Vertiv said it exited 2025 with a $15.0 billion backlog, up 109% year‑on‑year, and a near 2.9x book‑to‑bill ratio that management says maps revenue into 2027.
The San Jose‑based infrastructure supplier builds power, thermal management and critical equipment that supports AI datacenters, a layer that the company says captures roughly 50% of datacenter spend on power and a further 30% on cooling.
"We're still in the early stage of the infrastructure build out for AI," Executive Chairman Dave Cote said.
Vertiv reported Q1 2026 adjusted operating margin expanded 430 basis points to 20.8% and adjusted operating profit rose 64% to $550.9 million, while free cash flow surged 147% to $652.8 million.
Adjusted EPS of $1.17 beat consensus by 16% on revenue of $2.65 billion, up 30.1% year‑on‑year, and management raised FY2026 adjusted EPS guidance to $6.30–$6.40, implying about 50% growth at the midpoint.
Institutional moves include joining the S&P 500 in March 2026 and earning investment‑grade ratings from Moody's (Baa3) and S&P (BBB-) in February 2026, with net leverage at 0.2x and recent Q1 M&A in Thermal Key and Custom Structural Fabrication.
The stock trades at roughly 48x forward earnings, EMEA revenue fell 20.3% last quarter and shares have climbed 87% year‑to‑date while pulling back 18% over the past month.
