Vertiv (NYSE:VRT) Trading Up 4.4% – Still a Buy?

Shares of Vertiv Holdings Co. (NYSE:VRT) were up 4.4% during mid-day trading on Friday . The stock traded as high as $280.99 and last traded at $280.76. 3,294,295 shares changed hands during trading, a decline of 49% from the average session volume of 6,514,378 shares. The stock had previously closed at $268.83.

Vertiv News Summary

Here are the key news stories impacting Vertiv this week:

• Positive Sentiment: Strategic AI-power acquisition: Vertiv will pay approximately $1.45 billion in cash at closing for UIG, with up to $1.15 billion in additional payments tied to EBITDA targets over 12 and 24 months. UIG adds microgrid controls, switchgear, onsite-generation orchestration and behind-the-meter power capabilities, extending Vertiv’s offering from the electrical grid to the data-center rack. Management expects the deal to be accretive to adjusted EPS in the first year. Vertiv’s UIG Deal Targets the Next Big Constraint in AI Data Centers
• Positive Sentiment: Broader growth opportunity: The acquisition could allow Vertiv to capture more value from each AI data-center project and reduce customers’ dependence on delayed grid connections. Investors view the deal as a way to expand Vertiv’s addressable market beyond its established power-distribution and thermal-management businesses. Can VRT’s UIG Deal Deepen Its AI Power Edge?
• Positive Sentiment: Strong operating momentum: Recent coverage highlights 60% year-over-year adjusted EPS growth in the second quarter, raised full-year guidance, doubled deferred revenue and expected third-quarter revenue growth of about 40%. Vertiv’s latest quarter also beat EPS estimates, supporting the bullish AI-infrastructure thesis. Vertiv Holdings: The Market Is Making the Same Mistake Twice
• Neutral Sentiment: Dividend and analyst support: Vertiv declared a quarterly dividend of $0.0625 per share, although its approximately 0.1% yield is unlikely to drive the stock. Brokerages continue to rate VRT a consensus “Moderate Buy,” with an average target price of $357.83. Vertiv stock analysis
• Negative Sentiment: Valuation and execution risks: The acquisition carries a substantial potential price tag, and Vertiv trades at a premium valuation that leaves limited room for missed targets. The deal still requires regulatory approval and is not expected to close until the fourth quarter of 2026, creating integration and execution risk. Vertiv AI Infrastructure Growth and Valuation
• Negative Sentiment: Insider selling: Director Edward Monser sold 15,287 shares worth approximately $3.88 million under a pre-arranged Rule 10b5-1 plan. The planned nature limits its significance, but the sale reduced his holdings by roughly 48%. SEC insider transaction filing

Analysts Set New Price Targets

VRT has been the topic of several recent analyst reports. Bank of America boosted their target price on Vertiv from $370.00 to $440.00 and gave the stock a “buy” rating in a report on Friday, May 15th. Sanford C. Bernstein reissued an “outperform” rating and issued a $368.00 price objective on shares of Vertiv in a research note on Friday, July 31st. Wall Street Zen cut Vertiv from a “strong-buy” rating to a “buy” rating in a report on Saturday, June 20th. TD Cowen raised their target price on Vertiv from $347.00 to $387.00 and gave the company a “buy” rating in a research note on Wednesday, May 20th. Finally, Zacks Research cut Vertiv from a “strong-buy” rating to a “hold” rating in a report on Monday. Two analysts have rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating and four have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $357.83.

Vertiv Stock Up 4.4%

The firm’s 50-day moving average is $283.19 and its two-hundred day moving average is $290.88. The company has a debt-to-equity ratio of 0.62, a quick ratio of 1.03 and a current ratio of 1.38. The stock has a market cap of $108.09 billion, a P/E ratio of 63.52, a PEG ratio of 1.06 and a beta of 2.07.

Vertiv (NYSE:VRT) last announced its quarterly earnings data on Wednesday, July 29th. The company reported $1.52 EPS for the quarter, beating analysts’ consensus estimates of $1.43 by $0.09. The firm had revenue of $3.27 billion for the quarter, compared to analyst estimates of $3.38 billion. Vertiv had a return on equity of 50.47% and a net margin of 15.09%.The business’s quarterly revenue was up 24.1% compared to the same quarter last year. During the same period last year, the company earned $0.95 EPS. Vertiv has set its Q3 2026 guidance at 1.770-1.830 EPS and its FY 2026 guidance at 6.650-6.750 EPS. On average, equities research analysts anticipate that Vertiv Holdings Co. will post 6.67 earnings per share for the current year.

Vertiv Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 24th. Investors of record on Monday, September 14th will be given a $0.0625 dividend. This represents a $0.25 dividend on an annualized basis and a yield of 0.1%. The ex-dividend date is Monday, September 14th. Vertiv’s dividend payout ratio (DPR) is presently 5.66%.

Insiders Place Their Bets

In other Vertiv news, Director Edward Monser sold 15,287 shares of the business’s stock in a transaction dated Tuesday, September 1st. The stock was sold at an average price of $253.82, for a total transaction of $3,880,146.34. Following the completion of the sale, the director directly owned 16,500 shares of the company’s stock, valued at approximately $4,188,030. The trade was a 48.09% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 1.10% of the company’s stock.

Institutional Investors Weigh In On Vertiv

Institutional investors have recently modified their holdings of the business. Empowered Funds LLC grew its holdings in Vertiv by 25.9% during the 1st quarter. Empowered Funds LLC now owns 11,557 shares of the company’s stock worth $834,000 after acquiring an additional 2,377 shares during the period. Sivia Capital Partners LLC acquired a new stake in shares of Vertiv during the second quarter worth $567,000. Cary Street Partners Financial LLC increased its holdings in Vertiv by 19.8% in the second quarter. Cary Street Partners Financial LLC now owns 1,390 shares of the company’s stock valued at $178,000 after purchasing an additional 230 shares during the last quarter. Bank of Nova Scotia increased its holdings in Vertiv by 49.7% in the second quarter. Bank of Nova Scotia now owns 29,239 shares of the company’s stock valued at $3,755,000 after purchasing an additional 9,712 shares during the last quarter. Finally, Ossiam acquired a new position in Vertiv in the second quarter valued at about $50,000. Institutional investors and hedge funds own 89.92% of the company’s stock.

About Vertiv

Vertiv is a global provider of critical digital infrastructure and continuity solutions for data centers, communication networks and commercial and industrial environments. Headquartered in Columbus, Ohio, the company designs, manufactures and services equipment and software that support power availability, thermal management and IT infrastructure management for a broad set of end markets, including hyperscale and enterprise data centers, colocation providers, telecom operators and industrial customers.

The company’s product portfolio includes uninterruptible power supplies (UPS), power distribution units (PDUs), battery and DC power systems, precision cooling and thermal management equipment, racks and enclosures, and integrated modular infrastructure.