Particle.news
Download on the App Store

Eaton and nVent Scale Sales as AI Data Centers Drive Power and Cooling Demand

Rising demand for denser AI data centers is driving orders for power distribution, liquid cooling, connection hardware.

Overview

  • Eaton completed its $9.5 billion purchase of Boyd Thermal in March 2026 and reported record first-quarter sales with 17% revenue growth and a raised FY2026 organic revenue guidance midpoint.
  • The company told investors it finished the quarter with a net margin of 12% and a $23 billion backlog of orders that signals substantial contracted future revenue.
  • nVent posted steady quarter-over-quarter gains and an 11% net margin for Q1, and in mid-2026 it authorized a new share buyback and refreshed its executive leadership to sharpen strategy and returns.
  • Eaton’s entry into liquid cooling and grid-to-chip systems addresses the higher heat and power density of modern AI racks by moving cooling closer to processors, while nVent focuses on connection and protective gear for dense infrastructure.
  • Investors and data-center operators could see knock-on effects in procurement and capital planning because large backlogs and stronger guidance suggest near-term demand is robust but remain exposed if hyperscaler AI spending slows.