Top 5 Data Center Stocks to Watch as India Eyes US$ 200 Billion Investment Inflow

#2 ABB India

Next on the list is ABB India, with a market capitalisation of Rs 1,217,212 m as of 19 Feb 2026.

The company is a long-standing player that has been integral to India's automation, digitalisation, and electrification journey since 1949. While not a pure-play data center company, ABB plays a critical role in enabling the sector through its advanced electrical and automation solutions.

Notably, around 30% of hyperscale data centers across India already deploy ABB solutions, underlining the company's entrenched presence in this fast-growing segment.

ABB's low-voltage and medium-voltage equipment is increasingly vital in making data centers more energy efficient, especially as AI workloads and hyperscale deployments drive higher power intensity.

The company's ABB Genix^TM platform will further strengthen its position. By combining industrial analytics with artificial intelligence, Genix^TM offers an enterprise-grade digital platform that supports smart electrification, automation, and robotics.

These solutions help data centers and technology-driven industries improve operational efficiency, enhance reliability and lower energy consumption.

On the financial front, over the past five years the company's revenue has seen a growth of 10.8%, meanwhile, net profit grew at a CAGR of 44.1%.

The company's five-year average ROE stand at 17.6%.

ABB India's Financial Snapshot

For more details, see the ABB India company fact sheet and quarterly results.

#3 Hitachi Energy

Next is Hitachi Energy, with a market capitalisation of Rs 1,017,142.2 m as of 19 February 2026.

The company operates at the forefront of multiple high-growth segments, including renewable energy, data centers and railway electrification. It has developed a 220kV-140 MVA transformer with dynamic short-circuit capability, specifically designed for data center applications.

In FY25, Hitachi Energy supplied data center solutions such as 2×90 MVA 220/33kV transformers for a facility in Hyderabad and 51 units of 2,000 kVA, 33kV dry-type transformers.

During FY25, orders in the transmission segment witnessed a strong uptick. Orders from industrial customers rose 27% year-on-year (YoY), while data center-related orders increased 1.5 times, underscoring growing demand from this segment.

On the financial front, over the past five years the company's revenue has seen a growth of 13.3%, meanwhile, net profit grew at a CAGR of 30.9%.

The company's five-year average ROE stand at 9.4%.

Hitachi Energy's Financial Snapshot

For more details, see the HITACHI ENERGY company fact sheet and quarterly results.

#4 Voltas

Next on the list is Voltas, with a market capitalisation of Rs 499,205 m as of 19 February 2026.

Voltas provides cooling systems for data centers. The company's Commercial Air Conditioning (CAC) division has seen steady growth, driven by innovation and an expanding portfolio tailored to large-scale cooling needs.

A key focus has been the development of indigenised centrifugal chillers at its Waghodia facility, specifically suited for high-capacity, mission-critical environments.

These solutions are increasingly relevant for data centers, where uninterrupted operations, high energy efficiency and precise temperature control are essential.

On the financial front, over the past five years the company's revenue has grown at 15% CAGR, meanwhile, net profit grew at a CAGR of 9.9%.

The company's five-year average ROE and ROCE stand at 7.9% and 12.2%.

Voltas' Financial Snapshot

For more details, see the Voltas company fact sheet and quarterly results.

#5 Blue Star

Next on the list is Blue Star, with a market capitalisation of Rs 402,614 m as of 19 February 2026.

The company offers one of India's widest portfolios of room air conditioners, along with commercial refrigeration and air conditioning solutions.

Its capabilities extend beyond products, with turnkey expertise in MEP (Mechanical, Electrical, Plumbing and Fire-fighting) contracting for buildings, factories, data centers, and other large infrastructure projects.

Blue Star's Electro-Mechanical Projects and Commercial Air Conditioning Systems segment covers the end-to-end design, installation, and maintenance of central air conditioning solutions.

This includes packaged and ducted systems, Variable Refrigerant Flow (VRF) units, scroll, screw and centrifugal chillers, as well as specialised data center chillers for high-performance environments.

In FY25, the company strengthened its data center offering by expanding its chiller portfolio with air-cooled chillers in the 350TR to 550TR range.

On the financial front, over the past five years the company's revenue has seen a growth of 17.4%, meanwhile, net profit grew at a CAGR of 33.3%.

The company's five-year average ROE and ROCE stand at 18.6% and 26.5%.

Blue Star's Financial Snapshot

For more details, see the Blue Star company fact sheet and quarterly results.

Other Stocks to Watch

# Anant Raj

Anant Raj has expanded into the data center and cloud services space through its wholly owned subsidiary, Anant Raj Cloud Private Limited. The company has positioned data centers as a key growth vertical alongside its core real estate business.

According to the FY25 annual report, the company plans to expand its total data center footprint to 307 MW over the next four to five years.

Further, as per a company filing on 8 February 2026, Submer, a full-stack AI infrastructure provider, announced a strategic collaboration with Anant Raj Cloud, a subsidiary of Anant Raj Limited.

The partnership aims to develop fully operational, AI-ready data centers across India, enabling rapid deployment of high-density and energy-efficient computing platforms to support sovereign and enterprise AI workloads at scale.

The collaboration also stands as a key example of the EU-India trade partnership in action, bringing world-class liquid-cooling technology from Spain while leveraging India's strong infrastructure capabilities and operational expertise.

Apart from this, other stocks in the data center space, such as Bajel Projects, L&T and Kirloskar Oil Engines, also remain stocks to watch.

Conclusion

Finance Minister Nirmala Sitharaman, on 1 February, proposed a tax holiday until 2047 for foreign companies providing cloud services using data center infrastructure located in India.

Alongside this, India's data center and cloud market continues to witness strong momentum, supported by accelerating digital transformation, rising data consumption, data localisation norms, and government initiatives such as Digital India.

Investors should evaluate the company's fundamentals, corporate governance, and valuations of the stock as key factors when conducting due diligence before making investment decisions.

Happy investing.

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