Delta Electronics Stock Leads This AI Power And Cooling Screen

AI is not just about clever software any more. It is also about the hard reality of power, cooling and the physical buildout that keeps data centers running. With US AI capex projected at US$581b this year and global spending potentially reaching US$1t, the companies wired into this surge could experience significant impacts. This article explores 3 stocks connected to that AI infrastructure story and discusses what that might mean for a diversified portfolio.

The stocks covered below are just a starting sample from this AI infrastructure theme. The full screen surfaced 49 more companies with equally compelling narratives that are not covered in this article. To go straight to the full list, analyze the filters, and identify your highest conviction ideas, head into the AI Power & Cooling Infrastructure screener.

Delta Electronics (TWSE:2308)

Overview: Delta Electronics is a Taiwan headquartered supplier of power and thermal management gear, from high efficiency power modules and fans to liquid cooling systems and data center infrastructure, used across electronics, factories, buildings and transport. It also sells equipment and software for EVs, industrial automation, building control, energy storage and hydrogen power, tying into long term electrification and efficiency themes.

Operations: Delta Electronics generates most of its revenue from the Power Supply and Spare Parts Business Group at about NT$337.9b, followed by the Infrastructure Business Group at about NT$226.2b, with smaller contributions from the Automation Business Group at about NT$57.6b and Transportation Business Group at about NT$31.7b.

Market Cap: NT$4,688.6b

Delta Electronics sits in the path of rising AI data center capex, supplying high efficiency power systems, liquid cooling and modular data center solutions that aim to cut deployment times and improve energy use. Recent results show earnings momentum and higher margins, while the balance sheet supports sizeable external borrowing to fund growth. At the same time, the stock trades on a high P/E and faces risks from heavy Asian manufacturing exposure, governance concerns around board independence and slower progress in higher margin services. For investors focused on the power and cooling backbone of AI infrastructure, the mix of AI linked demand, energy efficiency solutions and clear execution risks makes Delta Electronics a company that some may wish to study more closely.

Delta Electronics sits right where AI power demand, liquid cooling and modular data centers intersect, yet the full picture is not obvious from the headline P/E. To see how that growth story stacks up against expectations and what the market might be missing on future scenarios, review the analyst forecasts for Delta Electronics

Build your own AI power and cooling shortlist

Delta Electronics and the two other stocks in this AI infrastructure story all surfaced from a single Simply Wall St screener, but the real edge comes when you set your own rules. Use our flexible Screener to mix filters like valuation, growth, balance sheet strength and risks, or tap into our curated Investing Ideas for ready made shortlists that match different investing styles.

Asia Vital Components (TWSE:3017)

Overview: Asia Vital Components is a Taiwan headquartered thermal solutions specialist that builds the cooling hardware behind electronics and data center gear, from fans and heat pipes to vapor chambers and radiators. The company also manufactures related PC and device components such as motherboards, casings, hinges, touch panels and camera modules, and offers assembly, testing and certification support for customers worldwide.

Operations: Asia Vital Components generates most of its revenue from the Overseas Operating Department at about NT$161.6b and the Integrated Management Division at about NT$148.7b, partly offset by group level adjustments.

Market Cap: NT$1.1t

Asia Vital Components operates in AI related thermal management, supplying solutions that data center and server customers use as rack power density rises. Earnings and revenue in Q1 2026 were reported as strong, and return on equity above 50% indicates efficient use of capital. At the same time, the P/E near 48x and price above some cash flow estimates indicate that expectations are already high. Analyst views currently reference upside potential and earnings growth forecasts above 20% a year. However, the stock’s recent volatility, use of higher risk external borrowings and questions around board independence mean governance and balance sheet risk need to be considered alongside its AI infrastructure exposure.

Asia Vital Components sits at the crossroads of high rack power, high expectations and high volatility, yet many investors may not have joined the dots. Before you decide the story is already priced in, walk through the 3 key rewards and 1 important warning sign

nVent Electric (NVT)

Overview: nVent Electric is a London based electrical equipment company that designs and supplies hardware and systems that protect, power and connect sensitive electronics and data, from data centers and industrial plants to energy and commercial buildings. Its portfolio spans enclosures, bus systems, cable management, electrical and power connections, and liquid and air cooling solutions sold through distributors, contractors and OEMs under brands such as CADDY, ERICO, HOFFMAN, ILSCO, SCHROFF and TRACHTE.

Operations: nVent Electric generates most of its revenue from the Systems Protection segment at about US$3.4b, with the Electrical Connections segment contributing about US$1.4b. Geographically, the Americas provide roughly US$4.1b of sales, ahead of EMEA at about US$618 million and Asia Pacific at about US$162 million.

Market Cap: US$26.3b

nVent Electric provides direct exposure to the build out of AI ready data centers, supplying power distribution, protection gear and liquid cooling at a time when hyperscalers are racing to add capacity and reported backlogs are tied to that trend. Earnings growth has been strong, margins have improved and analysts report that they expect earnings and revenue to rise faster than the wider US market. However, the stock already trades on a rich P/E, and recent insider selling plus a capital structure built entirely on external borrowing add real risk. For investors considering AI infrastructure plays, nVent’s combination of data center exposure, higher margin potential, valuation considerations and funding questions may warrant closer examination.

nVent Electric sits where data center demand, richer margins and a high P/E all meet, yet the full story is still easy to miss. Use the analyst forecasts for nVent Electric to see how current expectations could be masking one crucial twist in the AI buildout story.

Seeking Fresh Alternatives Beyond AI?

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• Search for companies with robust balance sheets and earnings quality using the curated list of solid balance sheet and fundamentals (422 results) before broader markets potentially factor in that financial strength.

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.

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