Four Data Center Stocks Flash Bullish Signs, Outpace Market Recovery

• The four stocks averaged 9% gains this week, significantly outperforming the S&P 500's 3.7% gain and Dow's 3.4% increase
• Comfort Systems USA's backlog has roughly doubled to $12 billion by end of 2025, with tech companies accounting for 45% of revenue as data centers drive demand for HVAC contractors
• All four stocks are at or near technical buy points, though investors should remain cautious given recent market volatility and ongoing Middle East uncertainty

Summary: Four Data Center Stocks Flash Bullish Signs, Outpace Market Recovery

Four data center supplier stocks are demonstrating strong bullish momentum as the broader market rebounds from recent volatility triggered by Middle East tensions. These companies are significantly outperforming major indices, up an average of 9% this week compared to the S&P 500's 3.7% gain and the Dow's 3.4% increase.

Key Companies and Performance:

Comfort Systems USA (FIX) hit an all-time high of $1,601.91 following the U.S.-Iran ceasefire announcement, breaking above its $1,500 entry point established in late February. The company's backlog has surged to approximately $12 billion by end of 2025—roughly double from the start of the year. Tech companies now represent 45% of revenue, driven by HVAC contracting for data centers.

Modine Manufacturing is climbing out of consolidation, pivoting from its traditional auto manufacturing heating/cooling business toward the data center sector.

IES Holdings briefly cleared a cup-base buy point of $537.70 on Thursday, with its Relative Strength line reaching a new high of 96. The company specializes in electrical and tech infrastructure for data centers, including fiber optic cables and generator enclosures.

NPK International is nearing a buy point of $15.14, currently in its seventh week of a cup-with-handle base. The company transitioned from oil and gas matting rentals to utility/power transmission work and recently entered the data center market. NPK holds a Composite Rating of 98.

Market Implications:

The data center boom continues driving demand for specialized industrial services. However, analysts caution investors to remain vigilant given recent market volatility and ongoing Middle East uncertainty.