GE Vernova vs. Caterpillar: Which Has More Exposure to the AI Power Build-Out?

Both GE Vernova and Caterpillar are benefiting from massive AI infrastructure spending, with hyperscaler capital investments expected to reach $1.7 trillion by 2027. GE Vernova has greater direct exposure to data center power needs through gas turbines and electrification equipment, with a $176 billion backlog and 20% of orders from data centers. Caterpillar benefits from backup power systems and construction equipment for data centers, with a $72 billion backlog. GE Vernova has outperformed significantly since 2024 (+596% vs +149%), but both stocks have declined from recent highs.