Wall Street’s capital expenditure boom is showing no signs of slowing down, but have investors factored in the full extent of the opportunity construction and infrastructure firms could bring to their portfolios?
The Magnificent Seven, a group of AI adopters and hyperscalers that include Alphabet (GOOGL), Amazon (AMZN), Apple (AAPL), Meta Platforms (META), Microsoft (MSFT), NVIDIA (NVDA), and Tesla (TSLA), have already committed $725 billion towards capex in 2026, and next year’s figures appear to be even higher.
The spending spree stems from the ongoing artificial intelligence buildout, as mega-cap stocks look to construct their own data centers and create the infrastructure required to unlock their potential in the rapidly growing sector.
Bank of America Global Research estimates suggest that global hyperscale capital expenditure is set to exceed $1 trillion, while Goldman Sachs foresees a 50% spending increase to $1.2 trillion.
Meanwhile, S&P Global anticipates capital expenditure to exceed $1.3 trillion next year, with negative free operating cash flow hitting all six hyperscalers, Alphabet, Amazon, Microsoft, Meta, Oracle (ORCL) and SpaceX (SPCX), as a result.
Although it’s clear that artificial intelligence has a bright future and has every chance to repay the seismic spending of Wall Street leaders over time, with the World Economic Forum estimating that the technology will contribute $15.7 trillion to the global GDP by 2030, we’re seeing plenty of short-term stresses linked to high spending.
Capex scrutiny is causing the ongoing AI boom to struggle for momentum in 2026 following consecutive years of strong gains.
Focus on Infrastructure and Energy
Infrastructure stocks offer plenty of long-term value, which is backed by a recent Brookings study that showed the total US data and AI infrastructure investment is expected to reach $10.3 trillion between 2025 and 2032.
We’re already seeing heavy AI investments boost the bottom line of infrastructure stocks, with electrical manufacturer Fabrinet (FN) recording an annualized run rate for data center interconnect and optics products that surpasses $1 billion.
One of the biggest winners of the artificial intelligence boom is expected to be energy stocks. With Goldman Sachs forecasting US data center power demand to more than double by 2027 to 66 GW, there will be a fresh emphasis on energy suppliers to support the emerging industry.
German firm Hochtief AG (ETR: HOT) has been a big winner from the AI buildout in recent years, recording 155.6% growth in 2025 alone. Having secured €16.8 billion in data center orders last year, the stock is well-positioned to grow as the industry continues to strengthen.
The Wider Impact of the Buildout
The best thing about the AI boom is that it’s helping to deliver growth for a broad range of industries, with many beneficiaries situated in sectors that can be easy to miss.
For investors, looking to these fringe beneficiaries can hold plenty of upside potential. Already, high-order volumes have helped to support the liquid-cooling systems that have become essential in supporting high-density AI server racks.
This has seen stocks like Veritiv Holdings (VRT) handle heavy order flows as more data centers open their doors across the United States.
Veritiv’s backlog reportedly reached $15 billion in signed but unshipped orders, helping to raise 2026 margin guidance in the process.
Elsewhere, rising demand for high-speed connectors and cabling inside data centers has seen interest in Amphenol (APH) grow, with the stock more than doubling in value since the start of 2025.
Hedging AI with AI
For investors retaining a keen interest in the artificial intelligence boom, buying and holding these satellite stocks can help to build a greater level of resilience in the short term as the focus on capex spending continues to create a level of volatility among Wall Street’s hyperscalers.
By looking more at AI infrastructure projects, it’s possible to continue benefiting from the ongoing buildout by creating a hedge that maintains a high level of relevance to an industry that’s expected to continue achieving exponential growth long into the future.
We’re still in the midst of an exciting time for artificial intelligence stocks, and embracing the infrastructure projects that support the industry’s development can be the key to sustainable growth long into the future.
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