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Vertiv Holdings Co (VRT)

Overvalued
IndustrialsElectrical Equipment & PartsUnited States

Fundamental

72

Price

$246.06

Market Cap

$93.95B

Part 1 · What the company is worth

Overview

Vertiv Holdings Co designs, manufactures, and services critical digital infrastructure technologies and life cycle services for data centers, communication networks, and commercial and industrial environments in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company offers AC and DC power management products, low/medium voltage switchgear, busbar, thermal management products, air cooled and liquid cooled thermal management products, integrated modular solutions, racks, single phase UPS, rack power distribution, rack thermal systems, configurable integrated solutions, energy storage solutions, hardware, and software infrastructure that are integral to the technologies used for various services, including artificial intelligence, e-commerce, online banking, file sharing, video on-demand, energy storage, wireless communications, Internet of Things, and online gaming. It also provides lifecycle management services, predictive analytics, and professional services for deploying, maintaining, and optimizing its products and their related systems; and preventative maintenance, acceptance testing, engineering and consulting, fluid management, performance assessments, remote monitoring, training, spare parts, and critical digital infrastructure software services. The company offers its products primarily under the Vertiv, Liebert, NetSure, Geist, Energy Labs, ERS, Albér, and Avocent brands. It serves through a network of direct sales professionals, independent sales representatives, channel partners, and original equipment manufacturers. The company is headquartered in Westerville, Ohio.

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Direct competitors

Who this company fights with for the same customers

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No competitor list for this company yet.

Balance Sheet & Liquidity

Revenue

$11.48B

Trailing 12 months (through 6/30/2026)

Net Income

$1.73B

Trailing 12 months (through 6/30/2026)

Free Cash Flow

$1.89B

Total Equity

$3.94B

Total Liabilities

$8.27B

Current Ratio

1.38

Interest Coverage

41.42

Debt/EBITDA

1.41

Earnings Per Share

Revenue & Net Income

Free Cash Flow

Income Breakdown

Historical statement

Margins over time

Debt over time

How heavy the debt is

Growth grid

Growth — Revenue

Fair Value Estimation

General caseOvervalued

Fair Value

$164.37

Current Price

$246.06

Margin of Safety

-49.7%

Fair Value Range

$106.84 - $221.90

Spread across the valuation methods used, not a statistically calibrated confidence interval.

Estimation Methods

Analyst price target:$338.22
Discounted cash flow (DCF):$48.27
Earnings multiple (P/E):$125.40
Graham growth formula:$72.12
Earnings power value (EPV):$26.40
Justified P/B:$32.44
Dividend discount (Gordon):$1.50
P/FFO, funds from operations:$68.22
Mid-cycle earnings:$33.68
Revenue multiple:$83.12
Analyst Consensus:Strong Buy (32B / 4H / 0S)
Last Earnings Surprise:+5.70%

Valuation Metrics

P/E Ratio

54.60

ROE

33.8%

P/B Ratio

19.53

P/FCF

31.71

Gross Margin

38.0%

ROIC

19.8%

Profitability Radar

Value Creation (Economic Moat)

ROIC

19.8%

WACC

15.7%

ROIC − WACC

+4.2 pp

ROIC exceeds the cost of capital — the company is creating value for shareholders.

Fundamental Analysis Criteria

Passed (20)

  • EPS shows upward trend
  • Price CAGR 50.44%
  • ROIC 19.8%
  • Gross Margin 38.0%
  • Debt/Equity ratio
  • Operating Margin 18.9%
  • Positive Free Cash Flow
  • CapEx intensity
  • Current Ratio
  • Interest Coverage
  • Debt/EBITDA
  • Return on Tangible Assets
  • ROE 42.1%
  • Revenue Growth 5Y 18.5%
  • Analyst Consensus 89% Buy
  • Earnings Surprise avg 12.8%
  • Earnings Quality (OCF/NI) 1.94
  • Share Dilution 0.9%
  • Net Margin Trend 15.1% vs 8.9%
  • Piotroski F-Score 6/9

Failed (5)

  • P/FCF 31.71
  • P/B Ratio 19.53
  • Low reliance on intangibles
  • Price below Graham Number
  • DCF valuation (Overvalued)

Unavailable (2)

  • Dividend Payout NaN%
  • PEG Ratio (need PE > 0 and growth > 0)

Piotroski F-Score

6/9

Mixed signals: some areas need attention

score
criteria

Earnings Quality

1.94

High quality: earnings backed by cash

Share Dilution

0.9%

Share count is stable

Institutional Holdings

Governance

Executive Team

NameTitleAge
Mr. David M. Cote J.D.Executive Chairman of the Board72
Mr. Giordano AlbertazziCEO & Director58
Mr. Craig ChamberlinExecutive VP & CFO45
Mr. Scott ArmulChief Product & Technology Officer42
Ms. Stephanie L. Gill Esq.Chief Legal Officer & Corporate Secretary53
Mr. Anand SanghiPresident of Americas53
Mr. Eric M. JohnsonChief Accounting Officer & Corporate Controller48
Mr. Michael GiresiGlobal Chief Information Officer60
Ms. Lynne M. MaxeinerVice President of Global Treasury & Investor Relations-
Ms. Rachel ThompsonSenior VP of Corporate Strategy & Development-

Audit Risk

8

Board Risk

10

Compensation Risk

9

Shareholder Rights Risk

10

Part 2 · The price and when to enter

This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.

Documents

  • Annual Report (10-K)

    A yearly overview of the business, its financial results, and the risks it faces.

    Filed on 2026-02-13

    View document
  • Quarterly Report (10-Q)

    A snapshot of financial performance for the most recent three-month period.

    Filed on 2026-07-29

    View document
  • Current Report (8-K)

    An announcement of a major event, such as a leadership change or big news.

    Filed on 2026-09-24

    View document

via SEC EDGAR

Income History

via SEC EDGAR

Latest News

Recent headlines for VRT, sourced from Markets Gazette.

  • 8/22/2026POSITIVE
    The veteran Fortune 500 CEO who turned an 80-year-old AC company into an AI darling

    Dave Cote, former CEO of Honeywell, has made a significant investment in Vertiv, an 80-year-old AC company that is now being recognized as an AI darling. This endorsement from a seasoned Fortune 500 executive suggests a strong belief in Vertiv's future growth prospects, particularly within the burgeoning AI sector. Investors may view Cote's involvement as a validation of Vertiv's strategic direction and potential for substantial returns, potentially driving increased interest and capital into the company's stock.

  • 5/24/2026POSITIVE
    Top Stocks To Benefit As Goldman Sachs Touts Liquid Cooling As The Next AI Trade

    Goldman Sachs has identified liquid cooling as the pivotal next phase in the AI infrastructure trade, signaling significant growth potential. Analyst T.J. Schultz highlighted Vertiv Holdings Co. as a key beneficiary, suggesting the company is well-positioned to capitalize on the increasing demand for advanced thermal management solutions in data centers. This strategic shift towards liquid cooling is driven by the escalating power requirements of AI hardware, making efficient heat dissipation a critical factor for performance and reliability. Investors are advised to monitor Vertiv's progress as the AI sector continues its rapid evolution.

  • 3/30/2026POSITIVE
    $100 Invested In Vertiv Holdings 5 Years Ago Would Be Worth This Much Today

    An investment of $100 in Vertiv Holdings Co. five years ago would have yielded a significant return, illustrating the company's strong performance and growth trajectory during that period. While specific figures are not provided in the summary, the implication of substantial appreciation suggests robust operational execution, successful strategic initiatives, and potentially favorable market conditions for Vertiv's sector. Investors tracking the company should note this historical performance as an indicator of its potential for future value creation, though past results do not guarantee future outcomes.

  • 3/25/2026POSITIVE
    This Vertiv Analyst Begins Coverage On A Bullish Note; Here Are Top 5 Initiations For Wednesday

    Wall Street analyst coverage initiated on Vertiv Holdings Co with a bullish outlook. While specific details of the analyst's rating and price target are not provided in this snippet, the initiation of coverage on a positive note suggests potential upside for the company's stock. Investors will be looking for further details on the analyst's reasoning, which likely centers on Vertiv's market position, growth prospects, or financial performance. This positive initiation could attract further investor interest and potentially lead to upward price movement.

  • 3/24/2026POSITIVE
    Vertiv Ramps Up Capacity To Feed Surging AI Data Center Frenzy

    Vertiv Holdings Co. is significantly expanding its manufacturing capacity across the Americas to address the unprecedented demand surge driven by the artificial intelligence boom. The company is increasing production of critical infrastructure solutions, including power, thermal management, and rack systems, essential for AI-powered data centers. This strategic move positions Vertiv to capitalize on the ongoing AI revolution, which requires substantial upgrades and new builds of data center facilities. Investors should note that this expansion signals strong future revenue potential and market leadership in a rapidly growing sector.

  • 3/16/2026POSITIVE
    The 'Cramer Curse'? Here's What's Happening With Vertiv Stock Today

    Vertiv Holdings Co (NYSE:VRT) saw its shares trade higher following a public endorsement from CNBC's Jim Cramer. Cramer suggested on the social media platform X that the company's stock is currently undervalued. This positive sentiment from a prominent market commentator could attract investor attention and potentially drive further upward momentum in the stock price. Investors will be watching to see if this Cramer-backed surge is sustained.

  • 3/9/2026POSITIVE
    If You Invested $1000 In Vertiv Holdings Stock 5 Years Ago, You Would Have This Much Today

    An investment of $1000 in Vertiv Holdings Co (VRT) five years ago would have yielded a substantial return, illustrating the company's significant growth trajectory. While specific figures are not provided in the prompt, the title implies a strong positive performance for the stock over the past half-decade. This suggests that Vertiv has successfully navigated market challenges and capitalized on opportunities, likely driven by strong demand for its products and services in the data center and IT infrastructure sectors. Investors who held VRT would have benefited from this upward trend, underscoring the company's robust business model and execution.

  • 3/3/2026NEUTRAL
    Is Vertiv Stock a Buy Right Now?

    Vertiv stock, a prominent player in the AI data center sector, is currently under scrutiny regarding its valuation. Shares linked to AI data centers are commanding high prices, implying sustained growth above GDP levels indefinitely. This situation presents investors with a dilemma: while long-term growth expectations are robust, current valuations might already fully price in much of this potential. The critical question for investors is whether the current price reflects fair value or if there's a risk of overvaluation, necessitating thorough due diligence before any investment decision.

  • 2/22/2026POSITIVE
    Vertiv Stock: Buy, Sell, or Hold?

    Vertiv is experiencing exceptional demand for its cooling and power solutions from data center operators. This robust demand highlights Vertiv's position as a key provider in critical infrastructure for AI and cloud computing. The company appears to be directly benefiting from data center expansion, a trend expected to persist. Investors should consider this positive momentum as an indicator of potential revenue and profitability growth, suggesting a buy opportunity for those seeking exposure to the rapidly evolving tech sector.

via Markets Gazette