Vertiv Gains From Strong Orders: Is the Growth Thesis Strengthening?

Vertiv VRT is benefiting from strong order growth and a robust pipeline, reinforcing its position as a leader in the data center and AI infrastructure market. In the third quarter of 2025, Organic orders (excluding foreign exchange) rose 60% year over year, and the book-to-bill ratio was roughly 1.4x in the reported quarter. 

The backlog at the end of the third quarter of 2025 was $9.5 billion. Backlog was 30% higher than 2024-end and up 12% from the end of the second quarter of 2025. In the third quarter, trailing twelve-month organic orders grew 21% compared with the prior-year period. This growth is largely driven by the rapid adoption of AI and the increasing need for data centers to support the digital transformation.

Vertiv’s innovative portfolio has been a major growth driver. Vertiv recently introduced new OCP-aligned rack, power and cooling solutions. These include the SmartIT OCP rack, PowerIT PDUs, PowerBar Track and CoolChip Fluid Network manifolds. They are designed to support high-density, energy-efficient data centers and next-generation AI workloads.

The company’s rich partner base, which includes Ballard Power Systems, Compass Datacenters, NVIDIA, Oklo, Intel, ZincFive and Tecogen, has been noteworthy. 

Vertiv’s partnership with NVIDIA is a plus. It aims to stay one generation ahead of NVIDIA, enabling efficient and scalable power solutions for next-generation AI data centers. Vertiv also confirmed its alignment with NVIDIA’s AI roadmap to deploy 800 VDC power architectures ahead of NVIDIA Kyber and Rubin Ultra platforms.

VRT Suffers From Stiff Competition

Vertiv’s AI infrastructure solutions face increasing competition from Hewlett Packard Enterprise HPE and Super Micro Computer SMCI, both of which are expanding their capabilities to serve hyperscale and enterprise AI data center deployments.

Hewlett-Packard Enterprise is expanding its footprint in the AI infrastructure through HPE Cray and ProLiant servers, bundled with liquid-cooled solutions and high-speed interconnects. In August, Hewlett-Packard Enterprise announced updates to its NVIDIA AI Computing by HPE portfolio. This includes HPE ProLiant Compute servers equipped with NVIDIA RTX PRO 6000 Blackwell Server Edition GPUs in a 2U form factor.

Super Micro Computer is strengthening its position with end-to-end AI rack-scale systems that integrate compute, networking, storage and liquid cooling.  In September, Super Micro Computer 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.

Vertiv’s Share Price Performance, Valuation, and Estimates

VRT’s shares have gained 61.3% year to date. The broader Zacks Computer & Technology sector has appreciated 23%, while the Zacks Computers - IT Services industry has plunged 13.4% in the same period.

VRT Stock's Performance

Vertiv stock is trading at a premium, with a trailing 12-month Price/Book of 22.38X compared with the Computer and Technology sector’s 11.28X. VRT has a Value Score of D.

Price/Book

The consensus mark for 2025 earnings is pegged at $3.84 per share, which has increased by a couple of pennies over the past 30 days. This indicates a 34.74% 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 has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

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

Zacks Investment Research