30 Best and Worst Data Center Stocks

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21. Parker-Hannifin Corporation (NYSE:PH)

Upside Potential: 16%

Number of hedge funds: 62

Parker-Hannifin Corporation (NYSE:PH) specializes in manufacturing motion and control technologies and systems. While the company has significant exposure to Aerospace & Defense and other Industrial markets, interconnected technologies for data centers remain a key growth focus. The company has specialized departments for data center cooling applications (liquid cooling systems), providing deep thermal management expertise, engineering capabilities, and experience to deliver customized solutions. Their products, such as fittings, quick couplings, and hoses, are designed to withstand the most demanding data center environments, ensuring enduring reliability and uptime. Parker-Hannifin Corporation (NYSE:PH) actively participates in the Open Compute Project (OCP), a community-driven organization dedicated to standardizing the design and performance of hardware for data centers, from small to hyper-scale.

Parker-Hannifin Corporation’s (NYSE:PH) Chairman and CEO, Jenny Parmentier, has expressed optimism about the growth driven by digitalization and AI, which are increasing the need for semiconductor fabs and data centers. In the latest quarterly earnings call, she attributed growth to the substantial investments flowing into data centers. She believes that mega capex projects, industrial capex investments, and demand associated with semiconductor fabs and data centers will continue to drive long-term growth for the company.

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