1. Vertiv Holdings (VRT)
Vertiv (NYSE: VRT) is one of the largest AI data center cooling stocks at a market cap of $99B. Vertiv offers the most comprehensive cooling solutions of all the companies on this list and they are continuing to ramp up production capacity to meet the uptick in data center spending.
- Vertiv reported $3.27 billion in Q2 2026 revenue, up 24% year over year.
- The company now expects approximately $14 billion in 2026 sales, representing roughly 31% growth.
- Adjusted EPS is expected to reach approximately $6.65 to $6.75, representing around 60% growth at the midpoint.
- Vertiv is continuing to increase production capacity as demand from the data center market grows.
The Wall Street X and consensus ratings for VRT are both currently a Strong Buy. Wall Street X’s 2027 price target for Vertiv stock is $365.94 which implies a 42% upside potential, and the average analyst price target for 2027 is $347.80 (a 35% upside).
Vertiv’s biggest advantage is that it isn’t dependent exclusively on cooling. The company also supplies power and other critical infrastructure, allowing it to benefit from multiple parts of the AI data center buildout. The downside is that investors have already largely built this into the price as exemplified by their PE ratio of 52. For this reason, we maintain our Strong Buy rating but offer a medium risk, high reward profile.
2. Modine Manufacturing (MOD)
Modine Manufacturing (NYSE: MOD) offers the most pure-play data center cooling opportunity of these three stocks; in fact, their data center business has become so significant that Modine will now be separating them into their own reporting segment starting in 2027.
- Modine’s fiscal 2026 sales reached $3.2 billion, up 23%, driven heavily by its Climate Solutions business.
- Sales of data center products increased by approximately $468 million during fiscal year 2026.
- Modine recently secured a long-term capacity agreement to supply more than $4 billion of Airedale cooling products to a strategic data center customer from 2027 through 2029.
- Management expects continued strong data center cooling growth during fiscal year 2027.
That $4 billion capacity agreement is particularly important because it gives Modine substantial exposure to future data center construction rather than relying entirely on new orders each quarter.
Wall Street X has rated MOD a Strong Buy which matches the average consensus rating. The 2027 Wall Street X price target for Modine stock is $241.02 which is 27% higher than where it trades today, and the average analyst price target is $308.34 which represents a 63% upside.
However, the main risk with Modine right now is with execution. Modine is rapidly expanding manufacturing capacity, and management has already warned that supplier capacity constraints for certain components have affected production schedules. For this reason, we give Modine stock a high risk, high reward profile.
3. nVent Electric (NVT)
nVent Electric (NYSE: NVT) is a less obvious AI cooling stock, but its rapidly expanding data center business makes it worth watching. NVent provides liquid cooling, power distribution, racks and other infrastructure for high-density AI and high-performance computing environments.
- nVent reported $1.47 billion in Q2 2026 sales, up 53% year over year.
- Organic sales increased 47%, with management specifically highlighting significant data center growth.
- nVent raised its full-year outlook to 37%–39% reported sales growth and 32%–34% organic growth.
What makes nVent particularly attractive when comparing it to Vertiv and Modine is that it provides a lot more in the way of diversification which will offer protection if AI infrastructure spending slows.
The Wall Street X and consensus ratings for NVT are both a Strong Buy. Wall Street X has a 2027 price target of $205.15 which implies a 26% upside. The average analyst price target for 2027 is $185.02 which is 14% higher than where it trades today.
Which AI Data Center Cooling Stock Is the Best Buy?
Our favorite of these three stocks is Vertiv (NYSE: VRT) stock because it offers the most exposure to AI data center spend and has already established itself as a major player. Vertiv is likely to attract most of the attention from hyperscalers looking to establish ties with a cooling infrastructure partner, and it’s those kinds of contracts that send stocks soaring right now.
Why AI Data Center Cooling Could Be a Major Investment Theme
AI chips require enormous amounts of electricity and generate a ton of heat, and that problem is only going to get worse as GPU’s get better and become more dense. In fact, some sources forecast this segment could increase at a Compound Annual Growth Rate of 10.2% out to 2034.
Are AI Data Center Cooling Stocks a Good Investment for 2027?
AI data center cooling stocks could be one of the more overlooked ways to invest in continued AI infrastructure growth.
Vertiv, Modine and nVent don’t need to develop the world’s best AI model or manufacture the fastest GPU. Instead, they provide infrastructure that helps keep increasingly powerful AI systems operating.
The biggest risk is that expectations surrounding AI infrastructure are already extremely high. A slowdown in data center construction could hurt growth forecasts and cause their premium valuations to contract.
However, we can expect big things to happen in the data center cooling segment provided hyperscalers continue to expand their compute capacity.
