Why Graham Corporation (GHM) Fits the Data Center Cooling Trade Through Engineered Heat-Transfer Infrastructure

Graham Corporation (NYSE:GHM) is one of the best small-cap data center cooling stocks to buy.

On June 8, Graham reported fiscal fourth-quarter net sales of $67.1 million, up 13%, and full-year net sales of $245.3 million, up 17%. The more relevant point for a data-center cooling screen is not a direct hyperscale contract, but the company’s position in mission-critical fluid and heat-transfer equipment, a layer that sits close to the thermal-management problem as AI facilities move toward higher-density racks, warm-water loops, and more complex heat rejection.

Graham ended fiscal 2026 with a record backlog of $532.6 million, up 29%, and record full-year orders of $359.4 million, giving the business a healthier demand base than a narrow cooling concept stock. Management also said capital spending focused on capability and capacity expansion, automation, productivity improvements, and advanced manufacturing, which is relevant for customized engineered systems. The stock fits the list as a selective thermal-infrastructure play, not as a pure liquid-cooling vendor.

Graham Corporation (NYSE:GHM) designs and manufactures mission-critical fluid, power, heat transfer, vacuum, and advanced mixing technologies for the defense, energy, process, and space markets.

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