New York, Feb 20, 2026, 15:37 EST — Regular session.
- The contractor’s shares climbed roughly 6% in afternoon trading, lifted by a surge in profit and an all-time high for its backlog.
- Comfort Systems bumped its quarterly dividend up to $0.70 a share.
- Investors want to see if all that data center demand actually translates into contracts — and money in hand.
Shares of Comfort Systems USA, Inc. jumped roughly 6% Friday, building on earlier momentum after the HVAC contractor posted record backlog figures and bumped up its quarterly dividend. By 3:37 p.m. EST, the stock was higher by $82.21 at $1,455.73, having reached as much as $1,468.19 earlier in the session.
It matters now—investors have looked to Comfort Systems as something of a proxy for the ongoing data-center expansion, with multi-year construction pipelines driven by power and cooling contracts.
Backlog refers to contracted work that hasn’t hit revenue yet. Traders often look at this number first when gauging visibility.
Houston-based company’s fourth-quarter net income jumped to $330.8 million, or $9.37 a share, up from $145.9 million, or $4.09 per share, a year ago, according to a Feb. 19 SEC filing. Revenue touched $2.65 billion. Backlog at Dec. 31 hit $11.94 billion, compared with $9.38 billion as of late September. “Backlog is just under $12 billion, and it has roughly doubled since the beginning of the year,” CEO Brian Lane said.
Executives told analysts Friday that technology work, mainly data centers, will account for 45% of revenue next year—up from 33% in 2024. They also said modular operations, which use prefabricated systems built off-site, are holding steady at roughly 3 million square feet of capacity, with plans to push that to about 4 million by the close of 2026.
The board also bumped up its quarterly dividend by 10 cents to $0.70 per share, setting March 17 for the payout.
Contractors saw gains across the board. EMCOR Group ticked up roughly 1.2%, while MYR Group jumped 4.6%. Primoris Services picked up 2.2%. The SPDR S&P 500 ETF advanced 0.6%, and the Invesco QQQ climbed about 0.8%.
William Blair analyst Tim Mulrooney called it: “A very strong fourth-quarter result was necessary to sustain this momentum, and the company did not disappoint.” Investors
The surge comes with its risks. Barron’s points out that Comfort Systems now trades at a forward price-to-earnings multiple of about 43—a lofty figure that leaves the stock vulnerable if bookings slow or margins get squeezed.
Investors are watching to see if the record backlog actually drives revenue, and whether the company can deliver without overtaxing its workforce or stumbling operationally. Up next: March 6, the record date to qualify for the higher dividend, according to a filing.
