Jim Cramer says the market’s biggest winners all have one thing in common
CNBC’s Jim Cramer said there are essentially only two sectors in the market these days; data center stocks and everything else.
“Data center, data center, data center,” the “Crazy Money” host said. “You probably wanted to say it enough already… but it went mainstream this quarter.”
S&P 500 It closed at an all-time high on Thursday, supported by a broad group of stocks benefiting from the massive development of artificial intelligence infrastructure. Cramer said this pattern is infallible: Many of the market’s biggest winners are directly or indirectly tied to data centers.
he pointed out Quanta Services as a prime example. The company builds power lines and grid infrastructure, which has become critical as utilities struggle to meet rising electricity demand. Data centers are “giant mouths that need to be fed with endless electricity,” Cramer said, creating opportunities far beyond semiconductors.
Cramer also explained: Eaton And vertiv takes advantage of power management and cooling needs and Carrier Global is seeing a comeback tied to data center cooling. “This quarter could be the beginning of a multi-year move,” Cramer said.
teradyne It rebounded as increased chip production required more testing services. Cramer, chip maker QualcommLong traded in conjunction with the smartphone market, it is entering the data center market with a new entry. new, anonymous customer.
Even industrial names come into play. Caterpillar is seeing strong demand for its turbines, which are increasingly used to power data centres. “I worry they don’t have enough,” Cramer said, noting the strength of demand.
Meanwhile, networking firms Ciena, Arista NetworksAnd Cisco They benefit because data centers need more connections to move large amounts of data.
Even real estate investment trust Iron MountainLong known for its physical document storage, it now rents space to hyperscalers looking for more computing power.
Cramer said the number of winners shows that the data center boom is no longer a narrow technology trade but a full-scale industrial expansion that offers plenty of opportunities for investors.
“What do we see? A mosaic of manufacturing,” he said. “In my opinion, the data center is a windfall for almost every segment of the economy.”
