5 Best Small-Cap Data Center Cooling Stocks to Buy

3. CTS Corporation (NYSE:CTS)

Number of Hedge Funds: 23

CTS Corporation (NYSE:CTS) is one of the best small-cap data center cooling stocks to Buy. On June 16, CTS introduced the TSX Crystal with Integrated Thermistor, its first crystal product to place a thermistor inside the package. The product is not a cooling unit, but it fits the thermal-management layer around dense electronic systems: it gives real-time temperature feedback close to the crystal element, helping designers improve frequency compensation across wider operating temperatures while reducing board-level complexity.

CTS said the TSX series supports frequencies from 16 MHz to 285 MHz, with stability options ranging from ±10 ppm to ±50 ppm over temperature, and targets applications including network synchronization, routers, and switches. The data-center connection is also broader than this single launch. CTS markets temperature sensors for server racks, cooling systems, and airflow-management zones, where precise thermal monitoring helps prevent overheating and supports higher rack density. That gives the stock a sensor-level exposure to the cooling efficiency problem created by AI infrastructure.

CTS Corporation (NYSE:CTS) designs and manufactures sensors, actuators, and electronic components for industrial, aerospace/defense, medical, transportation, and other end markets.