AI Infrastructure Trade Roars Back as Tech Giants Boost Spending

Shares of companies that provide infrastructure for artificial-intelligence development are soaring after a tumble earlier this year, as spending from Big Tech restores investor confidence in the volatile sector.

Two baskets tracked by Goldman Sachs Group Inc. — one tracking AI data centers and electrical equipment stocks and another that follows shares of companies that supply power for data centers — are up 52% and 39% from their April lows, respectively. Individual standouts include Vertiv Holdings Co., which has notched a 94% gain since April 4, as well as Constellation Energy Corp., up 75% in that same period.