Vertiv Holdings
Vertiv Holdings · Data Center (Power/Cooling)
01Wall Street Consensus
02Earnings Results
Key Takeaways
- EPS $1.17 (beat est. $1.00) — +83% YoY
- Revenue $2.65B — +30% YoY (23% organic)
- Adj. Operating Profit $551M — +64% YoY
- Adj. Operating Margin 20.8% — +430bp YoY
- Americas Revenue $1.81B — +53% YoY, 44% organic
- Sustained AI data center infrastructure demand
- FY guidance raised: Adj. EPS $6.35, Revenue $13.75B
Key Checkpoints
- 01Order growth — data center power and cooling system bookings
- 02Book-to-bill ratio — demand vs revenue conversion pace
- 03Adjusted operating margin expansion — 20%+ target
- 04Liquid cooling revenue contribution for AI GPU racks
- 05Americas vs EMEA vs APAC revenue mix and growth rates
- 06Backlog duration — visibility into 2027+ revenue
Upside Catalysts
- AI data center buildout creating multi-year demand for power and cooling infrastructure
- Liquid cooling transition — AI GPU racks generating 100kW+ per rack requiring liquid cooling
- Margin expansion from pricing power and operational improvements
- Colocation and enterprise data center spending supplementing hyperscaler demand
- Edge computing deployment creating distributed infrastructure demand
Risk Factors
- Valuation premium — stock priced for sustained 20%+ growth
- Supply chain constraints on critical components (switchgear, transformers)
- Competition from Schneider Electric, Eaton, and nVent in data center infrastructure
- Customer capex timing — hyperscaler order patterns can be lumpy
- Iran conflict: Rising energy costs increasing data center operating costs
EEPS History (Last 2 Quarters)
Actual EPS vs Consensus — Green Beat · Red Miss
1Final Verdict
Vertiv is a pure-play data center infrastructure company providing power management, thermal management, and IT infrastructure solutions. Consensus EPS $0.72, Revenue $2.3B. The company is one of the clearest beneficiaries of the AI data center buildout with multi-year order visibility.
The liquid cooling transition is particularly exciting — as AI GPU racks generate 100kW+ per rack (vs 10-15kW for traditional servers), air cooling becomes insufficient. Vertiv's liquid cooling solutions are gaining rapid adoption at hyperscaler and colocation facilities.
With a backlog extending into 2027+ and order growth consistently above 30%, Vertiv has the revenue visibility that most growth companies lack. The question is whether the stock's premium valuation already reflects this visibility.
2Power & Cooling Solutions
Power Management:
- UPS (Uninterruptible Power Supply): Protecting data centers from power outages
- PDU (Power Distribution Units): Delivering power to individual racks
- Busway and switchgear: Data center electrical infrastructure
- Revenue: ~55% of total — stable and growing with data center builds
Thermal Management:
- Air cooling: Traditional CRAC/CRAH units for standard data centers
- Liquid cooling: Rear-door heat exchangers, direct-to-chip, immersion cooling
- AI GPU cooling: Fastest-growing product category — 100kW+ per rack requirement
- Revenue: ~30% of total but growing at 40%+ YoY
IT Infrastructure:
- Racks, enclosures, cable management
- Edge computing micro data centers
- Monitoring and management software
3Market Position & Financials
Competitive Position:
- #1 or #2 in most data center infrastructure categories globally
- Competitors: Schneider Electric (close #1/2), Eaton, nVent, Legrand
- Differentiation: End-to-end portfolio from power input to rack-level cooling
Order & Backlog Trends:
- Orders growing 30%+ YoY — driven by hyperscaler and colocation customers
- Book-to-bill: 1.3-1.5x — orders consistently exceeding revenue
- Backlog: $7B+ providing 12-18 months of revenue visibility
Financial Targets:
- 2026 revenue: $9.5-10B (+18-20% YoY)
- Adjusted operating margin: 20%+ (up from 15% in 2023)
- Free cash flow conversion: 90%+ of adjusted net income
- Iran conflict impact: Limited direct exposure — data center demand is secular, not cyclical
SEPS 서프라이즈 히스토리
분기별 EPS 컨센서스 대비 서프라이즈(%) — 막대: EPS, 점선: 매출
컨센서스 대비 실제 EPS/매출 서프라이즈 (%)