Shares in data center infrastructure company Vertiv Holdings surged by 18.2% in September due to positive news flow on AI-driven data center spending. Vertiv provides crucial data center infrastructure for hyperscalers like Google Cloud and Microsoft Azure. The company is also partnering with Nvidia to develop infrastructure for future data centers.

Hyperscalers’ multi-billion dollar deals and capital spending commitments are leading investors to expect a strengthening of orders at Vertiv. Positive news flow includes Nvidia’s revenue increase and a $300 billion investment in data centers by OpenAI, Oracle, and SoftBank. U.S. tech companies are also investing $42 billion in building data centers in the U.K.

While it may be too early to expect a significant increase in orders for Vertiv, upcoming earnings reports will provide insight into the company’s sales pipeline. Before investing in Vertiv, consider other stocks recommended by The Motley Fool Stock Advisor team for potential high returns. The team identified 10 stocks with significant growth potential, excluding Vertiv.

Read more at Nasdaq: Here’s Why Shares in This Hidden Data Center and AI Stock Surged in September