Written by Amy Legate-Wolfe at The Motley Fool Canada
An artificial-intelligence (AI) data centre may be stuffed with some of the world’s most sophisticated chips, but those chips become very expensive paperweights without a building, electricity, cooling, wiring, foundations, and enough grid capacity to keep the whole thing humming.
That physical side of the AI boom could become increasingly difficult to ignore.
The International Energy Agency expects global data-centre electricity consumption to roughly double from 485 terawatt-hours in 2025 to around 950 TWh by 2030. Meanwhile, Canada is trying to capture more of that investment while simultaneously upgrading an electricity system being squeezed by AI, industrial growth, and electrification.
The opportunity goes well beyond semiconductor companies. Data centres can take roughly one to three years to build, according to the IEA. Before anyone starts charging customers for AI computing, billions can flow toward contractors installing electrical systems, mechanical equipment, cooling, foundations, and the buildings themselves.
That’s why I’m increasingly interested in Bird Construction (TSX: BDT).
BDT
Bird is a Canadian construction and maintenance company working across infrastructure, industrial projects, nuclear facilities, mining, energy, healthcare, and increasingly mission-critical data centres.
That last category just became much more interesting. In May, Bell Canada selected Bird as the lead construction partner for its planned 300-megawatt AI data centre in Sherwood, Saskatchewan. The facility expects to provide computing capacity to customers, including CoreWeave and Cerebras. The first phase targets the first half of 2027.
More importantly, this isn’t necessarily a one-building relationship. Bird became Bell’s preferred construction partner under a multi-year agreement covering potential future projects in Bell AI Fabric’s Canada-wide expansion. Bird can provide electrical, mechanical, civil, and systems work. This allows it to collect revenue from considerably more than pouring a concrete slab and waving goodbye.
Investors interested in buying stocks in Canada therefore have a way to play AI spending. All without guessing which chip will win the next benchmark contest.
Into earnings
Bird’s latest results suggest the data-centre opportunity is arriving on top of an already strong construction cycle. Second-quarter revenue climbed 22.6% year over year to $1 billion, marking the first billion-dollar quarter in company history. Adjusted earnings per share increased 40% to $0.70.
Even more important for what comes next, contracted backlog reached a record $6.1 billion, up 30.6% from a year ago. Add another $6 billion of pending backlog ,and Bird had more than $12 billion of combined work in various stages at the end of June.
Margins are improving alongside revenue. The adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) margin rose to 7.1% from 6.5%, while management continues to target an 8% margin by 2027. That combination of more work and better profitability on that work is exactly what I’d want to see.
Not exactly cheap
There is one sizeable catch. Around $70 recently, Bird stock more than tripled from a 52-week low near $22. The trailing price-to-earnings ratio has consequently stretched above 60. This leaves little room for construction delays, cost overruns, or slower infrastructure spending.
Construction companies also live with execution risk. One poorly priced project can chew through margins surprisingly quickly. Bell’s future data-centre projects aren’t guaranteed simply because Bird remains the preferred partner, either.
That’s why I’d buy gradually, perhaps using broader weakness during a stock market correction to build the position rather than chasing it in one afternoon.
Bottom line
Yet Bird stock now has record backlog, expanding margins, and a direct role in one of Canada’s largest announced AI infrastructure projects.
The AI boom may be powered by chips, but somebody still has to build everything around them. Bird is increasingly getting paid to do exactly that.
The post Canada’s Data-Centre Boom Needs More Than Chips: This TSX Stock Could Win appeared first on The Motley Fool Canada.
Should you invest $1,000 in Bird Construction right now?
Before you buy stock in Bird Construction, consider this:
The Motley Fool Canada team has identified what they believe are the top 10 TSX stocks for 2026… and Bird Construction wasn’t one of them. The 10 stocks that made the cut could potentially produce monster returns in the coming years.
Consider MercadoLibre, which we first recommended on January 8, 2014 … if you invested $1,000 in the “eBay of Latin America” at the time of our recommendation, you’d have over $18,000!*
Now, it’s worth noting Stock Advisor Canada’s total average return is 98%* – a market-crushing outperformance compared to 88%* for the S&P/TSX Composite Index. Don’t miss out on our top 10 stocks, available when you join our mailing list!
* Returns as of July 30th, 2026
More reading
Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
2026