Earnings season has a way of reshuffling the market's favourites. This time around, some of Australia's most reliable household names — Commonwealth Bank (ASX: CBA), CSL (ASX: CSL), and Woolworths (ASX: WOW) — delivered underwhelming results. Their share prices softened, leaving many investors questioning whether the "stalwarts" still deserve pride of place in their portfolios.
For those looking beyond the banks and blue-chip healthcare giants, industrials and infrastructure are emerging as compelling alternatives. These sectors offer exposure to essential services, government-backed projects, and structural tailwinds like population growth, the energy transition, and the digital economy.
Four industrial stocks showing strong momentum
Duratec (ASX: DUR)
Duratec specialises in asset remediation and protective coatings. Its work helps extend the life of critical infrastructure, from bridges and ports to defence facilities. With governments and corporations alike focusing on maximising the use of existing assets rather than building from scratch, Duratec has seen growing demand. Its recent results highlighted a robust project pipeline and a steady lift in revenue, supporting share price gains in 2025.
Tasmea (ASX: TEA)
Tasmea is an integrated engineering and services group working across mining, utilities, and industrial clients. It generates a large share of revenue from recurring maintenance contracts, which provide visibility and resilience in uncertain times. The company has reported strong order book growth and is building a reputation as a reliable partner for essential industries. Investors have begun to notice, with Tasmea's shares steadily trending higher this year.
GenusPlus (ASX: GNP)
As Australia's energy grid shifts toward renewables, GenusPlus stands to benefit. The company provides design, construction, and maintenance services for electrical infrastructure, including transmission lines and substations. With major investment planned in renewable projects and interconnectors, GenusPlus is positioned squarely in the middle of the energy transition. The company recently posted rising earnings and a solid pipeline of contracted work, helping its shares outperform the broader market.
NRW Holdings (ASX: NWH)
NRW Holdings has become one of the most diversified contractors on the ASX, with exposure to mining, civil, and urban infrastructure projects. The company recently acquired Fredon, a specialist electrical services business, boosting its exposure to energy and resources. Its share price has surged over 75% in the past 6 months, prompting Macquarie to upgrade the stock to outperform with a higher price target.
Classic ASX infrastructure plays
Vanguard Global Infrastructure ETF (ASX: VBLD)
For those seeking a broad approach, VBLD offers exposure to more than 130 infrastructure companies worldwide. Its largest weighting is to the United States, but it also holds assets across transport, energy, and telecommunications. Infrastructure spending is expected to exceed $80 trillion globally by 2040, and this fund gives investors a simple, diversified way to ride that megatrend.
Transurban (ASX: TCL)
Toll roads may not be glamorous, but they're some of the most dependable infrastructure assets around. Transurban operates major road networks in Sydney, Melbourne, Brisbane, and North America. Its revenues are often inflation-linked, while traffic volumes continue to climb with population growth. The company recently reported steady increases in toll revenue, reinforcing its reputation as a reliable income generator.
APA Group (ASX: APA)
APA owns and operates Australia's largest network of gas pipelines. While traditional energy assets face transition risks, APA has been diversifying into renewables and storage. Its regulated asset base provides steady cash flow, supporting dividends that appeal to income-focused investors. Management has flagged new growth opportunities as the energy system evolves, positioning APA as a defensive yet forward-looking infrastructure play.
NextDC (ASX: NXT)
Data centres have become critical infrastructure in the digital age. NextDC provides secure, high-capacity facilities for cloud providers, enterprises, and government clients. The company is expanding across Australia and Asia, with more than 100MW of capacity in development. Demand for cloud and artificial intelligence workloads is surging, and fund managers like WAM Leaders are bullish on its long-term growth prospects. NextDC has delivered solid earnings and guided to further revenue and operating earnings growth in FY26, making it a standout in digital infrastructure.
Foolish Takeaway
With some ASX blue chips stumbling, investors are increasingly searching for fresh growth and reliable income elsewhere. Industrials and infrastructure stocks combine defensive characteristics with exposure to megatrends such as energy transition, transport demand, and the rise of digital connectivity.
