Comfort Systems (NYSE:FIX) is one of the 10 Data Center Cooling Companies to Invest In . On December 5, Comfort Systems was selected to become a part of the S&P 500 index. The news came after the quarterly rebalancing of the index, meaning FIX will now be included in the S&P 500 index before the market opens on December 22. The company is one of three tickers that will replace LKQ Corp. (NASDAQ:LKQ), Mohawk Industries Inc.(NYSE:MHK), and Solstice Advanced Materials Inc. (NASDAQ:SOLS).
According to a December 6 Bloomberg report, Matt Maley, chief market strategist at Miller Tabak + Co., mentioned how the stock price tends to rise leading up to the inclusion. This was witnessed in the case of Comfort Systems stock as well. However, he was also quick to point out that this increasing interest in the stock quickly subsides once the inclusion actually happens. For now, the positive momentum since the April dip is likely to continue.
The optimism isn’t just coming on the back of the S&P inclusion. After posting an earnings beat in the third quarter on October 24, FIX received two back-to-back upgrades from UBS and Stifel. As things stand, the stock enjoys a consensus buy rating with a median price target offering 15.21% upside from current levels.
Comfort Systems USA, Inc. (NYSE:FIX) provides mechanical and electrical installation, maintenance, replacement, renovation, and repair services. The firm operates through Electrical and Mechanical segments. It provides ventilation, air conditioning, and heating systems. It was founded in 1917 and is based in Houston, Texas.
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Disclosure: None. This article is originally published at Insider Monkey.
