Key Takeaways:
- Vertiv (VRT, Financial) exceeds Q1 financial expectations with 24.4% revenue growth.
- Analysts see a significant potential upside with an average price target of $116.12.
- Current valuations suggest a possible downside according to GuruFocus GF Value estimates.
Vertiv's Impressive Q1 Results
Vertiv (VRT) reported a stellar performance for the first quarter, delighting investors with a Non-GAAP EPS of $0.64, which beat estimations by $0.02. The company's revenue soared to $2.04 billion, marking a significant 24.4% year-over-year increase and surpassing forecasts by $100 million. This growth was supported by a 20% increase in trailing twelve-month orders and a noteworthy 1.4x book-to-bill ratio, underscoring strong demand for Vertiv's offerings.
Wall Street Analysts Forecast
Analyst sentiment remains positive, as reflected in the one-year price targets compiled from 20 analysts. The average target price for Vertiv Holdings Co (VRT, Financial) stands at $116.12, with the potential for the stock to reach a high of $146.00 or a low of $75.00. This average price target suggests a considerable upside of 61.68% from the current trading price of $71.82. Investors can explore more detailed forecast data on the Vertiv Holdings Co (VRT) Forecast page.
Furthermore, based on the consensus from 24 brokerage firms, Vertiv Holdings Co (VRT, Financial) holds an average brokerage recommendation of 1.9, designating an "Outperform" status. On this scale, 1 represents a Strong Buy, while 5 indicates a Sell. This acclaim suggests optimism about Vertiv’s future performance.
Valuation Insights from GuruFocus
Despite the positive analyst ratings, GuruFocus' valuation assessment tells a different story. The estimated GF Value for Vertiv Holdings Co (VRT, Financial) in the coming year is pegged at $53.77, indicating a potential downside of 25.13% from the current price level of $71.82. The GF Value is GuruFocus' fair value estimate, grounded in the historical trading multiples, past growth, and anticipated future performance of the business. Investors seeking deeper insights can visit the Vertiv Holdings Co (VRT) Summary page for more information.
