The power of a single AI rack is heading from 8 kW past 140 kW toward 1 MW. Data center cooling and power infrastructure maker Vertiv (VRT) sells that heat and power bundled in one hand.
Vertiv is the data center infrastructure company that sells the heat and power of the AI rack bundled under one vendor. It holds both liquid cooling and power, and it is wired directly into NVIDIA's roadmap. A $12.45B backlog, organic orders up about 81% year over year, and a market cap of roughly $128B anchor its standing.
Q1 2026 revenue of $2.65B (+30%), adjusted operating margin of 20.8% (+430bps), and adjusted EPS of $1.17 (+83%). Q4 2025 organic orders surged 252% year over year, and backlog reached $12.45B. FY2026 guidance was raised to revenue of $13.5-14.0B and adjusted EPS of $6.30-6.40.
Beneficiaries: Vertiv, the liquid cooling leaders (Schneider), the power infrastructure chain. Headwinds: hyperscaler capex cyclicality with about 75% of revenue tied to data center customers, the execution variable of EMEA's -29% organic quarter, and a valuation of roughly 49x forward P/E on 2026 estimates.
The rules of the data center have changed.
For a long time, a single data center rack consumed about 8 kW. That much heat was cooled with air. Air , blowing in cold air and drawing out hot air, was the standard. It was cheap and the design was simple.
AI broke that line. An AI rack packed densely with GPUs sees its density explode. An NVIDIA GB200 NVL72 rack consumes about 132 kW; the GB300, 142 kW. It will soon exceed 300 kW, and in 2028-2029 a single rack heads toward about 1 MW.
does not vanish. Nearly all of it becomes heat. A rack that consumes 132 kW emits 132 kW of heat. at this level cannot be cooled with air, because air is weak at carrying heat away.
The chart below shows the leap in rack density.
When density rises, two things become necessary at once. First, cooling to remove that heat. Second, power infrastructure to safely supply that much power. A boiling rack demands cooling and power together.
This is exactly Vertiv's market. The company does not sell heat and power separately; it sells them bundled at the rack level. Cooling equipment, power equipment, and installation and maintenance services are integrated and supplied by a single vendor.
The rack power density heading from 8 kW to 1 MW created an entirely new market that sells cooling and power bundled together.
Sign in with Google to unlock the full body of every free report instantly.
Sign in with GoogleThis site runs on ads — the tier system rewards community contributions.
This report is provided for informational purposes only and does not constitute a recommendation to buy or sell any financial instrument. Investment decisions should be made based on your own judgment and responsibility. The analysis and opinions contained herein are based on information available at the time of writing and are subject to change.