Vertiv (VRT)
Industrials · $98.8B market cap · SEC CIK 0001674101
fundamentals score out of 100
Next reports on Oct 20, 2026, with analysts expecting $1.85 in earnings per share.
The case for VRT
- Revenue up 26.2% on the year.
- Earns 42% back on shareholder equity.
- Generated $1.9B of free cash flow in FY2025, 19% of revenue.
- Earnings per share up 111.2%.
- Has compounded revenue at 18.5% a year over five years.
- Up 74.7% over the past year.
The case against
- Very expensive at 57.0× earnings. Years of growth are already in the price.
- Swings harder than the market (beta 2.11).
- Priced at 27× book value. Very little hard asset backing here.
- Price/sales of 8.6× is higher than 97% of Industrials companies.
- Free-cash-flow yield of 1.9% is lower than 88% of Industrials companies.
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Industrials companies (momentum is judged against fixed thresholds only), and the five are blended by weight. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings, sales, assets and cash | 15 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 92 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 78 |
| Momentumhow the price has behaved lately | 51 |
| Stabilityhow violently it moves, what it owes and what it pays you | 24 |
- Each factor except momentum is half fixed thresholds, half rank among the 79 Industrials companies.
Key numbers
| Price / earnings | 57.0× |
|---|---|
| Price / book | 27.03× |
| Price / sales | 8.6× |
| Revenue growth (YoY) | +26.2% |
| EPS growth (YoY) | +111.2% |
| Gross margin | 38% |
| Operating margin | 18% |
| Net margin | 15% |
| Return on equity | 42% |
| Debt / equity | 0.62× |
| Current ratio | 1.38 |
| Dividend yield | 0.10% |
| Beta | 2.11 |
| 52-week range | $133.85 – $379.94 |
| Position in that range | 49% of the way up |
| 3-month return | -24.7% |
| 1-year return | +74.7% |
Five years of financials, as filed
Pulled from Vertiv's XBRL filings on SEC EDGAR. Italic rows are derived from the rows above.
| FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | |
|---|---|---|---|---|---|
| Revenue | $10.2B | $8.0B | $6.9B | $5.7B | $5.0B |
| Operating income | $1.8B | $1.4B | $872M | $223M | $260M |
| Net income | $1.3B | $496M | $460M | $76.6M | $120M |
| Operating cash flow | $2.1B | $1.3B | $901M | -$153M | $211M |
| Capital expenditure | $220M | $167M | $128M | $100M | $73.4M |
| Total assets | $12.2B | $9.1B | $8.0B | $7.1B | $6.9B |
| Total liabilities | $8.3B | $6.7B | $6.0B | $5.7B | $5.5B |
| Shareholder equity | $3.9B | $2.4B | $2.0B | $1.4B | $1.4B |
| Cash | $1.7B | $1.2B | $780M | $261M | $439M |
| Long-term debt | $2.9B | $2.9B | $2.9B | $3.2B | $3.0B |
| Free cash flow | $1.9B | $1.2B | $773M | -$253M | $138M |
| Operating margin | 17.9% | 17.1% | 12.7% | 3.9% | 5.2% |
| Net margin | 13.0% | 6.2% | 6.7% | 1.3% | 2.4% |
| Diluted shares | 391M | 386M | 386M | 378M | 360M |
Share count is up 8.5% over 4 years. Mild issuance.
What Vertiv says it does
Overview Vertiv is a global leader in critical digital infrastructure for applications in data centers, communication networks, and commercial and industrial environments. As businesses, industries, and communities become more connected, we pioneer and deliver end-to-end power and cooling technologies to help our customers stay resilient, optimized, and future-ready. With our industry-leading innovative technologies and global services network, we are fueling the revolution of the digital world — keeping technology ecosystems running efficiently and without interruption. We believe that Vertiv is supercharging data’s potential; accelerating the pace of technology, raising the bar for accelerated compute and redefining the limits of densification. The world depends on data we power and cool™. Our Company Our roots trace back to 1946 and the beginning of the information age, when Ralph Liebert founded the precursor to the Liebert…
Risk factors VRT lists in its 10-K
- Risks Relating to Ownership of Our Securities
- Engineering, Research and Development
- Facilities, Operations, Raw Materials and Supply Chain
- Environmental, Health and Safety and Responsible Business Practices
- Amended and Restated Registration Rights Agreement
- Risks Related to Our Customers and Our Industry
- We may not realize all of the sales expected from our backlog of orders and contracts
- Any disruption or consolidation of our customers’ markets or reduction in customer spending on technology could result in declines in the sales volume and prices of our products
- Larger customers often require terms and conditions that are more favorable to the customer, which could result in downward pricing pressures on our business
- The industries and markets in which we operate are highly competitive, and we experience competitive pressures from numerous and varied competitors
- Failure to obtain performance and other guarantees from financial institutions, may prevent us from bidding on or obtaining certain contracts, or increase our costs with respect to such contracts
- Risks Related to Our Business Operations
- We are subject to various changes in costs of production, including some that are beyond our control, the impacts of which may be exacerbated if we fail to properly manage our supply chain and inventory
- Volatility in the supply or price of raw materials, freight and labor