2 FTSE 100 companies that could quietly benefit from the AI boom
The FTSE 100 isnât exactly brimming with Silicon Valley-style innovation. Unlike the Nasdaq, there arenât many pure tech firms driving returns. But that doesnât mean British investors are missing out on the artificial intelligence (AI) revolution.
Several UK-listed companies stand to benefit indirectly by supplying the materials, tools and infrastructure needed to build and support AI systems. So here are two Footsie stocks I think are worth considering for their potential links to AI growth.
Rio Tinto
Rio Tinto (LSE: RIO) is one of the worldâs largest diversified miners and an essential player in the global supply chain for AI infrastructure. The company produces the minerals needed to make data centres and networks possible â especially copper, aluminium and iron ore.
Copper is vital for data centre infrastructure and aluminium is equally important, used to make lightweight server racks and cooling systems. Both metals are expected to see surging demand as AI adoption accelerates.
Rio is already expanding projects in Mongolia and the US to meet this demand. In H1 2025, it reported £11bn in profit from £41.53bn in revenue â a solid margin above 25%.
Price growth is slow but with a forward price-to-earnings (P/E) ratio of just 11.2, the stock still looks attractively undervalued. Plus, its return on equity (ROE) is 18.43% and the balance sheet is robust, with strong debt coverage and ample cash reserves.
But dividends are the main attraction here. The yield currently stands at 5.5%, with a payout ratio of 58% and 2.5 times cash coverage, signalling room for sustainable income.
Of course, there are risks. Rio Tintoâs earnings are highly sensitive to commodity prices, which can swing sharply due to global demand shifts or geopolitical tensions.
Still, it remains a compelling option for those seeking both income and exposure to AIâs growing infrastructure needs.
Halma
Halma (LSE: HLMA) is a very different type of business but may also benefit from the AI buildout. It specialises in safety, health, environmental and analytical technologies â from fire and gas detection systems to water quality sensors and photonics.
These are precisely the sorts of tools needed in modern datacentres, where environmental monitoring and emergency systems must operate continuously. As the number of datacentres increases globally, demand for Halmaâs safety and sensor products could climb too.
In the year ended March, Halma reported revenue of £2.25bn and earnings of £296.4m, both up about 10.5% year on year. Its share price has surged 29% so far in 2025, reflecting confidence in its growth strategy. However, with a forward P/E ratio of 33, the stock looks pricey and may be vulnerable to a correction if future earnings disappoint.
Halmaâs balance sheet is healthy, with decent debt coverage, though cash flow remains relatively weak. It also offers little in the way of dividends, so investors may need patience while waiting for capital appreciation.
Final thoughts
Both Rio Tinto and Halma highlight that the AI revolution isnât just about software or chips. Itâs also about the materials, safety systems and infrastructure powering it all.
For investors thinking about how to gain AI exposure through the FTSE 100, these two companies could be worth a closer look. Rio Tinto provides dependable dividend income and commodity leverage, while Halma offers growth potential from its specialised safety and sensor technologies.
As always, diversification is key â even in an AI-driven world.
The post 2 FTSE 100 companies that could quietly benefit from the AI boom appeared first on The Motley Fool UK.
Should you invest £1,000 in Rio Tinto plc right now?
When investing expert Mark Rogers has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for nearly a decade has provided thousands of paying members with top stock recommendations from the UK and US markets.
And right now, Mark thinks there are 6 standout stocks that investors should consider buying. Want to see if Rio Tinto plc made the list?
More reading
- I asked ChatGPT if the stock market is about to crash! Here’s what it said
- £1,000 invested in a FTSE 100 index tracker 5 years ago is now worth…
- £10k in savings? Donât let it gather dust â target a £4k annual second income
- 1 FTSE 100 stock that could benefit from a China recovery
- Here’s why the FTSE 100 is my #1 pick in global markets
Mark Hartley has no position in any of the shares mentioned. The Motley Fool UK has recommended Halma Plc. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.
