Zacks.com users have recently been watching Vertiv (VRT) quite a bit. Thus, it is worth knowing the facts that could determine the stock's prospects.
VRT stock suffers from macroeconomic challenges and stiff competition, but a strong product portfolio and rich partner base offer hope for recovery.
Vertiv VRT and Super Micro Computer SMCI are well-known providers of artificial intelligence (AI) infrastructure in the data center market. While Vertiv offers power and thermal management products Super Micro Computer provides rack-scale solutions optimized for various AI and HPC workloads as well as IT solutions.
Recently, Zacks.com users have been paying close attention to Vertiv (VRT). This makes it worthwhile to examine what the stock has in store.
Vertiv Holdings Co. NYSE: VRT, a leading supplier of critical power and cooling infrastructure for today's data centers, saw its stock value climb after its first-quarter 2025 earnings were reported on April 23.
Vertiv Holdings is crucial in AI infrastructure, providing essential data center cooling technology, and has partnered with Nvidia, showing a promising vote of confidence from the AI leader. Despite macro uncertainty, Vertiv's Q1 earnings were strong, with non-GAAP EPS of $0.64 and sales of $2.04 billion, both beating expectations. The company shows solid growth in profitability and free cash flow. However, with a capex business model, management should focus on more aggressive balance sheet de-levering.
VRT's first-quarter 2025 results reflect strong order growth, solid organic growth and margin expansion.
Vertiv Holdings Co. benefits from AI growth, beating Q1 estimates with 24% revenue growth and strong operating performance, making it an attractive investment. The company's diversified growth across regions, driven by hyperscalers' investments in AI, supports a positive outlook with a high order intake pace. VRT's valuation is appealing at 21x-22x net profits, with analysts predicting continued double-digit growth.
Vertiv Holdings Co (NYSE:VRT ) Q1 2025 Earnings Conference Call April 23, 2025 11:00 AM ET Company Participants Lynne Maxeiner - VP, Global Treasury & Investor Relations David Cote - Executive Chairman Giordano Albertazzi - CEO & Director David Fallon - CFO Conference Call Participants Scott Davis - Melius Research Amit Daryanani - Evercore Steve Tusa - JPMorgan Jeff Sprague - Vertical Research Andrew Obin - Bank of America Merrill Lynch Nicole DeBlase - Deutsche Bank Andy Kaplowitz - Citigroup Nigel Coe - Wolfe Research Chris Snyder - Morgan Stanley Noah Kaye - Oppenheimer Operator Good morning. My name is Nadia, and I'll be your conference operator today.
Nvidia partner Vertiv's (VRT 11.90%) stock rose by as much as 21% in early morning trading as the company's first-quarter earnings report confirmed that there's nothing wrong with demand for data center equipment. The stock was up 10.5% around 12:30 p.m.
Vertiv Holdings Co (NYSE:VRT) stock was last seen up 16.4% to trade at $83.60, after the data center infrastructure company reported better-than-expected first-quarter earnings and revenue and raised its full-year sales guidance.
Thanks to its latest and better-than-expected earnings report, Vertiv (VRT), a data center infrastructure provider, reversed its prevailing 2025 stock market downtrend and soared in the Wednesday extended session.