VRT's Robust Portfolio Fuels Revenue Growth: A Sign of More Upside?

Vertiv VRT is benefiting from its robust and diversified portfolio, which is driving strong revenue growth and positioning the company for further upside. In the second quarter of 2025, revenues increased 35.1% year over year to $2.64 billion. Net sales on an organic basis increased 34% year over year.

The company’s comprehensive offerings, which include critical infrastructure solutions for data centers, such as power, cooling, and prefabrication technologies, are well-aligned with the growing demand for digital transformation and AI infrastructure. In the trailing 12 months, organic orders grew approximately 11%, with a book-to-bill of 1.2 times for the second quarter of 2025, indicating a strong prospect. Backlog grew 7% sequentially and 21% year over year to $8.5 billion.

Further expanding its portfolio, Vertiv announced the global launch of Vertiv OneCore in August, a scalable, prefabricated data center solution. It integrates power, thermal, and IT infrastructure into a single, factory-assembled system, accelerating high-density deployments and reducing on-site complexity.

Acquisitions have played an important role in expanding Vertiv’s portfolio. The company acquired Belgium-based Waylay NV in August to strengthen its AI-driven monitoring, automation, and control capabilities for power and cooling systems in data centers.

As hyperscalers and enterprises increasingly scale AI deployments to support high-performance data centers, Vertiv’s solutions are gaining traction. For 2025, Vertiv expects net sales between $9.925 million and $10.075 million, reflecting 23-25% year-over-year organic growth. For the third quarter of 2025, Vertiv expects net sales between $2.150 million and $2.590 million, indicating 20-24% year-over-year organic growth.

VRT Suffers From Stiff Competition

Vertiv is facing stiff competition in the AI infrastructure space from the likes of Super Micro Computer SMCI and Amphenol APH.

Super Micro Computer is well-positioned to benefit from the growing demand for AI infrastructure. Super Micro Computer recently announced the start of high-volume shipments of its NVIDIA Blackwell Ultra systems and rack-scale Plug-and-Play solutions, including NVIDIA HGX B300 systems and GB300 NVL72 racks.

Amphenol’s expanding portfolio has been noteworthy. In June 2025, Amphenol introduced its UQD and UQDB liquid cooling connector series. These connectors aim to improve thermal management in high-reliability systems, such as AI data centers, EV charging stations, and energy storage. Both series comply with Open Compute Project standards and feature corrosion-resistant materials, leak-free seals, and easy installation without tools for challenging liquid-cooled environments.

Vertiv’s Share Price Performance, Valuation, and Estimates

VRT’s shares have gained 25% year to date. The broader Zacks Computer & Technology sector has appreciated 19.8%, while the Zacks Computers - IT Services industry has declined 14.2% in the same period.

VRT Stock Performance

Vertiv stock is trading at a premium, with a trailing 12-month Price/Book of 17.35X compared with the Computer and Technology sector’s 10.97X. VRT has a Value Score of D.

Price/Book

The consensus mark for 2025 earnings is pegged at $3.82 per share, which has remained unchanged over the past 30 days. This indicates a 34.04% increase from the reported figure of 2024.

Vertiv Holdings Co. Price and Consensus

Vertiv Holdings Co. price-consensus-chart | Vertiv Holdings Co. Quote

Vertiv currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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