Shares of Vertiv (NYSE: VRT) surged over 250% in the past year due to increased demand for data center power and cooling solutions, particularly for AI infrastructure. The company’s first-quarter adjusted earnings rose 83% year-over-year, driven by a project backlog that has more than doubled to over $15 billion. This growth was bolstered by the shift to high-density AI racks requiring advanced liquid-cooling systems.
In the Americas, organic sales increased by 44% in the first quarter, primarily fueled by spending from U.S. hyperscalers. Vertiv’s adjusted operating margins expanded by 430 basis points to 20.8%, supporting a raised forecast of 30% organic growth and 51% earnings growth by 2026. Despite a 29% decline in organic sales in the EMEA segment, management expects a recovery in the latter half of the year, with demand in the Americas remaining the primary driver of growth.
5 Stocks Our Experts Predict Could Double In the Next Year
By submitting your email, you'll also get a free pivot & flow membership. A free daily market overview. You can unsubscribe at any time.
