AI focused earnings beats, easing inflation at 3.4%, lower Treasury yields and reduced expectations of a Fed rate hike are pulling attention back to assets tied to data centers and power infrastructure. This mix is lifting broad indices and stirring fear of missing out on companies that might benefit if AI demand and lower rates support valuations. This article examines three stocks that fit these trends from the current screener.

The stocks highlighted below are just a sample from this idea, and the full screen surfaced 7 more U.S. data-center REITs and power utilities with equally compelling stories that are not covered here. Head straight into the U.S. Data-Center REITs and Power Utilities screener to analyze, compare, and identify which opportunities best fit your portfolio priorities.

Equinix (EQIX)

Equinix runs a global network of data centers that host and connect the digital infrastructure behind cloud computing, AI workloads and everyday internet services. It generates about US$9.9b in revenue from designing, building out and operating these IBX data centers, making this the core of its business model. With a market cap of roughly US$103b, Equinix is one of the largest players in the data-center REIT space.

Investors watching the AI buildout and falling rate expectations may find Equinix hard to ignore. The company sits at the heart of AI and cloud traffic, with management highlighting rising demand from hyperscalers and AI service providers, record interconnections and plans for US$5b to US$6b of 2026 capex to add capacity. At the same time, it carries a high P/E, significant debt funded through recent long-dated notes and a 2% dividend that income investors will scrutinize against that leverage. The mix of AI driven growth, premium valuation and balance sheet risk makes Equinix a stock where the details really matter for long term holders.

Equinix sits at the crossroads of AI growth and rich valuation, yet many investors still treat it as just another REIT. Before you decide where it fits in your portfolio, read the 4 key rewards and 2 important warning signs

Build your own AI data center and infrastructure shortlist

Equinix and the two other stocks in this article all surfaced from a single Simply Wall St screen, which is why the next step is to shape your own filters around themes like AI exposure, valuation, balance sheet strength and dividends using our Screener. If you prefer ready made ideas, you can jump straight into our curated Investing Ideas.

Iron Mountain (IRM)

Iron Mountain helps organizations manage and secure both physical records and digital data, from paper archives and secure shredding to cloud-adjacent data centers and asset lifecycle services, across heavily regulated industries. Most of its roughly US$7.6b in revenue comes from the Global RIM Business at about US$5.5b, with close to US$1.0b from its Global Data Center Business and just over US$1.0b from Corporate and Other. The company carries a market cap of about US$36.2b.

Iron Mountain sits at the intersection of compliance heavy records storage and growing demand for data center and digital services. This gives it a mix of sticky legacy cash flows and newer AI linked infrastructure exposure. Recent record quarterly results, higher 2026 guidance and strong data center leasing momentum illustrate how this shift is taking shape, even as the stock trades on a high P/E and carries meaningful leverage with negative equity and uncovered dividends. For investors looking at AI infrastructure and yield oriented REITs, the balance between growing cash flows and balance sheet risk in Iron Mountain is worth closer inspection.

Iron Mountain’s shift from paper to AI ready data centers is accelerating. However, the real story lies in how its growth, leverage and dividend all intersect. Get the full picture in the 3 key rewards and 4 important warning signs (2 are major!)

NRG Energy (NRG)

NRG Energy is an energy and home services company that supplies retail electricity, home automation and smart security, as well as power generation and energy management for everything from households to large data centers across the U.S. and Canada. Most of its US$33.1b in revenue comes from the East segment at about US$16.9b and Texas at roughly US$11.0b, with smaller contributions from West/Other at about US$3.0b and Vivint Smart Home near US$2.3b. The company has a market cap of around US$25.0b.

NRG Energy operates at the intersection of AI-driven power demand and home energy services. A 1.2 GW Texas project with a cloud and AI hyperscaler, expected to run for at least 15 years, underlines how data center load growth can translate into long-term contracted earnings. Management describes the possibility of a power demand super cycle. At the same time, heavy use of natural gas, reliance on external borrowing and dividends that are not well covered by free cash flow create higher financial and regulatory risk if conditions turn. For investors considering the AI infrastructure theme, NRG reflects a mix of earnings growth expectations and real balance sheet trade-offs that may warrant closer attention.

NRG Energy’s AI linked power deals could be masking a very different earnings story once funding costs and home services are fully accounted for. Get the full 3 key rewards and 2 important warning signs (1 is major!)

Seeking Alternatives Before The Window Closes

Fresh stock ideas do not stay under the radar for long. By the time momentum is flying, the ideal entry can be gone. Check these themes now and consider getting in early.

• Spot companies building real staying power by scanning a curated list of solid balance sheet and fundamentals (50 results). This may help you find stronger balance sheets before they are fully priced in and the best opportunities are caught by faster movers.
• Review a hand picked 8 dividend fortresses to explore potential income opportunities while yields remain attractive and prices have not yet dropped or rerated on improving sentiment.
• Check a focused 36 power grid technology and infrastructure stocks to explore possible capacity build outs while these infrastructure stories are still early and attention is only just starting to build.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.