Blue Collar AI Stock Comfort Systems Jumps On Blowout Earnings, Soaring Backlog

2026-02-20 12:47:51

Comfort Systems USA (FIX), an HVAC and electrical contractor, delivered blowout fourth-quarter earnings late Thursday. FIX stock, which has become an AI stock as data centers make up a rapidly growing portion of its business, hit a record high in early Friday stock market action. The $2.6 billion jump in its order backlog instills confidence that the good times will last.

FIX stock, added to the S&P 500 in December, rose 120% in 2025. The year-to-date 55% gain through Thursday is seventh-best among the S&P 500.

“A very strong fourth-quarter result was necessary to sustain this momentum, and the company did not disappoint,” wrote William Blair analyst Tim Mulrooney.

				    ↑
					X

This video file cannot be played.(Error Code: 102630)

								What Big Tech Earnings Reveal About The AI Race
							

							

								See All Videos
							

						

					
					
						NOW PLAYING
						What Big Tech Earnings Reveal About The AI Race

Comfort Systems Earnings

Comfort Systems reported earnings per share of $9.37, up 129% from a year ago and $2.62 above consensus estimates. Revenue leapt 42% to $2.65 billion vs. forecasts of $2.34 billion. EPS growth has accelerated for five straight quarters, while revenue gains have ramped up for the last three quarters.

For the full year, Comfort Systems’ operating profit margin reached 14.4%, up from 10.7% in 2024 and 8% in 2023.

Rising margins reflect pricing power. “There’s a huge shortage of electricians, plumbers, welders, millwrights and pipe fitters in this country,” Mulrooney told Investor’s Business Daily recently. “There’s a limited supply and a growing demand. In that situation, what is the outlet? It’s price.”

This AI Data Center Play Is Powered By An Army Of Welders

How Fix Became An AI Stock

Most end markets have been showing growth, including health care facilities and manufacturing plants for semiconductors and pharmaceuticals. But AI data centers have been the key growth driver. Technology-sector revenue, mostly data centers, rose to 45% of the total in 2025 from 33% in 2024.

Comfort Systems stock surged to start the year on the strength of massive AI spending plans. Mulrooney noted in a Feb. 6 report that planned capex spending by Meta Platforms (META), Google (GOOGL), Amazon (AMZN), Microsoft (MSFT), Oracle (ORCL) and CoreWeave (CRWV) is projected to hit $656 billion in 2026 from $393 billion in 2025.

That fueled anticipation Comfort Systems’ order backlog would grow, and that thesis panned out. The backlog rose to $11.945 billion from $9.38 billion at the end of Q3 and $5.99 billion a year ago.

Comfort Systems Stock

FIX rose 4.1% to 1,430 early Friday, after climbing 4.1% ahead of earnings on Thursday.

Comfort Systems boasts a perfect 99 IBD Composite Rating. The single rating combines both fundamental and technical factors. Shares lead the Building-A/C & Heating Products industry group, according to IBD Stock Checkup.

Comfort Systems stock is part of the flagship IBD 50 list of leading growth stocks.

On Jan. 2, Comfort Systems stock began a move above support at its 50-day moving average and traded 26% above that key technical level on Thursday.

Be sure to read IBD’s The Big Picture column after each trading day to get the latest on the prevailing stock market trend and what it means for your trading decisions.

YOU MAY ALSO LIKE:

AI Jobs Disruption Is Here. What It Means For The S&P 500 And You.

These Are The Best 5 Stocks To Buy Now Or Get Ready To

Why This IBD Tool Simplifies The Search For Top Stocks

How To Invest: Rules For When To Buy And Sell Stocks In Bull And Bear Markets

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.