The data center industry is the number one booming industry right now. With cloud computing, AI, and digital infrastructure booming, experts predict the market will hit $80.37 billion by 2029. That means serious investment opportunities for those looking to get in early.
If you’re thinking of investing in this growth, here are five stocks, ETFs, and REITs that can give you solid returns in 2025!
| Stock/ETF/REIT | Share Price | Market Cap | Dividend Yield |
| Equinix Inc. (EQIX) | $910.38 | $90.7 billion | 2.0% |
| Digital Realty Trust Inc. (DLR) | $157.27 | $58.4 billion | 2.8% |
| Pacer Benchmark Data & Infrastructure Real Estate SCTR ETF (SRVR) | $31.01 | $401.1 million | 2.0% |
| Nvidia Corp. (NVDA) | $120.15 | $3.4 trillion | 0.03% |
| Southern Co. (SO) | $88.29 | $96.9 billion | 3.3% |
1. Equinix Inc. (EQIX)
Equinix is the big player in the data center world, with over 250 high-tech facilities worldwide. It dominates the colocation market, with a 13% share by renting out its infrastructure to other companies.
Investors should consider investing in EQIX as it is structured as a REIT and distributes at least 90% of its taxable income to shareholders, which means consistent dividends.
Major analysts like Scotiabank, BMO Capital, and Oppenheimer continue to rate EQIX as an “Outperforming REIT.”
2. Digital Realty Trust Inc. (DLR)
Being the second-largest data center REIT, Digital Realty owns more than 300 server farms across 25 countries. But it’s not only focused on renting space; it also offers a structured data management system, PlatformDIGITAL, that makes it a top choice for enterprise clients.
With its quarterly revenues exceeding $1.4 billion and a dividend yield of 2.8%, DLR is surely a long-term REIT for investors looking for both growth and income in this data center boom.
3. Pacer Benchmark Data & Infrastructure ETF (SRVR)
If you’re not someone who likes picking individual stocks, then you should invest in SRVR. It offers a diversified way to invest in the data center industry. It focuses on digital infrastructure companies, including data centers, mobile towers, and cloud computing firms.
It has an expense ratio of 0.55% and a dividend yield of 2%. SRVR provides a logical approach for investors looking to invest in the data center boom without focusing on a single stock or REIT.
4. Nvidia Corp. (NVDA)
We do know Nvidia isn’t a data center company, but it’s the engine behind them. Its cutting-edge GPUs and semiconductors power AI, cloud computing, and high-performance data centers worldwide.
In its recent Q4 earnings, NVDA reported $39.3 billion in revenue. With AI demand on the rise, it has even more room to grow. It’s not the best for dividends, but if you’re looking for long-term growth, it’s a strong pick.
5. Southern Co. (SO)
You might not expect Southern Co. on the data center list, but as a regulated electric utility, it is surely going to benefit from the growing power demand for data centers.
As data centers are expected to account for up to 12% of electricity use by 2028, SO’s investments in battery storage and renewable energy make it an incredible player in this space. Other than that, it also offers a strong 3.3% dividend yield.
The data center growth isn’t slowing down anytime soon, and these stocks, REITs, and ETFs offer diversified ways to invest in these booming industries. Whether you’re after steady dividends, long-term growth, or a bit of both, these investments are the right fit for your portfolio.
