Vertiv is a leader in critical infrastructure for datacentres and a clear beneficiary of AI driven growth.
AI tailwind for datacentres is only starting. To date, Vertiv has seen little to no impact from AI in revenue growth.
We see incremental margins of 30-35% as very achievable on volume growth. Leading to EPS growth of 30%+ per year from 2024 to 2026.
Operating margins increase from 15% in 2023 to ~20% in 2026 in our base case scenario
Potential Upside: $100 (+23%)
Sensible Downside: $63 (-22%)
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