BN · rank #11 · 2026-10-19
VRT
NYSE · $79.47B (USD)
The exact numbers the algorithm saw.
| Composite score Z-score blend of the factors below; drives the rank. | 0.34 |
|---|---|
| Forward revenue growth Consensus forward revenue growth. | +30.5% |
| Forward net margin Consensus forward net margin. | +15.8% |
| Net margin TTM Trailing twelve month net margin. | +15.1% |
| Margin expansion Forward minus trailing net margin (percentage points). | +0.7% |
| Forward PEG Forward P/E to growth. Below 1 is cheap for the growth. | 0.84 |
| Debt / FCF Net debt relative to free cash flow. Lower is safer. | 1.14× |
| Analyst upside Spread between the consensus 12m target and the current price. | +61.7% |
| Last EPS surprise Most recent reported EPS versus consensus. | +6% |
| Market cap (USD) | $79.47B |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
Vertiv designs and sells power management, thermal cooling, and integrated rack systems that are structurally required to operate high-density AI data centers, making it a direct infrastructure bottleneck solver.
Rationale
The bottleneck-solver signal is reinforced by ~$15B backlog, 2.9x book-to-bill, 31% organic growth guidance, a net-cash balance sheet, and NVIDIA DSX Ready CDU qualification — all confirming Vertiv sits at a real, contracted chokepoint in AI infrastructure buildout rather than riding sentiment alone.
Material risks
- 1Vertiv holds no sole-source position — NVIDIA's DSX Ready CDU list already includes LG Electronics and LiquidStack, and Schneider Electric and Eaton compete across the full power-and-cooling stack, meaning commoditization of liquid-cooling hardware is a live, not hypothetical, moat erosion.
- 2Backlog is hyperscaler-concentrated, so any pause in hyperscaler capex, grid interconnection delays, tariff escalation, or export controls could compress order intake sharply and expose the premium multiple to a guidance cut.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 2 of 3 voted to proceed.