NN, Inc. shares climbed 68% Monday morning following the company’s disclosure of new multi-year awards for liquid-cooling components destined for NVIDIA AI data center racks. The awards augment previously announced contracts and expand NN’s liquid cooling product portfolio aimed at the data center market.
The company said it will deploy 52 dedicated machines to support its data center business - 50 machines for production and two reserved for samples - and that it has pre-sold 100% of that production capacity. The statement framed this manufacturing commitment as integral to meeting demand tied to the new awards.
To support the increased load, NN plans to add 47 machine centers at its Wuxi, China facility. That addition includes 30 new CNC machines and five automotive production centers repurposed for data center manufacturing, on top of 17 machines the company previously announced. Once complete, NN expects the Wuxi plant to house roughly 250 CNC machine centers, up from about 200.
Company leadership said the combined Data Center and Electric Grid business already ranks as NN’s second-largest segment and is slated to grow into the company’s largest business by sales. NN identified data centers and the electric grid, along with medical products and defense and electronics, as its primary targeted growth markets.
CEO Harold Bevis noted that NN launched a custom-designed stainless-steel product line for the liquid-cooled data center market in the first quarter of 2026. The firm said expansion activity is taking place during the second quarter of 2026 and that the new capacity will be additive to sales for 2026. The 47th of the newly planned machines is scheduled for installation in November 2026.
The Wuxi plant is expected to supply parts into NVIDIA’s Asia supply chain across China, Taiwan, and Vietnam. NN stated that the new awards fall within its previously issued range of $80 million to $90 million of new business anticipated for 2026.
Management also indicated plans to revise 2026 and 2027 sales and EBITDA guidance when NN releases second-quarter results in early August, signaling that investors should expect updated financial metrics alongside operational progress.
Context and operational details
- The 52 dedicated machines include two for sample production, while the remaining 50 are for commercial output.
- The Wuxi expansion converts five automotive production centers to support liquid-cooling component manufacturing, supplementing new CNC buys.
- NN has categorized data centers and electric grid as growth priorities alongside medical and defense/electronics markets.
The company emphasized that the newly announced awards are additive to prior contracts and that the full production run tied to the initial 50 production machines was already sold prior to ramp-up.