VRT

Vertiv Holdings Co

Technology • CIK: 0001674101

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Market Cap
$61.84B
P/E (TTM)
46.6x
Rev Growth (TTM)
+27.7%
Net Margin (TTM)
13.0%
FCF Yield (TTM)
3.1%
FCF Margin (TTM)
18.5%

Filing Intelligence

5.0/10
10-K filed Feb 13, 2026 • FY 2025

Executive Summary

Vertiv achieved significant revenue growth in 2025, driven by increased sales volumes and expansion, particularly in the Americas.. Gross margins remained relatively stable, with benefits from higher...

Key Concerns

  • ●Operating profit saw strong growth, mainly fueled by the Americas segment's operational leverage and favorable sales mix, while EMEA faced...
  • ●Ongoing securities class action litigation and derivative lawsuits alleging false and misleading statements, with some claims dismissed but...
  • ●Mexican subsidiary faced a significant customs tax audit resulting in a $10.1 million payment, with reimbursement outcome uncertain.

Key Strengths

  • ●Vertiv achieved significant revenue growth in 2025, driven by increased sales volumes and expansion, particularly in the Americas.
  • ●Operating profit saw strong growth, mainly fueled by the Americas segment's operational leverage and favorable sales mix, while EMEA faced...
  • ●The company demonstrated strong cash flow generation, with a substantial increase in operating cash flow driven by improved working capital...
View Full Quarterly Insights →

LATEST EARNINGS

•
Q4 FY2025
•
about 2 months ago
•View source
Revenue
$2.88B
+22.7%
Net Income
$445.60M
+203.1%
EPS
$1.14
+200.0%
Operating
20.1%↑ +0.6%
Net
15.5%↑ +9.2%
  • •Net sales increased 23% year-over-year to $2,880 million in Q4 2025, driven by organic sales growth of 19%.
  • •Fourth quarter organic orders grew approximately 252% compared to last year's fourth quarter, reflecting strong market demand.
  • •Adjusted operating margin was 23.2%, up 170 basis points compared to fourth quarter 2024, driven by operational leverage and productivity.
  • •Operating cash flow increased 136% to $1,005 million and adjusted free cash flow increased 151% to $910 million in Q4 2025 compared to the prior year.
View Full Earnings →

Cash Flow Health

Free Cash Flow8/8 positive
TTM$1.9B
Q4 '25
$886M+91%
Q3 '25
$464M+67%
FCF Margin
TTM18.5%
Q4 '2530.8%+78%
Sector: 9.1%Above Avg
OCF Margin20.7%
OCF/NI1.59x
CapEx Coverage9.6x
FCF Yield3.1%
FCF Growth (2Y)–
Cash Conversion Cycle
86 days
DSO: 95+DIO: 78−DPO: 88
View Insights from Latest Filing →View Full Cash Flow Statement →

Capital Allocation & Returns

Accumulating Cash
Total Shareholder Yield
TTM0.1%
Div Yield0.1%

Limited capital returns

Dividend & Payout Metrics
Dividend Yield (TTM)0.1%
FCF Payout Ratio3.5%
Free Cash Flow (TTM)$1.9B
Stock Repurchases ()$0
Capital Return / FCF3.5%
Est. Dividends Paid (TTM)$66.6M
Shows how management rewards shareholders

Operational Efficiency & Returns

Return on Invested CapitalTTM
21.7%
Moderate
+0.0% YoY+12.8%
P25MedianP75
75th pctl (med: 0.1%)
DuPont BreakdownROIC = Margin × Turn × (1+D/E)
NOPAT Margin
13.7%
8Q: 11.7%
Asset Turnover
0.99x
8Q: 1.00x
Leverage (1+D/E)
1.74x
D/E: 0.74x
DuPont: 23.6% ≈ 21.7% ROIC
Asset & CapEx Efficiency
Fixed Asset Turn
14.74x
8Q:14.24x
+258.6%
Invested Cap Turn
1.58x
8Q:1.64x
+11.5%
CapEx Intensity
3.4%
8Q:2.9%
CapEx/Depreciation
0.71x
Asset-based ROIC formula
Full Analysis

QUARTERLY TRENDS

Last 8 quarters + TTM

MetricTTMQ4 2025Q3 2025Q2 2025Q1 2025Q4 2024Q3 2024Q2 2024Q1 2024
Revenue
$10.2B
$2.9B↑7.6%
$2.7B↑1.4%
$2.6B↑29.6%
$2.0B↓13.2%
$2.3B↑13.2%
$2.1B↑6.2%
$2.0B↑19.1%
$1.6B
Operating Income
$1.8B
$579.9M↑12.2%
$516.7M↑16.8%
$442.4M↑52.2%
$290.7M↓36.4%
$457.2M↑23.0%
$371.6M↑10.6%
$336.0M↑65.8%
$202.6M
Net Income
$1.3B
$445.6M↑11.8%
$398.5M↑22.9%
$324.2M↑97.1%
$164.5M↑11.9%
$147.0M↓16.8%
$176.6M↓0.8%
$178.1M↑3118.6%
$-5.9M
Operating Cash Flow
$2.1B
$978.9M↑92.4%
$508.7M↑57.5%
$322.9M↑6.5%
$303.3M↓28.7%
$425.2M↑13.4%
$375.1M↓1.7%
$381.5M↑177.5%
$137.5M
Free Cash Flow
$1.9B
$885.6M↑91.1%
$463.5M↑66.8%
$277.9M↑4.2%
$266.8M↓26.8%
$364.5M↑7.6%
$338.7M↓2.5%
$347.4M↑241.6%
$101.7M
Total Equity
N/A
Income StatementCash Flow StatementBalance Sheet

Valuation Analysis

Fair Value
Price-to-EarningsTTM
46.6x
Volatile
8Q: 159.5x+242337%
Valuation Lenses
Earnings
46.6x
vs – sector
Cash Flow
33.4x
EV/FCF vs –
Growth-Adj
0.3xPEG
Undervalued for growth
Quality-Adj
2.1P/E per %ROIC
ROIC: 21.7%
Shareholder Returns
Dividend
0.1%
Buyback
–
Total Yield
0.1%
Market Cap$61.84B
EV$63.24B
Multi-angle valuation analysis with sector context

Business Quality & Moat

Overall Quality Score
91/100
Exceptional

Composite score: Returns (40%) + Consistency (30%) + Earnings Quality (30%)

Returns on Capital

Return on Equity (ROE)Top 10%
42.7%
8Q:–
Return on Invested Capital (ROIC)Top 25%
21.7%
8Q:–
+12.8%
vs Sector:0.1%

DuPont Analysis (ROIC = NOPAT Margin × Asset Turnover)

NOPAT Margin: 13.7%
Asset Turnover: 0.99x

Earnings Quality

Cash Conversion

1.59x

OCF / Net Income ✓

FCF Consistency

–

Positive quarters

Competitive Moat Indicators

Pricing Power

Gross Margin36.3%

Capital Efficiency

Invested Capital Turnover1.58x

Working Capital

Cash Conversion Cycle86 days

Growth Quality & Momentum

Moderate Growth
Growth Quality Score
70/100
Growth 40%
Margins 30%
FCF 20%
Consistency 10%

Growth Rates

Revenue Growth YoY
27.7%
OpInc Growth YoY
26.8%
EPS Growth YoY
166.4%
FCF 3Y CAGR
N/A

Margin Quality & Sustainability

Low Quality
Profitability Cascade
Gross
36.3%
Operating
17.9%
Top 25% in sector
Net
13.0%
Margins Unknown
Earnings Quality Signals
SBC / Revenue
—
FCF vs Net Gap
+5.5 pts
FCF: 18.5% | Net: 13.0%

Quality = stability + cash conversion + low dilution

Balance Sheet & Solvency

Adequate
Net Debt / EBITDA
–Net Debt: $1.12B
Interest Coverage
–
Balance sheet risk & solvency analysis

Research

All research