Comfort Systems USA (FIX) Continued to Benefit from Increasing Focus on AI

ClearBridge Investments, an investment management company, released its “ClearBridge Select Strategy” second-quarter 2025 investor letter. A copy of the letter can be downloaded here. U.S. equities strongly rebounded in the second quarter. The S&P 500 Index returned 10.9%, and the benchmark Russell 3000 Index advanced 11.0%, as risk-on sentiment took hold following the pause in tariff implementation. The strategy outperformed the benchmark in the quarter, driven by the strength in portfolio construction across companies and sectors with distinct growth drivers. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its second-quarter 2025 investor letter, ClearBridge Select Strategy highlighted stocks such as Comfort Systems USA, Inc. (NYSE:FIX). Comfort Systems USA, Inc. (NYSE:FIX) offers mechanical and electrical installation, renovation, maintenance, repair, and replacement services. The one-month return of Comfort Systems USA, Inc. (NYSE:FIX) was 9.93%, and its shares gained 100.62% of their value over the last 52 weeks. On September 10, 2025, Comfort Systems USA, Inc. (NYSE:FIX) stock closed at $762.91 per share, with a market capitalization of $26.917 billion.

ClearBridge Select Strategy stated the following regarding Comfort Systems USA, Inc. (NYSE:FIX) in its second quarter 2025 investor letter:

Vertiv and Comfort Systems USA, Inc. (NYSE:FIX) continue to benefit from the growing focus on AI and the underlying infrastructure investments required to support it. Vertiv delivers power and thermal management systems critical for data center operations, while Comfort Systems provides HVAC and electrical systems installation and maintenance. These names helped offset weakness across our more cyclical industrial positions that have yet to see a meaningful upturn in economic activity.

Comfort Systems USA, Inc. (NYSE:FIX) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 53 hedge fund portfolios held Comfort Systems USA, Inc. (NYSE:FIX) at the end of the second quarter, which was 48 in the previous quarter. In the second quarter of 2025, Comfort Systems USA, Inc. (NYSE:FIX) reported a revenue of $2.2 billion, which signifies an increase of $363 million or 20% compared to the previous year. While we acknowledge the potential of Comfort Systems USA, Inc. (NYSE:FIX) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

In another article, we covered Comfort Systems USA, Inc. (NYSE:FIX) and shared TimesSquare Capital U.S. Focus Growth Strategy's views on the company. In addition, please check out our hedge fund investor letters Q2 2025 page for more investor letters from hedge funds and other leading investors.

READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money.

Disclosure: None. This article is originally published at Insider Monkey.