Don’t Miss Out on These 10 Booming Stocks, Fidelity Says

Core Insights - Industrial stocks have emerged as the top performers of 2025, driven by trends in manufacturing, AI infrastructure, and increased aerospace and defense spending [1][2][3] Group 1: Trends Driving Industrial Stocks - The return of manufacturing to the United States is increasing demand for factory equipment and construction services [2] - The AI boom necessitates substantial physical infrastructure, including backup power systems and climate control, which industrial companies provide [3][4] - Aerospace and defense spending has surged, contributing to a 32% increase in this sector, which constitutes about 25% of the industrials category [3] Group 2: Investment Focus - Fidelity's Select Industrials Portfolio highlights companies that are essential for AI infrastructure, which includes those providing industrial assets for data centers [4][5] - GE Aerospace, making up 7.7% of the portfolio, benefits from the recovery in air travel and the replacement of delayed aircraft purchases [6] - GE Vernova, representing 7.6% of holdings, focuses on power generation equipment, which is increasingly valuable as demand for electricity rises in data centers and industrial facilities [7]