From CNBC: 2025-01-30 16:34:32

Investors in Eaton breathed a sigh of relief as shares stabilized ahead of quarterly earnings, despite concerns about DeepSeek’s impact on AI data centers. Eaton’s end market for data centers is growing rapidly, with electrical products crucial for energy-intensive operations. Other tech giants like Microsoft and Meta Platforms also reported strong AI demand. Blackstone confirmed continued investment in data center infrastructure, emphasizing the ongoing need for power and energy. Melius Research analysts downgraded Eaton’s stock but still see it as a long-term holding, citing concerns about the AI capex arms race. However, CNBC’s Investing Club upgraded Eaton’s rating and expressed optimism about its future growth potential beyond just data centers.



Read more at CNBC:: Eaton finds its footing ahead of earnings after DeepSeek fears shook the stock