The stock market has spent much of the AI boom rewarding companies that can turn artificial intelligence spending into revenue, profits, and cash flow. But in 2026, investors have expanded the list of winners. The rally has moved beyond mega-cap technology companies and into smaller companies positioned to benefit from the massive buildout of AI infrastructure.
The surprising part is not simply that small caps are winning. It is which small caps are winning.
This post originally appeared at 24/7 Wall St.