BN · rank #18 · 2026-10-21
NVT
NYSE · $22.62B (USD)
The exact numbers the algorithm saw.
| Composite score Z-score blend of the factors below; drives the rank. | 0.12 |
|---|---|
| Forward revenue growth Consensus forward revenue growth. | +28.8% |
| Forward net margin Consensus forward net margin. | +12.5% |
| Net margin TTM Trailing twelve month net margin. | +12.4% |
| Margin expansion Forward minus trailing net margin (percentage points). | +0.2% |
| Forward PEG Forward P/E to growth. Below 1 is cheap for the growth. | 1.03 |
| Debt / FCF Net debt relative to free cash flow. Lower is safer. | 2.83× |
| Analyst upside Spread between the consensus 12m target and the current price. | +45.2% |
| Last EPS surprise Most recent reported EPS versus consensus. | +25% |
| Market cap (USD) | $22.62B |
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
nVent Electric supplies integrated liquid cooling, power distribution, enclosures, and cable management to AI data centers, with the $1.75B Maverick acquisition adding engineered low- and medium-voltage distribution to create a broader rack-to-grid infrastructure stack.
Rationale
The bottleneck-solver thesis is directly reinforced by $2.5B backlog, >$2B in 2026 data-center sales, 53% YoY revenue growth, the AMD Helios design-win, and Maverick's engineered power-distribution capability—NVT is solving real, capital-intensive AI infrastructure constraints with visible order flow rather than riding sentiment.
Material risks
- 1Hyperscalers internalizing power-distribution and liquid-cooling engineering or standardizing on competing rack architectures (e.g., OCP alternatives) could erode NVT's design-in leverage—the AMD Helios win is notable but not sole-source, and the competitive brief explicitly flags this as the primary moat vulnerability.
- 2The $1.75B Maverick acquisition at debt-to-FCF of 2.83x creates meaningful integration and leverage risk precisely when AI capex sentiment is most volatile, and a spending slowdown would hit both organic backlog conversion and Maverick's contingent $550M earnout simultaneously.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 3 of 3 voted to proceed.