Comfort Systems USA, Inc. FIX is riding one of the strongest growth waves in its history, but its increasing reliance on technology customers raises an important question: could concentration risk eventually become a concern?
The company delivered an exceptional first quarter of 2026, with revenues soaring 56% year over year to $2.87 billion and earnings per share more than doubling to $10.51. Much of that performance was fueled by advanced technology projects, primarily data center construction, which accounted for 56% of total revenues during the quarter. The demand backdrop remains compelling. Hyperscale cloud providers and AI-related infrastructure investments continue driving a surge in construction activity, helping FIX build a record backlog of $12.45 billion (up 80.8% year over year). Management highlighted that advanced technology remains the largest contributor to both its project pipeline and backlog, underscoring the strength of this end market.
However, concentration cuts both ways. While technology customers are currently generating unprecedented growth opportunities, a slowdown in data center spending, project delays or changes in capital allocation among major technology firms could create volatility. Investors should also remember that today’s growth rates are being supported by one of the most intense infrastructure investment cycles in recent memory.
That said, Comfort Systems is not solely dependent on technology projects. The company maintains exposure to manufacturing, healthcare, education and government markets, while continuing to expand its modular construction capabilities and electrical operations. These businesses provide additional avenues for growth and diversification.
For now, technology concentration appears more like a competitive advantage than a vulnerability. As long as AI and cloud infrastructure spending remain robust, Comfort Systems looks well positioned to convert its massive backlog into continued revenue and earnings growth.
Comfort Systems vs. AAON vs. Carrier: Tech Boom Race
Comfort Systems, alongside its close peers, AAON, Inc. AAON and Carrier Global $CARR Corporation CARR, is increasingly benefiting from the surge in technology infrastructure spending, particularly data centers supporting AI and cloud computing workloads. However, each company participates in this trend through different parts of the value chain.
AAON is capitalizing on rising demand for specialized HVAC and cooling systems required in mission-critical data centers. As computing density increases, efficient thermal management solutions are becoming more important, creating favorable demand trends for AAON’s premium offerings.
Carrier Global benefits from data center expansion through its broad portfolio of cooling, climate-control and aftermarket service solutions. Combined with its global reach and diversified customer base, Carrier Global is positioned to capture long-term growth from expanding technology infrastructure investments.
FIX Stock’s Price Performance & Valuation Trend
Shares of this Texas-based heating, ventilation, air conditioning and electrical contracting service provider have surged 91.5% year to date, significantly outperforming the Zacks Building Products - Air Conditioner and Heating industry, the broader Construction sector and the S&P 500 Index.
Image Source: Zacks Investment Research
FIX stock is currently trading at a premium compared with the industry peers, with a forward 12-month price-to-earnings (P/E) ratio of 38.09, as the trend lines suggest below.
Image Source: Zacks Investment Research
Earnings Estimate Trend Favors FIX
FIX’s earnings estimates for 2026 and 2027 have moved upward in the past seven days to $43.05 and $52.32 per share, respectively. The revised estimates for 2026 and 2027 imply year-over-year growth of 49.1% and 21.5%, respectively.
Image Source: Zacks Investment Research
Comfort Systems currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
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AAON, Inc. (AAON): Free Stock Analysis Report
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