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Vertiv Holdings Co. (VRT) Increases Despite Market Slip: Here's What You Need to Know

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In the latest market close, Vertiv Holdings Co. (VRT - Free Report) reached $73.37, with a +1.45% movement compared to the previous day. The stock outpaced the S&P 500's daily loss of 0.19%. Meanwhile, the Dow gained 0.1%, and the Nasdaq, a tech-heavy index, lost 0.54%.

The company's shares have seen an increase of 15.66% over the last month, surpassing the Computer and Technology sector's gain of 2.36% and the S&P 500's gain of 3.18%.

The upcoming earnings release of Vertiv Holdings Co. will be of great interest to investors. The company is forecasted to report an EPS of $0.36, showcasing a 50% upward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $1.62 billion, indicating a 6.79% upward movement from the same quarter last year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $2.35 per share and a revenue of $7.63 billion, signifying shifts of +32.77% and +11.18%, respectively, from the last year.

Investors might also notice recent changes to analyst estimates for Vertiv Holdings Co. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 5.83% increase. Vertiv Holdings Co. is holding a Zacks Rank of #2 (Buy) right now.

In terms of valuation, Vertiv Holdings Co. is currently trading at a Forward P/E ratio of 30.77. This expresses a premium compared to the average Forward P/E of 28.72 of its industry.

Also, we should mention that VRT has a PEG ratio of 1.2. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Computers - IT Services industry had an average PEG ratio of 2.52 as trading concluded yesterday.

The Computers - IT Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 63, putting it in the top 25% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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