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11 Best Data Center Stocks to Buy Now

In this article, we will look at the 11 best data center stocks to buy now. If you want to skip our detailed analysis of the data center industry, you can go directly to the 5 Best Data Center Stocks to Buy Now.

Data Center companies worldwide posted record revenues in 2022, which reached $321.47 billion, according to a Statista analysis. The analysis anticipates the market to add more than $20 billion to the valuation by the end of this year. The 2022 performance is impressive, considering the global data center revenue was sub-$200 billion just two years ago.

According to a research by Allied Market Research, the data center market was worth $187.35 billion in 2020 and was expected to clock $517.17 billion by 2030. Interestingly, Statista’s analysis reaches a valuation close to Allied Market Research’s, positing that the global data centers market will generate approximately $410.40 billion in revenue by 2027. However, the former’s CAGR is significantly smaller, at 4.66%, compared to Allied Market Research’s 10.50%. The CAGR mismatch notwithstanding, there appears to be strong agreement that the data centers market has immense potential to break past the half trillion USD mark before the decade’s end.

The CAGRs that several analyses are quoting at which the data center services market will grow in a particular forecast period are incredible. For example, Allied Market Research quotes 10.50% between 2021 and 2030, while Mordor Intelligence’s figure is 13.69% between 2021 and 2026. In this light, a question arises: How will the market achieve an astronomical growth rate? In other words, what factors will drive the growth incredible growth?

For Mordor Intelligence, the growing demand for cloud services will carry much weight. The claim is perhaps in response to a Markets and Markets report, which established that the cloud computing market will expand at a 17% CAGR between 2022 and 2027, reaching $1,240.90 billion. Since data centers provide the critical infrastructure that keeps the cloud computing market running, any expansion that cloud computing posts naturally reaches data center services companies.

Besides cloud computing, increasing demand for e-commerce services will also spur growth in the data center services market. According to Statista, the revenue generated by e-commerce companies worldwide could reach $4.11 trillion at the end of this year. The organization makes a bolder claim that the market should be worth $6.35 trillion by 2027, thanks to an 11.51% CAGR. With the expansion of the e-commerce space comes the possibility of the data center services market’s growth potential blowing up. This is because e-commerce customers want more personalized data and better recommendations for what products to buy, which is made possible by services undergirded by data centers.

As the growth potential of the data center services market expands, the companies involved in this space have more room to grow revenues. Consequently, with stronger financials comes an increased likelihood for the stocks to climb higher. The corporations whose businesses undergird the data center services market include Microsoft Corporation (NASDAQ:MSFT), Advanced Micro Devices, Inc. (NASDAQ:AMD), and Equinix Inc (NASDAQ:EQIX).

Our Methodology

We scanned Insider Monkey’s database of 943 hedge funds and picked 11 data center stocks with the highest number of hedge fund investors.

Best Data Center Stocks to Buy Now 

11. Cyxtera Technologies Inc (NASDAQ:CYXT)

Market cap as of March 27: $161.75 Million

Number of Hedge Fund Holders: 11

Cyxtera Technologies Inc (NASDAQ:CYXT) leads in data center colocation and interconnection services worldwide. It has more than 60 data centers in over 30 markets worldwide and is recognized as a leader in providing colocation and interconnection services.

According to Insider Monkey’s database, 11 hedge funds had a stake in Cyxtera Technologies Inc (NASDAQ:CYXT) as of Q4 2022. The total value of their holdings was $46.6 million.

Like Microsoft Corporation (NASDAQ:MSFT), Advanced Micro Devices, Inc. (NASDAQ:AMD), and Equinix Inc (NASDAQ:EQIX), Cyxtera Technologies Inc (NASDAQ:CYXT) is one of the best data center stocks to buy now.

10. Iron Mountain Inc (NYSE:IRM)

Market cap as of March 27: $14.75 Billion

Number of Hedge Fund Holders: 21

Iron Mountain Inc (NYSE:IRM) is a company that offers data center and colocation services and is considered a top provider in this industry. Iron Mountain Inc (NYSE:IRM) has 21 data centers located across three continents, providing the necessary infrastructure and services for colocation and interconnection for its customers.

According to Insider Monkey’s data, Iron Mountain Inc (NYSE:IRM) was part of 21 hedge fund portfolios at the end of Q4 2022, compared to 23 in the earlier quarter. Paul Marshall and Ian Wace’s Marshall Wace LLP is the company’s biggest stakeholder, with 535,256 shares worth $26.68 million.

9. Digital Realty Trust Inc (NYSE:DLR)

Market cap as of March 27: $28.02 Billion

Number of Hedge Fund Holders: 30

Digital Realty Trust Inc (NYSE:DLR) is a REIT that provides data center, colocation, and interconnection solutions to leading enterprises and service providers worldwide.

There were 30 hedge funds in our database that held stakes in Digital Realty Trust Inc (NYSE:DLR)’s at the end of the fourth quarter, compared to 29 funds in the third quarter. Balyasny Asset Management is the company’s most significant stakeholder, with 743,672 shares worth $74.57 million.

Baron Real Estate Income Fund, in its Q4 2022 investor letter, made the following comment about Digital Realty Trust, Inc. (NYSE:DLR):

“Recently, we re-acquired shares in Digital Realty Trust, Inc. (NYSE:DLR). We believe the company’s valuation is highly compelling following the 43% correction in its share price in 2022. We would note, however, that we are closely monitoring the company because business execution and quarterly results have disappointed at various points in the last few years. We have limited the Fund’s exposure to the company with this in mind.”

8. Equinix Inc (NASDAQ:EQIX

Market cap as of March 27: $63.94 Billion

Number of Hedge Fund Holders: 38

Equinix Inc (NASDAQ:EQIX) is an American multinational company specializing in internet connection and data centers and is ranked 8th on the list of the best data center stocks to buy. EQIX provides businesses with access to important locations, partners, and opportunities to quickly and effectively expand their digital services, enhance customer experiences, and increase their overall value.

Deutsche Bank analyst Matthew Niknam raised Equinix Inc (NASDAQ:EQIX)’s price target to $760 from $725 and retained a ‘Buy’ rating on the shares on February 22.

According to Insider Monkey’s Q4 data, 38 hedge funds were long Equinix Inc (NASDAQ: EQIX), compared to 39 funds in the prior quarter. Ian Simm’s Impax Asset Management is the biggest position holder in Equinix Inc (NASDAQ:EQIX), with approximately 659,094 shares worth $431.3 million.

In its Q4 2022 investor letter, ClearBridge Investments, an investment management company, mentioned Equinix Inc (NASDAQ: EQIX). Here is what the fund said:

“Real estate holdings Equinix, Inc. (NASDAQ:EQIX) and Prologis (PLD) were standouts in a sector challenged by materially higher interest rates. Equinix is a best-in-class data center REIT with record leasing and backlog and a conservative balance sheet that should position it well in a downturn. Logistics real estate, meanwhile, has some of the most attractive market dynamics of all real estate subsectors, and Prologis is a clear leader within the group. Logistics real estate should continue to benefit from secular tailwinds of rising e-commerce penetration, ever faster delivery times, and supply chain resiliency (“just in case”).”

7. International Business Machines Corporation (NYSE:IBM)

Market Cap as of March 27: $112.3 Billion

Number of Hedge Fund Holders: 43

International Business Machines Corporation (NYSE:IBM) is a global company that offers integrated solutions and services through its subsidiaries. International Business Machines Corporation (NYSE:IBM) has a long history in computer technology and has been involved in hardware, software, middleware, and consulting services across generations.

International Business Machines Corporation (NYSE:IBM) was in 43 hedge funds’ portfolios at the end of the fourth quarter of 2022. There were 40 hedge funds in our database, with IBM holdings at the end of the previous quarter.

6. American Tower Corp (NYSE:AMT)

Market cap as of March 27: $90.18 Billion

Number of Hedge Fund Holders: 61

American Tower Corp (NYSE:AMT) is a global REIT that owns, operates, and develops communication sites. American Tower Corp (NYSE:AMT) has expanded its reach in the cloud computing and digital infrastructure sectors by acquiring companies that own and operate data centers. In 2021, it acquired Coresite in a $10 billion deal, which helped the REIT diversify and gain exposure to the high-demand data industry. It is also considered one of the best data center stocks to buy now.

American Tower Corp (NYSE:AMT) owns 6 edge sites and 2 metro facilities in the US as a part of their data center portfolio, which includes CoreSite and Datasite. CoreSite operates in 8 markets and has 25 facilities.

American Tower Corp (NYSE:AMT) has a history of consistently increasing its dividend payouts. It has increased its dividend every quarter for the past 10 years. Most recently, AMT announced a quarterly cash distribution of $1.56 per share payable to stockholders of record on April 14, 2023. AMT has a ‘Strong Buy’ consensus rating with 12 buy ratings, 2 hold ratings, and 0 sell ratings.

At the close of the fourth quarter of 2022, 61 hedge funds held stakes in American Tower Corp (NYSE:AMT). These funds disclosed collective positions worth $3.38 billion in the company, down from $3.36 billion in the previous quarter with 62 positions. As of December 31, Akre Capital Management is the largest stockholder in the company and holds a position worth $1.48 billion.

Along with Microsoft Corporation (NASDAQ:MSFT), Advanced Micro Devices, Inc. (NASDAQ:AMD), and Equinix Inc (NASDAQ:EQIX), American Tower Corp (NYSE:AMT) is one of the best data center stocks to buy now.

ClearBridge Investments, an investment management company, mentioned American Tower Corp (NYSE:AMT) in its Q4 2022 investor letter. Here is what the fund said:

“Real estate and communication services sectors generated positive returns but lagged others within the Russell 1000 Value Index. The Strategy benefited from its underweight in the real estate sector with American Tower Corporation (NYSE:AMT) as its only holding. REITs are generally perceived to be interest rate sensitive, which negatively impacted American Tower’s recent stock performance. However, we remain confident in the company’s highly durable and predictable business model, which is supported by long-term customer contracts and insatiable wireless data growth.”

Click to continue reading and see 5 Best Data Center Stocks to Buy Now.

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Disclosure: None. 11 Best Data Center Stocks to Buy Now is originally published on Insider Monkey.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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AI, Tariffs, Nuclear Power: One Undervalued Stock Connects ALL the Dots (Before It Explodes!)

Artificial intelligence is the greatest investment opportunity of our lifetime. The time to invest in groundbreaking AI is now, and this stock is a steal!

AI is eating the world—and the machines behind it are ravenous.

Each ChatGPT query, each model update, each robotic breakthrough consumes massive amounts of energy. In fact, AI is already pushing global power grids to the brink.

Wall Street is pouring hundreds of billions into artificial intelligence—training smarter chatbots, automating industries, and building the digital future. But there’s one urgent question few are asking:

Where will all of that energy come from?

AI is the most electricity-hungry technology ever invented. Each data center powering large language models like ChatGPT consumes as much energy as a small city. And it’s about to get worse.

Even Sam Altman, the founder of OpenAI, issued a stark warning:

“The future of AI depends on an energy breakthrough.”

Elon Musk was even more blunt:

“AI will run out of electricity by next year.”

As the world chases faster, smarter machines, a hidden crisis is emerging behind the scenes. Power grids are strained. Electricity prices are rising. Utilities are scrambling to expand capacity.

And that’s where the real opportunity lies…

One little-known company—almost entirely overlooked by most AI investors—could be the ultimate backdoor play. It’s not a chipmaker. It’s not a cloud platform. But it might be the most important AI stock in the US owns critical energy infrastructure assets positioned to feed the coming AI energy spike.

As demand from AI data centers explodes, this company is gearing up to profit from the most valuable commodity in the digital age: electricity.

The “Toll Booth” Operator of the AI Energy Boom

  • It owns critical nuclear energy infrastructure assets, positioning it at the heart of America’s next-generation power strategy.
  • It’s one of the only global companies capable of executing large-scale, complex EPC (engineering, procurement, and construction) projects across oil, gas, renewable fuels, and industrial infrastructure.
  • It plays a pivotal role in U.S. LNG exportation—a sector about to explode under President Trump’s renewed “America First” energy doctrine.

Trump has made it clear: Europe and U.S. allies must buy American LNG.

And our company sits in the toll booth—collecting fees on every drop exported.

But that’s not all…

As Trump’s proposed tariffs push American manufacturers to bring their operations back home, this company will be first in line to rebuild, retrofit, and reengineer those facilities.

AI. Energy. Tariffs. Onshoring. This One Company Ties It All Together.

While the world is distracted by flashy AI tickers, a few smart investors are quietly scooping up shares of the one company powering it all from behind the scenes.

AI needs energy. Energy needs infrastructure.

And infrastructure needs a builder with experience, scale, and execution.

This company has its finger in every pie—and Wall Street is just starting to notice.

Wall Street is noticing this company also because it is quietly riding all of these tailwinds—without the sky-high valuation.

While most energy and utility firms are buried under mountains of debt and coughing up hefty interest payments just to appease bondholders…

This company is completely debt-free.

In fact, it’s sitting on a war chest of cash—equal to nearly one-third of its entire market cap.

It also owns a huge equity stake in another red-hot AI play, giving investors indirect exposure to multiple AI growth engines without paying a premium.

And here’s what the smart money has started whispering…

The Hedge Fund Secret That’s Starting to Leak Out

This stock is so off-the-radar, so absurdly undervalued, that some of the most secretive hedge fund managers in the world have begun pitching it at closed-door investment summits.

They’re sharing it quietly, away from the cameras, to rooms full of ultra-wealthy clients.

Why? Because excluding cash and investments, this company is trading at less than 7 times earnings.

And that’s for a business tied to:

  • The AI infrastructure supercycle
  • The onshoring boom driven by Trump-era tariffs
  • A surge in U.S. LNG exports
  • And a unique footprint in nuclear energy—the future of clean, reliable power

You simply won’t find another AI and energy stock this cheap… with this much upside.

This isn’t a hype stock. It’s not riding on hope.

It’s delivering real cash flows, owns critical infrastructure, and holds stakes in other major growth stories.

This is your chance to get in before the rockets take off!

Disruption is the New Name of the Game: Let’s face it, complacency breeds stagnation.

AI is the ultimate disruptor, and it’s shaking the foundations of traditional industries.

The companies that embrace AI will thrive, while the dinosaurs clinging to outdated methods will be left in the dust.

As an investor, you want to be on the side of the winners, and AI is the winning ticket.

The Talent Pool is Overflowing: The world’s brightest minds are flocking to AI.

From computer scientists to mathematicians, the next generation of innovators is pouring its energy into this field.

This influx of talent guarantees a constant stream of groundbreaking ideas and rapid advancements.

By investing in AI, you’re essentially backing the future.

The future is powered by artificial intelligence, and the time to invest is NOW.

Don’t be a spectator in this technological revolution.

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This isn’t just about making money – it’s about being part of the future.

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Space is Limited! Only 1000 spots are available for this exclusive offer. Don’t let this chance slip away – subscribe to our Premium Readership Newsletter today and unlock the potential for a life-changing investment.

Here’s what to do next:

1. Head over to our website and subscribe to our Premium Readership Newsletter for just $9.99.

2. Enjoy a month of ad-free browsing, exclusive access to our in-depth report on the Trump tariff and nuclear energy company as well as the revolutionary AI-robotics company, and the upcoming issues of our Premium Readership Newsletter.

3. Sit back, relax, and know that you’re backed by our ironclad 30-day money-back guarantee.

Don’t miss out on this incredible opportunity! Subscribe now and take control of your AI investment future!


No worries about auto-renewals! Our 30-Day Money-Back Guarantee applies whether you’re joining us for the first time or renewing your subscription a month later!