EME (EMCOR Group, Inc.): Themes, ETFs, and Basket Ideas
Last updated June 2026
Short answer
What does EMCOR Group, Inc. do?
EMCOR Group is one of the largest mechanical and electrical construction service providers in the United States. The company provides design, construction, installation, and service of mechanical, electrical, plumbing, fire protection, and various building infrastructure systems. EMCOR's end markets span commercial buildings, healthcare facilities, education, manufacturing, transportation infrastructure, and increasingly data centers and semiconductor fabs.
EMCOR operates through a network of subsidiaries that retain local brand identity and relationships. The model is similar to Comfort Systems USA but at larger scale and with broader services. The company also has a meaningful Industrial Services segment serving refining, petrochemical, and power generation maintenance. Headquartered in Norwalk, Connecticut. Tony Guzzi has been CEO since 2010.
Where is EMCOR Group, Inc. heading?
1. Data center construction.
AI-driven hyperscaler capex on new data center buildouts is a meaningful growth driver. EMCOR's mechanical and electrical construction expertise aligns with data center MEP requirements. Backlog from data center customers has grown materially.
2. Semiconductor fab and advanced manufacturing.
TSMC, Intel, Samsung, and Micron fab buildouts require massive MEP construction. EMCOR has been winning fab work. Broader advanced manufacturing reshoring provides additional demand.
3. Operating discipline and margin expansion.
Tony Guzzi has prioritized operating discipline and margin expansion throughout his tenure. EMCOR has consistently expanded operating margins through cycle. The discipline has driven strong earnings growth above revenue growth.
4. Capital return.
EMCOR has been a meaningful capital returner through dividends and buybacks. The dividend has grown consistently; buybacks have been opportunistic. Strong free cash flow conversion supports continued capital return.
Risks worth tracking: Construction cyclicality. Hyperscaler AI capex concentration in data center segment. Skilled labor availability constrains capacity to capture demand. Margin pressure during labor inflation periods.
Earnings and valuation (approximate, early 2026)
A simple financial snapshot. These are approximations and refresh quarterly; for current figures see EMCOR Group, Inc.'s investor relations page or your broker.
- Revenue (TTM): ~$15 billion
- Operating margin: ~10% (improving)
- Net income (TTM): ~$1.2 billion
- EPS (TTM): ~$25.00
- P/E (TTM): ~22x
- Price to sales: ~2x
- Dividend yield: ~0.3%, with consistent annual growth
- Free cash flow: ~$1 billion annually
- Backlog: Multi-quarter visibility, record levels
EMCOR trades at a premium to traditional construction contractors but a slight discount to Comfort Systems, reflecting similar end-market exposure with somewhat larger scale and more diversified mix. The multiple has expanded with the AI infrastructure thesis.
Themes EME belongs to
These are the investment theses EME naturally fits into. Each links to a full theme guide listing every other stock that belongs and the ETFs commonly used as a passive proxy.
EME's competitors
Mechanical, electrical, plumbing contractors
Comfort Systems USA (FIX) is the closest direct competitor. Quanta Services competes in electrical infrastructure, particularly transmission and distribution. MasTec competes in various infrastructure construction. Many large MEP contractors are privately held; the industry is structurally fragmented.
Industrial services
Specialty industrial services competitors compete in refining, petrochemical, and power generation maintenance. The industrial services business is more cyclical with energy markets.
Similar stocks
Other names that show up alongside EME in the same themes. Worth a look if you're thinking about diversification within a single thesis rather than concentration on one ticker.
Also fits Data center power and cooling. Largest specialty electrical infrastructure contractor in North America. Transmission and substation work for AI-driven utility load growth.
Also fits Data center power and cooling. Mechanical, electrical, and plumbing contracting with specialty data center expertise; backlog from hyperscaler customers has grown materially.
Also fits Data center power and cooling. E-Infrastructure Solutions specializes in data center site development (earthwork, foundations, utilities) for hyperscalers.
Also fits Data center power and cooling. Distributes the wire, cable, switchgear, busways, and datacom infrastructure that data center construction consumes at scale.
Using EME in a Walnut basket
The most useful question to ask about a single stock is rarely “will it go up?”. It's “does this fit a thesis I actually believe in, and how do I size it alongside other stocks that fit the same thesis?” That's what Walnut is built for.
Open the AI assistant on Walnut and describe a thesis (for example: “the AI infrastructure buildout”, “dividend growth large-caps”, “global semiconductors”) where EME would naturally fit. The AI proposes 5 to 6 constituents with target weights, you review, and you can fund the basket through your broker once you're ready.
Build a basket around EME with Walnut
Use EMCOR Group, Inc. as one constituent in a thematic basket Walnut's AI helps you assemble. Describe a thesis you believe in, the AI proposes the holdings and weights, and you approve before any broker order.
FAQ
What is EMCOR's ticker symbol?
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EME, listed on NYSE. Officially EMCOR Group, Inc. Headquartered in Norwalk, Connecticut. Trades during US market hours, available at every major US brokerage.
Who are EMCOR's competitors?
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Comfort Systems USA (FIX) is the closest direct competitor. Quanta Services (PWR) competes in electrical infrastructure. MasTec competes in various infrastructure construction. Many large MEP contractors are privately held; the industry is structurally fragmented across regions.
Is EMCOR an AI infrastructure stock?
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Yes. The data center end market has become a meaningful growth driver as AI-driven hyperscaler capex on new data center buildouts has accelerated. EMCOR's mechanical and electrical construction expertise aligns with data center MEP requirements. Backlog from data center customers has grown materially.
What is EMCOR's P/E ratio?
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Approximately 22x trailing twelve months as of early 2026. In line with the S&P 500 average (~22x). Slight discount to Comfort Systems USA reflecting larger scale and more diversified end markets, including a meaningful industrial services segment that is more cyclical with energy markets.
What does EMCOR do?
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EMCOR provides design, construction, installation, and service of mechanical, electrical, plumbing, fire protection, and various building infrastructure systems. End markets span commercial buildings, healthcare facilities, education, manufacturing, transportation infrastructure, data centers, and semiconductor fabs. The company also has a meaningful industrial services segment serving refining, petrochemical, and power generation maintenance.
Who owns the most EMCOR stock?
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Major institutional holders include Vanguard (~11%), BlackRock (~8%), and State Street (~4%). Insider ownership is modest. EMCOR is broadly institutionally owned and widely held in industrial-services, AI-infrastructure-themed, and dividend-growth funds.
Which ETFs have the most EMCOR exposure?
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PAVE (Global X US Infrastructure Development) holds EME at meaningful weight as a top holding. XLI (Industrial Select Sector SPDR) holds EME at small weight given its larger universe. VOO holds EME at ~0.2%. SCHD holds EME historically when it screens favorably on dividend metrics. Infrastructure-themed ETFs are the most concentrated way to gain EME exposure.
Which thematic baskets typically include EMCOR?
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Two themes on Walnut. Data center power and cooling (MEP contractor winning hyperscaler data center buildouts alongside Comfort Systems) and Infrastructure and reshoring (MEP contractor with broad industrial and commercial exposure).
Is EMCOR in the S&P 500?
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Yes. EME has been an S&P 500 constituent for many years. It is typically a top-200 S&P 500 holding by market cap, supported by consistent earnings and the multi-decade execution track record.
What is EMCOR's market cap?
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Approximately $25 billion as of early 2026. Market cap has grown several multiples since 2022 on AI data center backlog visibility and the broader infrastructure tailwind. EME is now among the larger US specialty contractors by market cap.
Does EMCOR pay a dividend?
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Yes. EME yields approximately 0.3% as of early 2026, paid quarterly. The dividend has been raised consistently for many years. The yield is modest because of share price appreciation; dollar dividends have grown but slower than share price. Operating discipline has supported reliable dividend growth.
How does EMCOR compare to Comfort Systems?
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Both are major US MEP contractors with similar business models. EMCOR is larger by revenue and has more diversified end-market exposure including a meaningful industrial services segment (refining, petrochemical, power generation maintenance). Comfort Systems is more concentrated on data center and specialty industrial construction. Returns over multi-year windows have been close; EME's industrial services adds cyclical exposure that FIX doesn't have.
What is EMCOR's industrial services business?
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EMCOR's industrial services segment provides specialty maintenance, turnaround, and capital project services to refining, petrochemical, and power generation customers. The business is more cyclical with energy markets than the core MEP construction business. Industrial services adds revenue diversification but also some cyclical exposure that pure MEP contractors lack.
Should I own EMCOR directly or through PAVE?
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Both common. Direct EME gives concentrated MEP and industrial services exposure with the dividend track record. PAVE includes EME along with broader infrastructure including aggregates, contractors, and equipment. Many Walnut users hold both EME and FIX directly in infrastructure or data center power baskets to capture the MEP contracting thesis across both companies.
Walnut is informational, not investment advice. Financial figures on this page are approximations; always verify current numbers with EMCOR Group, Inc.'s investor relations page or your broker before making investment decisions.