India data-centre boom boosts select stocks sharply

India's data centre IT load surged from 350 MW in 2019 to nearly 1.5-1.6 GW in 2025, a compound annual growth rate of about 29%, according to brokerage Nomura, as digitalisation, cloud adoption and AI demand drive a multi-year expansion. Listed companies tied to data-centre infrastructure, power equipment and networking have posted outsized returns in 2026, with Sterlite Tech surging 488% and HFCL rising 170%, after CLSA reported a $1 billion order win for Sterlite and modelled a 49% EBITDA CAGR through FY29. The boom signals concentrated investor interest in AI-linked infrastructure in India, with hyperscaler order flows and capacity additions now key to tracking supplier revenue visibility.

India data-centre boom boosts select stocks sharply The Economic Times reports India's data centre sector is in a multi-year expansion driven by digitalisation, cloud adoption and rising AI demand. According to brokerage Nomura, India's data centre IT load rose from about 350 MW in 2019 to nearly 1.5-1.6 GW in 2025, a CAGR of about 29% , and India's share of global capacity rose from roughly 1.5% in 2019 to 2-3% in 2025. Economic Times reports several listed companies tied to data-centre infrastructure, power equipment, cables, networking and AI hardware have delivered outsized returns in 2026, with some stocks surging as much as 477% . The article highlights Sterlite Tech reported up 488% in 2026 and HFCL reported up 170% in 2026 ; Economic Times cites CLSA saying Sterlite could rise another 11% after a reported $1 billion order win and that CLSA models a 49% EBITDA CAGR for Sterlite between FY26 and FY29. Editorial analysis: the story signals concentrated investor interest in AI-linked infrastructure in India and underscores monitoring hyperscaler demand and order flows. What happened The Economic Times reports that India's data centre industry is entering a multi-year growth phase driven by accelerating digitalisation, cloud adoption and growing AI demand. According to brokerage Nomura , India's data centre IT load expanded from about 350 MW in 2019 to nearly 1.5-1.6 GW in 2025, a compound annual growth rate of roughly 29% , versus about 20% globally. Economic Times reports the market has re-priced companies linked to data-centre infrastructure, power equipment, cables, networking and AI hardware; several listed names have posted outsized gains in 2026, with some stocks up as much as 477% in the year to date. Reported company moves and broker views Economic Times highlights Sterlite Tech as the largest winner, reporting the stock surged 488% in 2026. The article cites Hong Kong-based broker CLSA as saying Sterlite won a reported $1 billion order from a US hyperscaler, and that CLSA expects the stock to climb another 11% from current levels while modelling a 49% EBITDA CAGR for Sterlite between FY26 and FY29. Economic Times also reports HFCL rose about 170% in 2026. Editorial analysis - technical context Companies supplying data-centre equipment and connectivity typically see demand correlated with hyperscaler capex and enterprise cloud migration. Industry-pattern observations: rising AI workloads increase requirements for higher rack power density, accelerated compute GPUs/TPUs , stronger fibre and power distribution, and larger on-site cooling capacity. These technical constraints tend to shift procurement toward vendors that can deliver higher-density power, high-bandwidth interconnects and efficient cooling solutions. Industry context Editorial analysis: The Economic Times coverage fits a broader trend where visible order wins and rising IT-load metrics drive investor interest in infrastructure-adjacent stocks. For practitioners, this means greater demand for deployment expertise, power-systems engineering, and network design in regions with accelerating capacity addition. Observed patterns in similar markets include supply-chain lead times extending for specialty cables and power gear and increased emphasis on energy-efficiency and grid arrangements. What to watch Indicators worth tracking include: reported hyperscaler order announcements and contract sizes; quarterly IT-load and capacity disclosures from data-centre operators; broker research updates on EBITDA and order-book assumptions; local power and land availability developments; and policy signals on data-centre incentives or restrictions. Industry observers will also follow whether reported order wins translate into multi-year revenue visibility for listed suppliers. Scoring Rationale The story matters to infrastructure and operations practitioners because accelerating data-centre capacity affects procurement, power design and network planning. It is primarily an investment-market narrative rather than a technical/model breakthrough, so importance is notable but not frontier-level. Practice with real FinTech & Trading data 90 SQL & Python problems · 15 industry datasets Active Verified Users by Income TierEasy /problems/sql/active-verified-users-by-income Technology Stocks with High BetaMedium /problems/sql/technology-stocks-with-high-beta Portfolio Performance ScorecardHard /problems/sql/portfolio-performance-scorecard 250 free problems · No credit card See all FinTech & Trading problems /problems/datasets/fintech