$1 Trillion Data-Center Boom Powers Stocks to Record Highs
On CNBC's 'Squawk on the Street', Jim Cramer expressed his enthusiasm for the current market, calling it one of the most exciting moments he's experienced. He pointed to Caterpillar (NYSE:CAT) and Palantir (NASDAQ:PLTR), two companies that have seen significant growth due to the increasing demand for data centers.
Caterpillar reported its first-ever $20 billion quarter in Q2 2026, with a revenue increase of 23.98% year-over-year. Its Power & Energy segment saw a 29% rise in revenue, driven by large reciprocating engines and turbines used in data centers. Palantir's revenue grew 93% year-over-year, with its U.S. commercial revenue surging 149% to $764 million.
Cramer tied both companies to the same $1.2 trillion data-center capex wave growing 30% annually. He believes this trend will continue, leading to further growth in the stocks of companies involved.