With the upcoming use of AI and digital tech, Data centers have become popular and important. They provide important digital services, like cloud computing, AI, e-commerce, and host streaming platforms.
Investing in Data center stocks is a good way to diversify your portfolio as their need is growing rapidly.
What are Data Center stocks?
Data center stocks are shares of companies that create, own, or operate large-scale data centers. A few companies, which are directly or indirectly related to data centers, are also known as data center companies.
These companies can be infrastructure providers like building, maintaining, and operating data centers; cloud hosting providers; server and storage equipment manufacturers; chipmakers; cooling and power infrastructure providers; and networking and cybersecurity service providers.
Why Are Data Center Stocks Gaining Popularity in India?
1. Increasing Internet usage
As we are going digital, the internet usage is increasing and so is the need for data centers. These centers are what keep streaming services like Netflix and finance apps that handle thousands of transactions every day running all the time.
2. Data Localization
Due to the high demand for local data storage, Indian infrastructure and IT industries have grown swiftly.
3. More money is going into IT around the world.
Big tech companies from around the world, such as Amazon Web Services (AWS), Google, Microsoft, and Oracle, are investing substantial amounts in Indian data centers to meet local demand.
List of Best Data Center Stocks in India [October 2025 Update]
Best Data Center Stocks | Market Cap (in Rs Cr) | Share Price |
Tata communications | 55,860 | 1,960.00 |
Netweb Technologies | 21,401 | 3,777.00 |
Anant Raj | 21,818 | 634.50 |
Techno Electric and Engineering | 15,696 | 1,349.00 |
E2E Networks | 6,388 | 3,171.90 |
Aurionpro Solutions | 6,510 | 1,178.20 |
Black Box | 9,420 | 559 |
Kirloskar Oil Engines | 12,803 | 882.25 |
RailTel Corporation of India | 11,963 | 371.8 |
Marine Electricals (India) | 2,862 | 215.76 |
Orient Technologies | 1,984 | 475.6 |
Allied Digital Services | 1,021 | 181 |
Note: Data updated as of 16th Oct’25
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Overview of Top Data Center Stocks in India
Tata Communications
Overview: Tata Communications has its headquarters in Mumbai. It operates in 190+ countries with fiber networks that are also underwater.
Data Center Presence: 44 data centers worldwide, with more than 1 million square feet across continents.
Key Offering: Managed hosting, hybrid clouds, and disaster recovery solutions have 99.95% uptime, ensuring business continuity.
Netweb Technologies
Overview: Indian tech startup Netweb Technologies is developing fast. Data center and computer solutions are its specialties. IT, BFSI, government, and defense are their priority sectors. It manufactures in India and sells systems worldwide.
Data Center Presence: The Tyrone brand owns Netweb.For large computing clients, the business designs and manages supercomputing and cloud infrastructures.
Core Products: Netweb offers Supercomputing machines, AI servers, cloud services, and 1,000 petabytes of fast data storage.
Anant Raj
Overview: Well-known real estate developer Anant Raj has entered India's growing data center business. They create cutting-edge digital infrastructure in Delhi-NCR.
Data Center Presence: They manage large estates with 64 MW to 150 MW power capacity to provide flexible and adaptive data center locations for growing organizations.
Key Offerings: The company provides customized data center infrastructure and campus-based models for faster deployment, with white space accessible in six months.
Techno-electric and Engineering
Overview: EPC power infrastructure giant Techno Electric Ltd. They establish, own, and manage India's industrial and commercial power and electrical infrastructure. India's Techno Electric serves public and private sectors.
Data Center Presence: They are building 102 Indian data centers by FY29.
Key Offerings: Techno Electric designs and develops power control, transfer, and emergency power systems. This is essential for data center efficiency and energy conservation.
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Kirloskar Oil Engines
Overview: Data centers stay online with KOEL's backup power and energy management systems. KOEL's powerful diesel generators are in demand by Indian data centers. With over 5,000 touchpoints nationwide, Kirloskar Oil Engines sells power solutions to over 70 nations.
Data Center Presence: KOEL backup power and energy management systems enable data center operations. KOEL diesel generators are needed as data centers grow.
Key Offerings: KOEL provides diesel and gas generator sets, customized energy solutions, and remote monitoring systems to assist data centers operate 24/7.
RailTel Corporation of India
Overview: The Ministries of Railways own RailTel Corporation of India Ltd. Urban and rural areas are connected by India's major telecom and internet infrastructure provider. To give remote Indians internet access, RailTel provides leased lines, high-speed broadband, cloud services, video conferencing, and free Wi-Fi to over 6000 regional rail stations.
Data Center Presence: The Uptime Institute, USA, certifies RailTel's Secunderabad and Gurugram Tier-III data centers.
Key Offerings: The company offers managed hosting, colocation, IaaS and PaaS, disaster recovery, and security. Data and service security include layers of surveillance, 24/7 monitoring, and government data localization-compliant backup systems.
Black Box
Overview: The Navi Mumbai-based tech company Black Box, formerly AGC Networks, works worldwide. With 75 service centers worldwide and 14 in India, it serves over 8,000 customers in 25 countries. India and 25 other countries host IT Black Box.
Data Center Presence: Hyperscale data center infrastructure services include designing, building, and operating advanced facilities in various locations.
Key Offerings: Complete infrastructure solutions from Black Box include structured cabling (fiber and copper), power distribution, network architecture, and security integration. 24/7 data center monitoring, equipment installations, and regular maintenance ensure reliability and efficiency.
E2E Networks
Overview: E2E Networks, an Indian hyperscaler that pioneers cloud GPU infrastructure and cloud computing, prioritises AI. This NSE-listed firm was founded in 2009. High-performance, scalable cloud choices for AI and digital workloads are their major focus.
Data center presence: AI-specific cloud data centers from E2E Networks use the newest NVIDIA GPUs (A100, H100, H200) to handle difficult AI and machine learning operations.
Key Offerings: Startups, corporations, researchers, and public sector organizations can quickly and contract-free adopt cloud computing, AI/ML infrastructure, and high-performance GPU resources from the company.
Aurionpro Solutions
Overview: Aurionpro Solutions, located in Navi Mumbai and founded in 1997, is a leader in banking, payments, transit, data centers, and government services technology. This company provides enterprise AI, hybrid cloud, and managed IT services to over 300 customers worldwide.
Data Center Presence: Aurionpro's data center infrastructure services secure scalable digital transformations for banks, governments, and companies.
Key Offerings: Besides data center operations for stability and uptime, the company offers managed IT, hybrid cloud, and AI corporate platforms.
Marine Electricals (India)
Overview: Maritime Electricals is a trusted electrical and automation company serving maritime, industrial, commercial, and data centers. The company provides power distribution and smart building management turnkey electrical systems.
Key Offerings: From low- and medium-voltage power distribution to sophisticated PMCCs, EMS solutions, and electrical infrastructure management, the company covers all data center operations.
Key Metrics to Evaluate Data Center Stocks
Here are some essential things to consider while investing in these stocks-
Revenue & Growth: Take a close look at how quickly the company’s income is increasing, particularly from its data center and cloud services.
Occupancy & Utilization: A higher occupancy rate in data centers is a good sign of consistent demand and revenue stability.
Profitability Ratios: Metrics like EBITDA margin, ROE, and net profit margin show how efficiently the company converts revenue into profit.
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How to Purchase Stocks in Indian Data Centers
Step 1: Open a trading and demat account.
To buy or sell Indian stocks, you need to have a trading account. To hold shares electronically, you need a Demat account. Numerous brokers offer both on a single platform.
Step 2: Search for Listed Data Center Companies
Analyze financial results, growth strategies, and business descriptions. Take into account crucial metrics like occupancy, revenue growth, and profitability ratios before narrowing down your options.
Step 3: Analyze the Basis and opportunities.
Look at capital spending plans, balance sheets, and the amount of debt. When figuring out how much growth there is, you should look at market trends like the use of the cloud, AI, and data localization.
Step 4: Diversify and Invest Sensibly
Don't put all of your money into one stock. Diversify across industries and businesses to reduce risk. Investing modestly in several high-potential data center stocks can yield balanced returns.
Step 5: Regularly Review Your Portfolio
Follow company earnings reports, occupancy updates, and industry developments. Be ready to adjust your investments if performance or market conditions change.
Conclusion
Data center stocks offer a unique opportunity to invest in the backbone of India's digital economy.
Because of the long-term growth potential driven by cloud adoption, artificial intelligence, and governmental regulations, patient investors should consider them despite their capital-intensive operations and regulatory risks.
A careful mix of research, diversification, and monitoring can boost returns.
Frequently Asked Questions (FAQs)
Are data center stocks a prudent long-term investment?
Yes, if these stocks have strong foundations and expansion plans, they can be lucrative for investors seeking long-term growth in India's cloud and digital economy.
Do Indian data center companies pay dividends regularly?
Since most high-growth data center companies reinvest their profits to expand capacity, regular dividends may be limited. Sometimes, well-established companies will pay dividends.
Which data center stocks have strong fundamentals?
You should look for companies that have low debt, steady revenue growth, high occupancy, dependable SLAs, and clear growth plans. Examples include E2E Networks, Tata Communications, and RailTel.
How do regulations affect data center businesses?
Almost every type of regulation, including data localization, compliance with the environment, and cost and profitability of electricity, affects the profitability of data centers. Those businesses that adapt with agility tend to achieve sustainable growth.
Are there any new data center IPOs planned in India?
Indeed, in the next few years, several new data center businesses are on the cusp of going public and offering a new investment option in the digital infrastructure market in India.
Disclaimer: The content on this blog is for educational purposes only and should not be considered investment advice.