Vertiv Holdings Co

Vertiv Holdings Co. issued third-quarter 2026 guidance calling for net sales of $3.65 billion to $3.85 billion and adjusted earnings of $1.77 to $1.83 per share, with adjusted operating profit projected between $898 million and $938 million and an adjusted operating margin of 24% to 25%. The guidance follows a second quarter of 2026 in which net sales rose 24% year over year, with the Americas and APAC each growing 29%, and adjusted operating margin reached 22.6%, up 410 basis points year over year and above prior guidance. Management raised its full-year 2026 adjusted operating margin guidance to 23.3%-24.3%, citing organic growth, operating leverage and productivity, and said it expects pricing to exceed inflation including current tariffs and countermeasures. Acquisitions contributed 5% of second-quarter 2026 revenues, and Vertiv recently agreed to acquire King Environmental Services, a Europe-based provider of fluid management, commissioning and load-testing services for high-density liquid-cooled data centers, in a transaction expected to close in the fourth quarter of 2026. The Zacks Consensus Estimate for third-quarter 2026 revenues is $3.77 billion, implying growth of 40.79% year over year, while the consensus earnings estimate stands at $1.83 per share, up 0.75% over the past 30 days and implying a year-over-year increase of 47.58%.

Vertiv Holdings Co. is positioned to beat consensus estimates again in its next quarterly report, according to Zacks Investment Research. The company has beaten estimates in each of its last two quarters, with an average surprise of 10.50%. In the most recent quarter, Vertiv reported $1.52 per share against an expected $1.43, a surprise of 6.29%, after posting $1.17 per share versus a $1.02 consensus in the prior quarter, a surprise of 14.71%. Vertiv currently carries a Zacks Earnings ESP of +6.20% and a Zacks Rank #2 (Buy), a combination Zacks research shows produces a positive surprise nearly 70% of the time.

Wells Fargo analyst Stephen Tusa initiated coverage of Vertiv Holdings Co on September 25 with an Overweight rating and a $340 price target, calling it the best sales growth story in multi-industry. The call follows a run of acquisitions that push Vertiv deeper into power and cooling for AI data centers, most notably the September 2 agreement to buy Utility Innovation Group for about $1.45 billion in cash plus up to $1.15 billion more if earnings targets are met, potentially taking total consideration to $2.6 billion. On September 24, Vertiv also agreed to acquire King Environmental Services, an Irish fluid management and commissioning firm, for undisclosed terms not expected to be material, and on September 21 its 2.3 MW coolant distribution unit qualified under NVIDIA's DSX Ready program. In the second quarter, net sales rose 24% to $3.274 billion, adjusted operating margin expanded 410 basis points to 22.6%, adjusted EPS climbed 60% to $1.52, and adjusted free cash flow reached $925 million, while management raised 2026 adjusted EPS guidance to $6.65 to $6.75 from $6.30 to $6.40 and guided third-quarter organic growth of 34% to 36%. Shares trade at 27.78 times forward earnings as of September 28, after a five-year gain of almost 900%, and the October 22 earnings report must show delayed projects converted into sales near the $3.65 billion to $3.85 billion third-quarter guide.

Vertiv Holdings Co agreed on September 2 to acquire Utility Innovation Holdings, Inc., which operates as UtilityInnovation Group or UIG, for approximately $1.45 billion in cash at closing. The deal also includes up to $1.15 billion in performance-based cash earnouts over 12- and 24-month periods tied to EBITDA targets, which would bring the total cash outlay to $2.6 billion if fully triggered. At the initial purchase price, the transaction represents roughly 13 times UIG's projected 2027 EBITDA, with expected accretion to adjusted EPS in the first year after closing. The acquisition extends Vertiv's critical power architecture upstream to the grid interconnect, adding microgrid controls, switchgear, and energy storage orchestration to accelerate time-to-power for AI data centers. The transaction is expected to close in the fourth quarter of 2026.

Vertiv Holdings Co has entered into an agreement to acquire King Environmental Services Ltd., a Europe-based provider of fluid management, commissioning and load-testing services for high-density, liquid-cooled data centers. The deal is expected to expand Vertiv's global thermal management services into Europe, Middle East and Africa, adding specialized capabilities spanning system preparation, performance validation, monitoring, maintenance and lifecycle optimization. The transaction builds on Vertiv's North American fluid management presence, including its 2025 acquisition of PurgeRite, and represents the next step in expanding its global thermal and fluid management services platform. KES is headquartered near Dublin, Ireland, and serves customers across the EMEA region from hubs in North Dublin and Frankfurt. The transaction is expected to close in the fourth quarter of 2026; financial terms were not disclosed and are not expected to be material to Vertiv's financial results.

Nvidia introduced its DSX Ready program on September 21, naming Tesla among qualified battery-energy-storage suppliers and Vertiv Holdings among qualified cooling suppliers for its new AI-factory standard. The program effectively publishes a compatibility layer for the physical AI factory, which can shorten design work for developers while potentially increasing Nvidia's influence over what gets specified around its racks. Vertiv has the most direct operating exposure because Nvidia qualified its 2.3-megawatt CoolChip coolant distribution unit for the program, while for Tesla the qualification puts Megapack directly into the AI-infrastructure conversation and opens another demand pool for Tesla Energy beyond utilities and renewable projects. Nvidia itself says DSX Ready does not replace site-level engineering or imply site-level stability, and the bear case is that qualification is not a guarantee of project wins. Insider Monkey's Q2 database showed 285 hedge funds holding Nvidia, up from 275 in Q1, while Tesla fell to 116 hedge-fund holders from 123 and Vertiv rose to about 112 from 96 in Q1, with all three filings predating the DSX announcement.

Vertiv reported that product revenues rose 22% year over year to $2.65 billion in the second quarter of 2026, accounting for about 81% of total sales, while total revenues climbed 24% to $3.27 billion. Regionally, Americas sales increased 29% to $2.07 billion and APAC rose 29% to $720 million, while EMEA returned to 2% reported growth. The company is adding capacity across the Americas, Malaysia and EMEA and investing in advanced thermal systems, next-generation power architectures and converged infrastructure, including an 800-volt DC roadmap and liquid-cooling products. For the third quarter of 2026, management expects $3.65-$3.85 billion in sales and 34%-36% organic growth, including high-30s organic growth in the Americas and APAC and mid-teens growth in EMEA. Vertiv faces intensifying competition from Super Micro Computer, which in July 2026 expanded its DCBBS liquid-cooling portfolio with 10 rear-door heat exchangers, and from Amphenol, whose IT datacom segment represented about 43% of sales and grew 63% organically year over year in the second quarter of 2026.

Oracle Corporation spent $28.5 billion on capital expenditures in its latest quarter as it raced to build cloud capacity for artificial intelligence. The company reported September 10 that quarterly revenue rose 30% to $19.3 billion, with remaining performance obligations reaching $664 billion, driven by more than $30 billion of new AI contracts. One layer below that boom sits Vertiv Holdings Co., which specializes in the power conversion, cooling and switchgear that dense AI racks require, and which agreed September 2 to acquire Utility Innovation Group for about $1.45 billion in cash plus as much as $1.15 billion of contingent payments, adding microgrid controls and onsite-power capabilities. Hedge-fund ownership of Oracle rose to 119 funds from 115 in the second quarter, while Vertiv climbed to 112 from 96, and short interest stood at roughly 2.8% of Oracle's float and 3.4% of Vertiv's as of August 14. The pairing offers two ways to own the same buildout: Oracle carries cloud utilization and customer risk, while Vertiv sells infrastructure into the build cycle itself.

Vertiv and Seagate Technology delivered two of the loudest post-earnings statements in AI infrastructure, with Vertiv posting Q2 2026 revenue of $3.27B, up 24.1% YoY, on organic growth of 18% and adjusted operating margin expanding 410 basis points to 22.6%. CEO Giordano Albertazzi said the momentum is strong, broad-based and accelerating, and backlog coverage plus new capacity in Malaysia and the Americas support a raised full-year target of roughly $14 billion in sales. Seagate's fiscal Q4 was arguably louder, with revenue of $3.63B, up 48.5% YoY, non-GAAP EPS of $5.71 against a $5.09 consensus, and non-GAAP gross margin of 52.7%, as CEO Dave Mosley credited robust cloud data center demand and pointed to the HAMR-based Mozaic roadmap. Vertiv announced a planned acquisition of UtilityInnovation Group to accelerate time to power for AI data centers, on top of ThermoKey and Strategic Thermal Labs earlier in the year, while Seagate said nearline capacity is almost fully allocated through calendar 2027 and growth will come from areal density rather than added factory capacity. Vertiv shares fell 9.63% on September 9 after a 109.52% one-year run, while Seagate is up 222.51% year to date, with its 2027 EPS consensus of $35.78 and 20 upward revisions in 30 days making it the cleaner near-term earnings story.

Vertiv Holdings Co has signed a definitive agreement to acquire Utility Innovation Holdings, Inc., which operates as UtilityInnovation Group, for up to $2.6 billion. The deal includes approximately $1.45 billion in cash at closing and up to $1.15 billion in contingent consideration if UIG meets specified EBITDA targets over 12- and 24-month periods. At the upfront price, the acquisition represents about 13 times expected UIG 2027 EBITDA, a multiple that Vertiv expects to decline if the full earnout is paid. The acquisition is expected to close in the fourth quarter of 2026, subject to regulatory approvals. UIG provides microgrid controls, onsite generation, and energy-storage orchestration, which Vertiv says will help address power constraints in AI data-center construction.

Vertiv Holdings Co. has recently been on Zacks.com's list of the most searched stocks, with shares returning +3% over the past month versus the Zacks S&P 500 composite's -0.1% change. The company is expected to post earnings of $1.83 per share for the current quarter, a year-over-year change of +47.6%, and the Zacks Consensus Estimate has changed +1.1% over the last 30 days. For the current fiscal year, the consensus earnings estimate of $6.69 points to a change of +59.3% from the prior year, while the next fiscal year's estimate of $8.96 indicates a change of +33.9%. Vertiv reported revenues of $3.27 billion in the last quarter, a year-over-year change of +24.1%, with EPS of $1.52 compared to $0.95 a year ago, beating consensus EPS estimates in each of the trailing four quarters. The company holds a Zacks Rank #2 (Buy), suggesting it may outperform the broader market in the near term.

Vertiv has agreed to acquire UtilityInnovation Group (UIG) for approximately $1.45 billion in cash at closing, with additional performance-based consideration, aiming to strengthen its position in the AI data-center infrastructure market. The deal adds microgrid controls, on-site generation, energy-storage orchestration, and behind-the-meter power architecture capabilities, helping customers address power availability and grid-connection constraints. This acquisition is part of Vertiv's broader strategy to build a comprehensive power solution from the grid to the rack, complementing its existing AC/DC power management, switchgear, UPS systems, and energy storage. Vertiv faces competition from Amphenol and Super Micro Computer, which are expanding in connectivity, power interconnects, and integrated rack-scale infrastructure. Vertiv's shares have risen 58.4% year to date, and the Zacks Consensus Estimate for its earnings is $1.81 per share, implying 45.97% growth.

Three US-listed companies that keep AI data centers running are reporting surging revenue and backlog as hyperscaler demand accelerates. Comfort Systems USA, which installs HVAC and electrical systems inside data centers, saw Q2 FY2026 revenue rise 50.3% to $3.27 billion and backlog nearly double to a record $14.06 billion. Vertiv Holdings, which makes power and cooling gear for AI servers, reported Q2 net sales up 24% to $3.274 billion and raised its full-year 2026 EPS guidance by 60% to $6.70 at the midpoint. Sterling Infrastructure, which does site development and electrical work for data-center campuses, delivered 90.1% revenue growth to $1.17 billion and a 116% backlog surge to $4.33 billion, with management raising FY2026 guidance to revenue of $4.00-$4.15 billion. All three companies cited intensifying demand from hyperscalers, with Sterling's CEO noting projects are now scoped to last up to 12 years.

Vertiv Holdings Co. shares have risen 18.4% since its second-quarter earnings report, outperforming the S&P 500. The company reported adjusted earnings of $1.52 per share, up 60% year over year and beating the Zacks Consensus Estimate by 6.29%, while net sales increased 24.1% to $3.27 billion, missing estimates by 3.41%. Adjusted operating profit surged 51% to $738 million, with margin expanding 410 basis points to 22.6%. Vertiv raised its full-year 2026 guidance, now expecting net sales of $13.8 billion to $14.2 billion and adjusted earnings of $6.65 to $6.75 per share, with adjusted free cash flow raised to $2.4 billion to $2.6 billion. The company cited strong demand for AI data center infrastructure and expects continued growth in the second half.

A new report from ResearchAndMarkets.com forecasts that the global digital infrastructure market will reach approximately $1.96 trillion by 2035, driven by cloud computing, AI, and data center demand. The market, valued at $438.89 billion in 2025, is projected to grow at a CAGR of 17.5% to $984.97 billion by 2030, then at 14.8% to the 2035 figure. Hardware was the largest component segment in 2025, accounting for 49% of the market, while software is expected to be the fastest-growing through 2030. North America led regional revenue with 36.1% share, and Asia-Pacific is forecast to be the fastest-growing region. The report also profiles key players including Schneider Electric, Vertiv, and Eaton.

Penguin Solutions, Inc. is seeing improving revenue visibility as AI-driven demand continues to outpace net sales growth, contributing to a growing backlog. The company exited the third quarter of fiscal 2026 with a very strong backlog, particularly in Integrated Memory, where revenues jumped more than 111% year over year to $275 million, while AI-driven businesses represented 74% of total revenues and grew 104%. Management said bookings in the AI Infrastructure business generally convert into revenues within three to six months, providing an advantage heading into fiscal 2027, and the company has "pretty good visibility" into the first half of fiscal 2027. The pipeline also strengthened across enterprise, sovereign AI, and neocloud customers, with MemoryAI appliances and CXL memory expansion cards generating both revenues and new bookings. Penguin Solutions raised its fiscal 2026 outlook and expects roughly 30% net sales growth in fiscal 2027 from the midpoint of that outlook. Rivals Dell Technologies and Vertiv Holdings also benefit from the trend, with Dell reporting a record $51.3 billion AI backlog and Vertiv seeing strong backlog and pipeline momentum. Penguin Solutions shares have surged 107.6% over the past year, and the Zacks Consensus Estimate for fiscal 2026 and fiscal 2027 earnings is $2.60 and $3.40 per share, respectively, with both estimates revised upward.

Vertiv, an 80-year-old maker of data center cooling equipment, has seen its market cap surge nearly tenfold to $109 billion since going public in early 2021, making it the third-best performer in the S&P 500 over that span with a 50.5% annualized return. The transformation was led by David Cote, the former Honeywell CEO who acquired Vertiv in early 2020 for $4 billion through a special-purpose acquisition company arranged with Goldman Sachs. Cote repositioned Vertiv to serve hyperscalers like Google and Microsoft, and in December 2023 the company bought British startup CoolTera, whose direct-to-chip liquid cooling technology is now critical for cooling Nvidia GPUs in AI data centers. Vertiv has tripled production capacity since early 2023 and plans to triple it again by 2029, while the overall data center cooling market is projected to grow from over $30 billion today to $128 billion by 2033. Cote says cheaper AI models like DeepSeek will only increase data processing demand, and he believes Vertiv's role is fundamental to the digital age.

Vertiv reported a 410 basis point year-over-year increase in adjusted operating margin to 22.6% in the second quarter of 2026, driven by operational execution and favorable price-cost dynamics. Net sales rose 24% year over year, with the Americas and APAC regions each growing 29% and EMEA returning to positive growth. Management raised full-year 2026 adjusted operating margin guidance to 23.3%-24.3% and expects pricing to exceed inflation, including tariffs. By comparison, Amphenol's adjusted operating margin improved 420 basis points to 29.8% on 80.2% higher adjusted operating income, while Super Micro Computer's non-GAAP operating margin jumped to 14.3% from 7.2% in the prior quarter. Vertiv shares have surged 63.3% year to date, and the Zacks Consensus Estimate for 2026 earnings is $6.64 per share, up 3.58% over the past 30 days.

Zacks Equity Research highlights Dell Technologies, Celestica, Lumentum Holdings, and Vertiv Holdings as four stocks positioned to benefit from AI data center expansion beyond chipmakers. Amazon, Alphabet, Microsoft, and Meta Platforms are expected to spend roughly $720 billion to $745 billion on capital expenditures in 2026, with a large portion directed toward AI infrastructure. Dell reported record quarterly revenues of $43.84 billion in the first quarter of fiscal 2027, up 88% year over year, and raised its AI server revenue expectations for fiscal 2027 to about $60 billion. Celestica's second-quarter 2026 revenues jumped 62% year over year to $4.70 billion, and it raised its full-year 2026 revenue outlook to $20.5 billion from $19 billion. Lumentum's fourth-quarter fiscal 2026 net revenues reached a record $1.01 billion, more than doubling from $480.7 million a year earlier, and NVIDIA committed to invest $2 billion in the company. Vertiv's second-quarter 2026 revenues increased 24% year over year to $3.27 billion, and it raised its full-year 2026 revenue guidance range to $13.8-$14.2 billion from $13.5-$14 billion.

Morgan Stanley estimates U.S. data centers will need roughly 68 gigawatts of power between 2026 and 2028, leaving a potential 38-gigawatt gap after accounting for projects under construction and available grid capacity. The bank expects developers to increasingly turn to on-site natural gas turbines, fuel cells, and other behind-the-meter generation to get power faster. Morgan Stanley identifies natural gas turbines as one of the biggest potential solutions, estimating they could provide roughly 15 to 20 gigawatts of capacity through 2028. GE Vernova, Eaton, and Vertiv are positioned to benefit, with GE Vernova's Gas Power equipment backlog and slot reservations reaching 116 gigawatts in the second quarter, Eaton's Electrical Sector data center orders up approximately 85% year over year, and Vertiv's second-quarter revenue up 24% to $3.27 billion.

Baron Capital's Small Cap Fund highlighted Vertiv Holdings as a top contributor in its second quarter 2026 investor letter, with the stock adding 2.66% to performance. Vertiv, a provider of power and cooling systems for data centers, reported strong first quarter results with adjusted earnings per share up 83% year-over-year and raised its fiscal year guidance on roughly 30% organic sales growth. Management increased long-term projections to 20%-plus revenue CAGR and a 27%-plus EBIT margin out to 2030, with $24 billion of cash available for M&A. The fund trimmed its position but maintains a large stake, citing Vertiv's positioning in liquid cooling and direct current power architectures. Vertiv shares closed at $292.43 on August 17, 2026, with a market capitalization of $112.58 billion.

Vertiv and Super Micro Computer reported sharply different quarterly results, highlighting contrasting positions in the AI infrastructure market. Vertiv posted Q2 revenue of $3.27 billion, up 24.1% year-over-year, with adjusted operating margin expanding 410 basis points to 22.6% and free cash flow of $925.3 million. Supermicro's Q4 revenue hit $11.12 billion, up 93.2% year-over-year but missing consensus by 3.83%, while GAAP gross margin rose to 17.5% from 9.5% a year earlier. Supermicro guided Q1 FY27 gross margin to 10.4% to 10.8%, signaling the 17.5% result was partly one-time, and reported negative operating cash flow of $6.81 billion for FY26 with $8.7 billion in bank and convertible debt. Vertiv joined the S&P 500 in March 2026 and raised FY26 EPS guidance to $6.70 at the midpoint, while Supermicro guided FY27 revenue of $65 billion to $72 billion and raised $5.6 billion in Q4 equity.

Citi sees improving momentum across the industrial sector after organic growth reached 6.9% in the second quarter of 2026, substantially exceeding the bank's 4.0% forecast. Strong data centre investment remains an important source of demand, while signs of a broader short-cycle recovery suggest growth is beginning to extend into more areas of the industrial economy. Average operating margins across the sector reached 21.4%, compared with Citi's forecast of 21.2%, and the bank views margins above 20% as evidence of healthy underlying profitability. Citi's preferred industrial names include Parker Hannifin, Vertiv, Eaton, Emerson Electric and Trane Technologies, while it also sees attractive long-term opportunities in Quanta Services and MasTec. The industrial sector is trading at a modest premium to the broader U.S. equity market, with a relative next-12-month price-to-earnings ratio of 1.11 times the S&P 500 versus a 10-year average of 1.10 times.

Bernstein analysts project U.S. annual data center construction could rise from 12 gigawatts in 2026 to 35 GW by 2030, but shortages of specialised mechanical, electrical and plumbing workers will set the industry's speed limit. The projection assumes recruitment across the three trades remains near peak rates recorded during the past three years, allowing annual construction to increase by about 6 GW each year, or roughly 30% compound annual growth. The estimated 35 GW ceiling would support market consensus of 25 GW to 35 GW in annual capacity additions by 2030, yet fall short of the 40 GW Bernstein estimates is needed to justify planned manufacturing capacity for mid-scale power generators. This creates a potential overbuild risk for power-equipment suppliers, with Caterpillar and Cummins identified as the most exposed. Bernstein said modular construction could help the industry move past this labour ceiling by transferring more work from building sites to factories, potentially benefiting vertically integrated manufacturers and contractors such as Eaton, Schneider Electric, Vertiv, Quanta Services, Comfort Systems USA and EMCOR.

Big Tech's AI spending race accelerated this earnings season, with Microsoft, Amazon, Alphabet and Meta reporting roughly $170 billion in capital expenditures. Microsoft reported $41 billion of CapEx, Alphabet spent $44.9 billion and raised its full-year CapEx forecast, Meta deployed $31.1 billion while maintaining its outlook, and Amazon led the group with $54.2 billion in property and equipment purchases. The spending is showing returns, with Microsoft monetizing enterprise AI, Amazon and Alphabet benefiting from accelerating cloud demand, and Meta's AI-enhanced advertising business helping fund its infrastructure buildout. Vertiv's Q2 revenue grew 24% to $3.3 billion and it raised its full-year outlook, while Broadcom's Q2 revenue soared 48% to $22.2 billion and AI semiconductor revenue surged 143% year-over-year to $10.8 billion, with Broadcom expecting AI revenue to reach $16 billion next quarter.

Vertiv Holdings Co raised its full-year 2026 guidance, now expecting net sales of US$13,800 million to US$14,200 million and diluted EPS of US$5.82 to US$5.92, explicitly tying the stronger outlook to AI data center demand. The company also reported higher second-quarter revenue and net income year over year and completed its US$599.84 million share repurchase program. Earlier in August, Bitzero Holdings Inc. announced a collaboration with Vertiv to support AI and HPC data center build-outs. Vertiv is scheduled to present at the OCP APAC Summit 2026 in Taipei, highlighting its role in advanced, high-density AI infrastructure and integrated power-and-cooling solutions.

The massive buildout of AI data centers is creating distinct investment opportunities across semiconductor equipment, real estate, energy, and cooling, according to experts interviewed by Fortune. Hyperscalers are projected to spend between $750 billion and $800 billion annually, with some forecasts reaching $1 trillion, representing 2.5% to 3% of U.S. GDP. In chips, B. Riley Securities analyst Craig Ellis recommends shifting focus from giants like Nvidia to equipment suppliers such as Applied Materials, Lam Research, and Marvell Technology, citing severe undersupply that will drive multi-year capex growth. For real estate, CenterSquare’s Patrick Wilson highlights data center REITs Equinix and Digital Realty as beneficiaries of the shift from AI training to inference, which favors urban facilities with low latency. Morningstar’s Andrew Bischof points to utilities like American Electric Power, which plans $78 billion in infrastructure investment through 2030, while New Constructs’ David Trainer sees value in traditional energy stocks such as Valero and HF Sinclair. In cooling, Morningstar’s Nick Lieb favors Vertiv for its dominant position in precision cooling, though notes concentration risk, and Eaton for its diversified exposure to the electrical grid. Some analysts warn that current spending levels may be unsustainable, with hyperscalers increasingly relying on debt and equity issuance.

Eaton, Vertiv, and Quanta Services are supplying the electrical systems, cooling, and grid infrastructure that make GPU-powered data centers physically possible. Eaton's U.S. data center backlog reached 307 gigawatts, representing 15 years of work at current build rates, giving investors rare long-duration revenue visibility. Vertiv posted 24% revenue growth and $925 million in free cash flow in Q2 2026, while Quanta's backlog surged to $48 billion. These picks-and-shovels companies provide exposure to the physical infrastructure supporting AI, with Eaton's backlog extending into 2028 and beyond, Vertiv's full-year revenue forecast raised to $13.8 billion to $14.2 billion, and Quanta's electric-infrastructure backlog reaching $40.1 billion.

Sovereign AI infrastructure spending is exploding, with Nvidia capturing the largest share of the dollar flow. Nvidia reported data center revenue of $75.25 billion, up 92% year over year, and guided for $91.0 billion in Q2 revenue with 75.0% non-GAAP gross margins. AMD's data center segment grew 107%, winning sovereign AI deployments in India, Korea, and the UAE. Vertiv's Americas segment grew 29.2%, and Eaton's Electrical Americas rolling 12-month orders were up 41% organically, as every new AI gigawatt demands more power and cooling infrastructure.

Vertiv, a leader in power and cooling solutions for data centers, has seen its trailing-12-month revenue nearly double over the past three years to $11.5 billion, driven by booming demand from AI infrastructure. The company reported 24% year-over-year revenue growth in the second quarter, and its adjusted operating margin reached about 20% in 2025, with management guiding for 23.8% at the midpoint for full-year 2026. Analysts project revenue approaching $22 billion by 2028 and roughly 37% annualized earnings growth over the next several years, supporting a forward price-to-earnings ratio of 41. Vertiv benefits from high switching costs that lock in customers once its power systems are installed, and it faces competition from larger players like Schneider Electric and Eaton.

Zacks Investment Research has identified five growth stocks for investors to buy in August, citing strong earnings and revenue growth prospects tied to artificial intelligence and data center demand. The stocks are Micron Technology, Seagate Technology Holdings, Comfort Systems USA, Vertiv Holdings, and Celestica, each carrying a Zacks Rank of 1 and a Growth Score of A. Micron is expected to see revenue and earnings growth of 91.4% and more than 100% for the year ending August 2027, driven by demand for memory chips used in AI systems. Seagate projects revenue and earnings growth of 52.8% and more than 100% for the year ending June 2027, benefiting from AI workloads that require persistent data storage. Comfort Systems guided for 2026 same-store revenue growth in the mid- to high-30% range, with a backlog of $14.06 billion as of June 30, 2026, up 73.2% year over year, fueled by data center construction. Vertiv expects revenue and earnings growth of 36.6% and 58.1% for the current year, supported by AI infrastructure demand and partnerships with NVIDIA. Celestica anticipates revenue and earnings growth of 63.4% and 78.5% for the current year, driven by AI infrastructure spending and expansion of high-bandwidth networking platforms.

Zacks Investment Research featured Lam Research, The Cheesecake Factory, Vertiv, and Fortinet as promising growth-at-a-reasonable-price stocks. Lam Research guided for September 2026 quarter revenues of $8.1 billion with a non-GAAP operating margin of 39.5%, while its fiscal 2027 earnings consensus estimate rose 17.6% to $9.24 per share over the past 30 days. The Cheesecake Factory reiterated plans to open up to 26 new restaurants in fiscal 2026 and saw its 2026 earnings estimate increase 10.5% to $4.43 per share. Vertiv raised full-year 2026 guidance to approximately $14 billion in net sales and adjusted earnings of $6.65 to $6.75 per share, with its 2026 earnings estimate moving 3.6% higher to $6.64 per share. Fortinet lifted its full-year 2026 revenue growth target to 19%, implying $8.02 to $8.18 billion, and its 2026 earnings estimate advanced 8.3% to $3.40 per share.