2 Top AI-Related Stocks to Buy to Ride Wall Street's Top Megatrend
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Artificial intelligence has been the hottest area on Wall Street since OpenAI launched ChatGPT to the public in 2022. The AI spending boom is part of a larger megatrend that will drive economic and stock market expansion for years to come.
The Biggest Wall Street Investment Trend for Next 10 Years
Compounding trends and super cycles across technology, energy, construction, and onshoring create once-in-a-generation opportunities for investors to profit.
Big Tech companies such as Amazon, Microsoft, Alphabet, and Meta are projected to spend a combined $325 billion on artificial intelligence capital expenditures in 2025 alone.
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The AI spending is poised to continue for the foreseeable future. The energy-intensive AI data center boom is spurring the rebirth of the U.S. nuclear energy industry, the rapid expansion of natural gas production, and a massive build-out of the energy grid.
The U.S. government, technology giants, and big Wall Street banks are leading the infrastructure spending charge. JPMorgan, Goldman Sachs, and others view the new age of infrastructure expansion as one of the most important pillars of the U.S. market and economy going forward.
The new age of infrastructure ranges from AI data centers and cutting-edge semiconductor plants to next-generation nuclear reactors and revamped electricity grids, alongside more traditional infrastructure projects such as roads and buildings.
Today’s Full Court Finance at Zacks dives into two highly-ranked Zacks stocks—Quanta Services and AECOM—to buy and hold for long-term growth across infrastructure spending, AI data center expansion, the energy transition, onshoring, and beyond.
Buy This Infrastructure Solutions Stock Before It Breaks Out
Quanta Services, Inc. (PWR) is a leading provider of infrastructure services focused on engineering, procurement, and construction.
The firm works with clients across electric power, renewable energy, communication, and beyond, designing, building, operating, and maintaining mission-critical networks for the economy to function and grow.
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Quanta supports the energy transition and AI-driven data center growth by building vital infrastructure for utilities, tech companies, renewable energy projects, and more.
The Houston, Texas-based company has grown rapidly over the past decade, including 21% average sales expansion between FY21-FY24. Quanta posted a beat-and-raise Q1, closing the period with a record $35.3 billion backlog.
PWR is projected to grow its revenue by 14% in FY25 and 10% in 2026 to reach nearly $30 billion, up from $12 billion in pre-COVID 2019. The infrastructure solutions company is set to expand its adjusted earnings by 15% and 13%, respectively, and its upbeat EPS outlook earns Quanta a Zacks Rank #2 (Buy).