Why MasTec (MTZ) Is Leveraged to the Grid Expansion Behind AI Data Centers

On April 30, MasTec, Inc. (NYSE:MTZ) reported first-quarter results that showed however overmuch infrastructure request is gathering crossed powerfulness delivery, cleanable energy, and data-center-adjacent construction. Revenue roseate 34% year-over-year to $3.8 billion, portion 18-month backlog accrued 28% to a grounds $20.3 billion. The institution besides raised its full-year 2026 outlook, present expecting gross of $17.5 cardinal and adjusted EBITDA of $1.5 billion.

The grid-modernization space is clearest successful Power Delivery. MasTec said Power Delivery gross roseate 16% to $1.05 cardinal successful the quarter, portion EBITDA accrued 40% to $72 million. On the company’s net call, absorption said Power Delivery benefited from transmission, system-hardening, and reliability spending, portion AI and information centers are adding to energy request and could necessitate large grid expansion. The conception besides posted a 1.6x book-to-bill ratio, with backlog reaching a grounds $6.2 cardinal aft caller contracts and expanded enactment connected existing projects.

Photo by ThisisEngineering RAEng connected Unsplash

MasTec, Inc. (NYSE:MTZ) provides infrastructure operation and engineering services for powerfulness delivery, cleanable energy, communications, pipeline, industrial, and civilian infrastructure markets, including transmission, distribution, substations, renewable energy, information center, and utility-related projects.

While we admit the imaginable of MTZ arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

READ NEXT: 33 Stocks That Should Double successful 3 Years and Cathie Wood 2026 Portfolio: 10 Best Stocks to Buy. 

Disclosure: None. Follow Insider Monkey connected Google News.