Brookfield Infrastructure Partners (TSX:BIP.UN) might not be the first name that comes to mind when you think of data centre stocks. Yet it should be. This global infrastructure giant has quietly positioned itself as a key player in the digital world, making it one of the savviest investments you can make right now with $600. While tech giants build the flashy front end of the internet, Brookfield provides the backbone. The critical infrastructure that keeps everything running smoothly.
Source: Getty Images
The numbers
BIP’s recent earnings report, released on Jan. 30, 2025, highlighted just how strong its position has become. The data centre stock reported earnings per share (EPS) of $0.82, significantly beating analysts’ expectations of $0.24. Revenue came in at $21.04 billion, reflecting year-over-year growth of 9.5%. This performance is a testament to the company’s ability to deliver consistent results, even in a volatile market. It’s not just about the numbers, though. BIP’s strategic moves in the data centre space are what truly make it stand out.
A key part of Brookfield’s strategy has been its aggressive expansion into data centre infrastructure. In 2023, the company announced plans to develop nearly one gigawatt of data centre capacity over three years, aiming to meet the growing demand from cloud providers and artificial intelligence (AI)-driven services. This initiative alone is expected to increase the data centre stock’s earnings before interest, taxes, depreciation, and amortization (EBITDA) by more than five times compared to previous years, demonstrating how central data centres have become to BIP’s growth story.
More to come
Brookfield also partnered with the Ontario Teachers’ Pension Plan to acquire Compass Datacenters, a company specializing in hyperscale data centre facilities. This acquisition not only expanded BIP’s footprint but also strengthened its relationships with major tech clients. With data consumption and cloud storage needs skyrocketing, Brookfield’s investment in Compass ensures it remains at the forefront of this digital transformation.
The company hasn’t stopped there. BIP recently committed up to €20 billion to develop AI infrastructure in France. A move aligned with the French government’s ambitions to become a global AI hub. This investment highlights Brookfield’s forward-thinking approach, ensuring its infrastructure portfolio stays relevant as technology continues to evolve. It’s not just about passive investments. It’s about building the future of digital connectivity.
Getting income now
Despite its focus on growth, Brookfield hasn’t forgotten about its investors. The data centre stock declared a quarterly distribution of $0.43 per unit, marking its 16th consecutive distribution increase. That kind of reliability, especially in a high-growth sector, is hard to find. With a forward dividend yield of 5.29% at writing, BIP offers a rare combination of income and growth potential.
Financially, Brookfield remains strong. The company has a market cap of $21.6 billion and holds $2.07 billion in cash. While its total debt stands at $51.09 billion, its current ratio of 3.33 shows it can comfortably manage its obligations. The data centre stock trades at a forward price-to-earnings (P/E) ratio of 39.22. Thus reflecting the market’s confidence in its future earnings potential. Its 52-week range of $34.36 to $50.46 suggests that the current price near $45 offers solid value.
Bottom line
Brookfield’s diversified portfolio, spanning utilities, transport, midstream assets, and digital infrastructure, gives it resilience. If one sector slows down, others can pick up the slack. This balance, combined with the data centre stock’s focus on high-growth areas like data centres and AI infrastructure, makes it a standout choice, especially for investors looking to benefit from the digital economy without taking on excessive risk.
With $600, you’re not just buying stock. You’re buying into the infrastructure that powers the internet, AI, and cloud computing. Brookfield Infrastructure Partners offers a rare combination of stability, growth potential, and income, making it a smart addition to any portfolio. As the world becomes increasingly digital, BIP is perfectly positioned to grow alongside it, making now an excellent time to invest.
