and cash flow. In this article you will see 3 stocks from the AI Infrastructure Stocks screener, with clear context on why each one might deserve a closer look.

Digital Realty Trust (DLR)

Overview: Digital Realty Trust is a global data center operator that rents out highly connected, secure facilities where companies host their servers, store data and link into major cloud and network providers, supporting workloads such as AI, cloud computing and enterprise IT across more than 300 sites worldwide.

Operations: Digital Realty Trust generates about US$6.8b in revenue entirely from its commercial real estate investment trust activities focused on data centers.

Market Cap: US$74.99b

Digital Realty Trust sits at the heart of the AI infrastructure story, with a record US$1.9b leasing backlog, raised 2026 revenue guidance and a growing footprint in power rich locations like Northern Virginia and Kansas City that are important for energy hungry AI and cloud workloads. At the same time, profitability has come under pressure, with net margins down to 11.2%, low ROE and high leverage that relies on external borrowing. The stock trades on a high P/E multiple, yet analysts still see upside based on AI focused capacity expansion and recurring FFO, supported by a long term shift to colocation and interconnection. Understanding how these growth drivers stack up against debt, supply risk and premium pricing is where the real edge lies for investors considering Digital Realty Trust.

Digital Realty Trust’s AI fueled leasing backlog and premium P/E raise a big question about how much is already priced in. Get the full picture in the 3 key rewards and 2 important warning signs (1 is major!)

Forgent Power Solutions (FPS)

Overview: Forgent Power Solutions builds and services the electrical gear that keeps AI data centers, the power grid and heavy industrial facilities running, from transfer switches and transformers to power distribution units and modular "eHouse" systems, along with maintenance and retrofit support.

Operations: Forgent Power Solutions generates about US$1.2b in revenue from designing, manufacturing and servicing its power distribution products, all currently coming from North America.

Market Cap: US$10.93b

Forgent Power Solutions taps directly into the build out of AI data centers and grid upgrades, with high quality earnings and forecasts that point to fast growing revenue and earnings. Analysts see strong potential based on a near US$2b backlog and record bookings that support revenue visibility, even though net margins are still thin at 1.4% and interest costs are not yet well covered. The stock screens as deeply undervalued against a forward cash flow estimate, yet carries higher financial and governance risk because it relies fully on external borrowing and has a young board and management team. For investors willing to weigh these trade offs, Forgent Power Solutions offers a very different kind of AI infrastructure exposure compared with larger incumbents.

Forgent Power Solutions sits on a near US$2b backlog and thin 1.4% margins, which could be either a springboard or a warning sign. See how that trade off really looks in the 4 key rewards and 2 important warning signs (1 is major!)

Vertiv Holdings Co (VRT)

Overview: Vertiv Holdings Co designs and services the power, cooling and equipment that keep high density data centers running, supplying the racks, thermal systems and infrastructure that AI, cloud computing, e commerce and online services rely on worldwide.

Operations: Vertiv generates about US$7.0b of revenue in the Americas, US$2.3b in Europe, the Middle East and Africa, and US$2.4b in Asia Pacific, partly offset by US$973.8m of intersegment sales.

Market Cap: US$111.53b

Vertiv is notable in AI infrastructure because it sells the power and liquid cooling systems that high wattage GPU racks need, backed by a US$15b backlog and strong free cash flow. The company works closely with NVIDIA on next generation cooling and has been expanding capacity and services through acquisitions such as PurgeRite. Profitability and return on equity are both in a high range. At the same time, Vertiv relies heavily on external borrowing and a concentrated group of hyperscale customers, and the stock trades on a rich P/E multiple that leaves little room for disappointment. That mix of fast growing opportunity, tight customer relationships and valuation risk is what investors need to weigh before considering how Vertiv fits in their AI infrastructure approach.

Vertiv is benefiting from significant AI infrastructure demand, yet a rich P/E and reliance on big hyperscale customers leave key questions open. See how the analyst forecasts for Vertiv Holdings Co lines up against those pressure points.

The three AI infrastructure stocks in this article are just a starting point, and the full screen on Simply Wall St highlights 53 more companies with equally compelling stories across the AI Infrastructure Stocks screener. Identify the setups that fit your own conviction by using Simply Wall St to filter for the specific catalysts and narratives that matter most, from backlog strength and cash conversion to balance sheet resilience.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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