Data center cooling has moved to the forefront of infrastructure investment as artificial intelligence-related spending accelerates. Barclays analysts identified more than 400 public and private companies that play roles across 19 digital and power infrastructure subcategories, singling out firms that stand to gain from demand for advanced thermal management.
Barclays' technology research peers estimate that annual AI infrastructure spending by Western hyperscalers and AI labs could top $1 trillion before reaching a peak in 2028 - a level more than $300 billion above current consensus projections. That projected uplift in demand has elevated several providers of cooling equipment and services within data centers.
Companies highlighted by Barclays
The bank called out ten companies it views as leaders in data center cooling, noting specific products, transactions and recent corporate developments for each.
- Eaton - Eaton has moved into liquid cooling through its acquisition of Boyd Thermal and offers thermal monitoring via its Exertherm technology. The company has also announced an investment of more than $30 million in a new Nebraska manufacturing facility intended to increase production of switchgear for data centers. In coverage updates, Wolfe Research lowered its price target on Eaton while Morgan Stanley reiterated an Overweight rating.
- Parker-Hannifin - Parker-Hannifin supplies fluid conveyance and thermal management components tailored to mission-critical cooling, addressing high-performance data center requirements. The company reported Q2 2026 results that beat analyst expectations, with revenue of $5.17 billion and earnings per share of $7.65, and it raised its full-year EPS guidance.
- Vertiv - Focused on critical infrastructure, Vertiv's portfolio includes computer room air handling (CRAH) units, coolant distribution units and integrated immersion cooling solutions. The company announced a $50 million investment to expand manufacturing facilities in Ohio to support demand for thermal management products. Vertiv also received a Buy rating from HSBC while Jefferies downgraded its rating to Hold.
- Dell - Dell incorporates air, liquid and immersion cooling approaches into its PowerEdge server racks and modular data center offerings. Several firms, including BofA Securities, Mizuho and Evercore ISI, raised price targets on Dell, with analysts citing strength in AI infrastructure and server demand.
- Trane Technologies - Trane provides high-efficiency chillers and is pursuing partnerships in the liquid cooling segment for data centers. The company completed acquisitions of LiquidStack, a liquid cooling provider for data centers, and Stellar Energy, which focuses on modular data center cooling systems.
- Johnson Controls - Johnson Controls offers an end-to-end cooling portfolio that includes Silent-Aire coolant distribution units (CDUs), YORK magnetic bearing chillers and waterless heat reduction systems. The company announced an agreement to acquire Alloy Enterprises, a thermal management technology firm, to expand its capabilities in data center cooling.
- Carrier Global - Carrier has developed the QuantumLeap platform, which blends traditional air cooling with liquid-to-chip solutions for hybrid cooling architectures. The company reported fourth-quarter 2025 earnings and revenue that fell short of analyst expectations; simultaneously, Wolfe Research raised its price target on the company.
- Hewlett Packard Enterprise (HPE) - HPE designs 100% fanless direct liquid cooling architectures and modular data centers with integrated heat recovery systems. The company launched its HPE AI Grid solution with NVIDIA for distributed AI inference and received a price target increase from Evercore ISI, which cited resilient server demand.
- Dover - Dover produces thermal connectors and brazed plate heat exchangers used in coolant distribution units across data center facilities. The company reported Q4 2025 results that exceeded analyst expectations, with revenue of $2.1 billion and adjusted EPS of $2.51.
- Super Micro - Super Micro offers plug-and-play liquid-cooled rack solutions that include CDUs, cold plates and cooling towers for easier deployment. The company announced an independent investigation into an export-control indictment involving former associates and is facing a shareholder class action lawsuit related to the matter.
Barclays also named a broader set of firms within its data center cooling category, including nVent Electric, Comfort Systems, Pentair, Solstice Advanced Materials, Modine Manufacturing, Chart Industries, AAON and Gates Industrial.
Implications for markets and operators
The firms highlighted span product manufacturers, systems integrators and component suppliers and are distributed across digital and power infrastructure subcategories. As AI infrastructure spending scales, demand for liquid cooling, immersion solutions and advanced air handling may increase across hyperscalers and enterprise data center operators, potentially benefiting suppliers that offer integrated thermal management systems and manufacturing capacity expansions.
Summary of recent corporate moves and analyst actions
- Acquisitions and investments: Eaton's purchase of Boyd Thermal; Trane's acquisitions of LiquidStack and Stellar Energy; Johnson Controls' agreement to acquire Alloy Enterprises; Vertiv's $50 million Ohio manufacturing investment; Eaton's over $30 million Nebraska switchgear facility investment.
- Financial and legal developments: Parker-Hannifin's Q2 2026 beats and raised guidance; Dover's Q4 2025 results that topped expectations; Carrier's Q4 2025 results that missed expectations; Super Micro's investigation and shareholder suit.
- Analyst coverage shifts: price target increases and rating changes for multiple companies noted by Barclays, including upgrades and downgrades from firms such as HSBC, Jefferies, Wolfe Research, Morgan Stanley, BofA Securities, Mizuho and Evercore ISI.
Investors and industry participants observing the data center ecosystem will likely watch capacity expansions, M&A activity and product rollouts closely as projected AI infrastructure spending grows. Barclays' mapping of the space underscores the breadth of suppliers involved in delivering cooling solutions for next-generation computing environments.