Vertiv (NYSE:VRT) Shares Gap Up – Time to Buy?

Vertiv Holdings Co. (NYSE:VRT)’s share price gapped up prior to trading on Friday . The stock had previously closed at $162.01, but opened at $169.47. Vertiv shares last traded at $174.3420, with a volume of 778,671 shares.

Analyst Ratings Changes

A number of research firms have weighed in on VRT. Citigroup increased their target price on Vertiv from $198.00 to $220.00 and gave the stock a “buy” rating in a research note on Monday, December 8th. JPMorgan Chase & Co. upped their price target on shares of Vertiv from $150.00 to $206.00 and gave the stock an “overweight” rating in a report on Wednesday, October 15th. Cowen reiterated a “buy” rating and set a $211.00 price objective on shares of Vertiv in a report on Monday, December 1st. Mizuho boosted their price objective on shares of Vertiv from $165.00 to $198.00 and gave the company an “outperform” rating in a research report on Friday, October 17th. Finally, Cfra Research upgraded shares of Vertiv to a “moderate buy” rating in a research note on Tuesday, October 7th. Two investment analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $181.38.

Vertiv Stock Up 8.5%

The company has a current ratio of 1.83, a quick ratio of 1.43 and a debt-to-equity ratio of 0.83. The firm has a market cap of $67.19 billion, a PE ratio of 66.31, a P/E/G ratio of 1.12 and a beta of 2.06. The business’s 50-day simple moving average is $173.99 and its 200 day simple moving average is $151.62.

Vertiv (NYSE:VRT) last announced its quarterly earnings results on Wednesday, October 22nd. The company reported $1.24 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.99 by $0.25. Vertiv had a return on equity of 50.82% and a net margin of 10.67%.The business had revenue of $2.68 billion for the quarter, compared to the consensus estimate of $2.59 billion. During the same period last year, the business posted $0.76 EPS. The business’s revenue was up 29.0% compared to the same quarter last year. Vertiv has set its Q4 2025 guidance at 1.230-1.290 EPS and its FY 2025 guidance at 4.070-4.130 EPS. As a group, equities research analysts expect that Vertiv Holdings Co. will post 3.59 earnings per share for the current year.

Vertiv Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, December 18th. Investors of record on Tuesday, November 25th were paid a dividend of $0.0625 per share. This is a positive change from Vertiv’s previous quarterly dividend of $0.04. The ex-dividend date was Tuesday, November 25th. This represents a $0.25 annualized dividend and a yield of 0.1%. Vertiv’s dividend payout ratio (DPR) is presently 9.43%.

Insiders Place Their Bets

In other Vertiv news, EVP Stephen Liang sold 5,501 shares of the company’s stock in a transaction that occurred on Monday, November 24th. The shares were sold at an average price of $170.48, for a total transaction of $937,810.48. Following the transaction, the executive vice president owned 4,050 shares in the company, valued at approximately $690,444. This represents a 57.60% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Corporate insiders own 2.63% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. Vanguard Group Inc. increased its holdings in Vertiv by 2.2% in the 3rd quarter. Vanguard Group Inc. now owns 38,833,036 shares of the company’s stock worth $5,858,352,000 after acquiring an additional 826,281 shares in the last quarter. State Street Corp increased its stake in Vertiv by 2.3% during the 3rd quarter. State Street Corp now owns 8,459,323 shares of the company’s stock worth $1,276,173,000 after buying an additional 189,484 shares in the last quarter. Geode Capital Management LLC raised its holdings in shares of Vertiv by 3.4% during the second quarter. Geode Capital Management LLC now owns 6,686,778 shares of the company’s stock valued at $856,082,000 after acquiring an additional 219,970 shares during the last quarter. Invesco Ltd. lifted its position in shares of Vertiv by 20.9% in the second quarter. Invesco Ltd. now owns 5,931,488 shares of the company’s stock valued at $761,662,000 after acquiring an additional 1,024,634 shares in the last quarter. Finally, Norges Bank acquired a new stake in shares of Vertiv in the second quarter worth approximately $538,132,000. Hedge funds and other institutional investors own 89.92% of the company’s stock.

Vertiv Company Profile

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.