3 Construction Picks Set for More Gains in 2H on AI-Data Center Boom

AI-powered data centers have become the largest booming industry now. The space remains rock solid supported by an extremely bullish demand scenario. The demand for AI-driven data center capacity jumped significantly to manage and store the vast amount of cloud computing-based data.

Here, we have narrowed our search to three construction companies likely to benefit immensely from the AI-powered data center frenzy. Their strong second-quarter 2026 earnings and guidance, along with a favorable Zacks Rank, indicate more price upside in the near term. 

These stocks are: Comfort Systems USA Inc. FIX, MasTec Inc. MTZ, EMCOR Group Inc. EME. Each of our picks currently carries either a Zacks Rank #1 (Strong Buy) or 2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The chart below shows the price performance of our three picks year to date.

Image Source: Zacks Investment Research

Comfort Systems USA Inc.

Zacks Rank #1 Comfort Systems operates primarily in the commercial and industrial heating, ventilation and air conditioning (HVAC) markets. The data center boom, driven by AI, cloud computing, and high-performance computing, is fueling demand for specialized HVAC solutions from FIX. 

Cooling systems for these facilities should deliver precise and reliable performance, prompting investments in advanced technologies such as liquid cooling and modular units. This segment is becoming a significant growth driver for FIX, offering high-margin growth and attracting M&A activity. HVAC firms with capabilities in precision cooling and energy-efficient infrastructure are well-positioned to capture share in this fast-expanding niche. 

Strong Outlook 

Comfort Systems highlighted continued strength in data center construction, while industrial customers remained the primary growth engine. Management expects faster same-store growth for 2026 and additional modular capacity by late summer 2027.

Backlog as of June 30, 2026, totaled $14.06 billion, increasing 12.9% from $12.45 billion at March 31, 2026, and jumping 73.2% from $8.12 billion reported a year ago. On a same-store basis, backlog climbed to $13.70 billion from $8.12 billion in the year-ago period. FIX guided 2026 same-store revenue growth in the mid- to high-30% range, alongside capital spending of about 5% of revenue.

Solid Estimate Revisions

For 2026, the Zacks Consensus Estimate currently shows revenues of $12.43 billion, suggesting an improvement of 36.6% year over year and earnings per share of $45.48, indicating an increase of 57.5% year over year. The Zacks Consensus Estimate for the current year has improved 5.5% in the last seven days.

For 2027, the Zacks Consensus Estimate currently shows revenues of $14.90 billion, suggesting an improvement of 19.9% year over year and earnings per share of $57.27, indicating an increase of 25.9% year over year. The Zacks Consensus Estimate for the current year has improved 5% in the last seven days.

Robust Price Upside Potential

The short-term average price target of brokerage firms represents an increase of 23.7% from the last closing price of $1,729.69. The brokerage target price is currently in the range of $1,910-$2,400. This indicates a maximum upside of 38.8% and no downside. 

MasTec Inc.

Zacks Rank #1 MasTec is benefiting from rising investment across grid modernization, renewable generation, communications networks and AI-driven data center infrastructure. The power-hungry AI age, electrification, and the reshoring of critical manufacturing such as semiconductors are all happening at the same time. 

The AI hyperscalers and the U.S. government are fully committed to winning the AI race and reshoring key manufacturing (semiconductors, rare earths, etc.) to dominate the rest of the century and beyond from an economic and technological standpoint. MTZ is helping build this future that requires the massive expansion of U.S. energy generation, the grid, communication infrastructure, and more of the physical economy.

MTZ is building up its portfolio to position itself as a long-term winner in the broader AI-boosted infrastructure spending spree in the United States and North America that will be measured in decades and cost trillions of dollars.

Strong Outlook 

MasTec’s entire portfolio is growing directly alongside the converging infrastructure spending megatrend. As of June 30, 2026, backlog reached a record $21.4 billion, up 30% year over year and 5% sequentially. Management raised full-year 2026 guidance to revenues of $18.2 billion, adjusted EBITDA of $1.6 billion, and EPS of $9.30, representing 27%, 39%, and 42% year-over-year growth, respectively.

Solid Estimate Revisions

For 2026, the Zacks Consensus Estimate currently shows revenues of $18.43 billion, suggesting an improvement of 28.9% year over year and earnings per share of $9.58, indicating an increase of 46.3% year over year. The Zacks Consensus Estimate for the current year has improved 6.3% in the last 30 days.

For 2027, the Zacks Consensus Estimate currently shows revenues of $22.26 billion, suggesting an improvement of 20.8% year over year and earnings per share of $14.55, indicating an increase of 51.9% year over year. The Zacks Consensus Estimate for the current year has improved 11.5% in the last 30 days.

Enormous Price Upside Potential

The short-term average price target of brokerage firms represents an increase of 91.4% from the last closing price of $263.10. The brokerage target price is currently in the range of $340-$581. This indicates a maximum upside of 120.8% and no downside.

EMCOR Group Inc.

Zacks Rank #2 EMCOR Group is a leading provider of critical infrastructure to AI-powered data centers. Major offerings of EME are electrical infrastructure, mechanical and cooling systems and fire protection and safety. 

EME is gaining solid traction in the fast-growing AI-data center construction market, which has become an important contributor to its expanding remaining performance obligations (RPOs). EME is actively building on its expertise to manage complex AI-powered data center projects that involve diverse customer needs. 

Strong Outlook

As of June 30, 2026, EMCOR Group’s RPOs were $17.14 billion, up 43.9% year over year, with roughly 75% to 76% expected to convert to revenues over the next 12 months. Management raised its 2026 revenue guidance to $20-20.5 billion, up from the previous guidance of $18.5-$19.25 billion. Full-year 2026 EPS has been raised to $32-33.25, up from the previous outlook of $28.25-$29.75. Full-year 2026 operating margin is now estimated between 9.5% and 9.8%. 

Solid Estimate Revisions

For 2026, the Zacks Consensus Estimate currently shows revenues of $18.87 billion, suggesting an improvement of 11.1% year over year and earnings per share of $29.37, indicating an increase of 13,5% year over year. The Zacks Consensus Estimate for the current year has improved 1.3% in the last 60 days.

For 2027, the Zacks Consensus Estimate currently shows revenues of $20.50 billion, suggesting an improvement of 8.6% year over year and earnings per share of $32.94, indicating an increase of 12.2% year over year. The Zacks Consensus Estimate for the current year has improved 0.3% in the last 30 days.

Excellent Price Upside Potential

The short-term average price target of brokerage firms represents an increase of 18.1% from the last closing price of $797.43. The brokerage target price is currently in the range of $750-$1,123. This indicates a maximum upside of 40.8% and no downside.

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This article originally published on Zacks Investment Research (zacks.com).

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