Vertiv Holdings Co (VRT) Stock Analysis

Analysis from 10-Q filed 2025-10-22. Data as of Q2 2026.

Overall Grade: F (Concerning)

Grade F (Concerning). ROIC 24.0%. FCF margin 25.5%. D/E 0.6x. Source: 10-Q filed 2025-10-22.

Metric	Value	Context
ROIC	24.0%	Above industry average
FCF Margin	25.5%	Strong cash generation
Debt/Equity	0.6x	Moderate leverage

ROIC 24.0% — Top 10% of sector peers. FCF margin 25.5% — Top 25%.

Explore Vertiv Holdings Co: Earnings History | Filings

Programmatic access: Available via MCP at mcp.metricduck.com. Tools for VRT: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.

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Profitability: Vertiv Holdings Co earns 24.0% ROIC, Top 10% in Technology

ROIC TTM 24.0%, sector median 3.6%, Top 10%. DuPont: NOPAT margin 15.5% × asset turnover 0.9x. Gross margin 38.0%. Operating margin 18.9%. Source: 10-Q filed 2025-10-22.

Metric	VRT	Rating	Context
Return on Invested Capital (ROIC)	24.0%	Excellent	Above sector median of 3.6%
Return on Equity (ROE)	44.3%	Excellent	Efficient use of shareholder equity
Gross Margin	38.0%	Good	Competitive pricing environment
Operating Margin	18.9%	Good	Efficient operations

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Cash Flow: Vertiv Holdings Co generates $2.9B FCF at 25.5% margin, positive NaN/8 quarters

FCF TTM $2.9B. FCF margin 25.5%, Top 25%. OCF/Net income 1.9x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2025-10-22.

Metric	VRT	Rating	Context
Free Cash Flow Margin	25.5%	Excellent	Excellent cash conversion
Free Cash Flow (TTM)	$2.9B	Good	Positive cash generation
OCF/Net Income	1.9x	Excellent	High earnings quality
FCF Consistency (8Q)	N/A	Warning	Variable cash flow

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Balance Sheet: Vertiv Holdings Co at 0.6x leverage

Debt/Equity 0.6x. Total debt $2.9B, cash & investments $2.8B. Source: 10-Q filed 2025-10-22.

Metric	VRT	Rating	Context
Debt to Equity	0.6x	Good	Moderate leverage
Net Cash Position	$-129.2M	Adequate	Net debt position

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Valuation: Vertiv Holdings Co trades at 74.0x earnings

P/E 74.0x. EV/Sales 6.7x. FCF yield 2.3%. Dividend yield 0.1%. Source: 10-Q filed 2025-10-22.

Metric	VRT	Rating	Context
P/E Ratio	74.0x	Warning	Premium valuation
EV/Sales	6.7x	Adequate	Growth premium priced in
FCF Yield	2.3%	Adequate	Lower cash yield
Dividend Yield	0.1%	Adequate	Growth focus over income

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Capital Allocation: Vertiv Holdings Co returns 0.1% shareholder yield

Total shareholder yield 0.1% (div 0.1%). Capital returned $86.0M TTM. Source: 10-Q filed 2025-10-22.

Metric	VRT	Rating	Context
Total Shareholder Yield	0.1%	Adequate	Dividend + buyback yield combined
Total Capital Returned (TTM)	$86.0M	Good	Dividends + buybacks returned to shareholders

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Sector Rankings

Metric	Value	Percentile	vs Median
Return on Invested Capital (ROIC)	24.0%	Top 10%	6.7x above
Free Cash Flow Margin	25.5%	Top 25%	3.0x above
Gross Margin	38.0%	Bottom 50%	0.7x below
Operating Margin	18.9%	Top 25%	4.0x above
Return on Equity (ROE)	44.3%	Top 10%	8.2x above
P/E Ratio	74.0x	N/A	-

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Financial Scorecard

Metric	VRT	Rating	Sector Context
Return on Invested Capital (ROIC)	24.0%	Excellent	Top 10% of sector (median: 3.6%)
Free Cash Flow Margin	25.5%	Excellent	Top 25% of sector (median: 8.5%)
Gross Margin	38.0%	Good	Bottom 50% of sector (median: 50.9%)
Debt to Equity Ratio	61.8%	Good	Moderate leverage
P/E Ratio (Price-to-Earnings)	74.0x	Warning	High expectations priced in
Free Cash Flow Yield	2.3%	Warning	Growth-focused valuation

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Frequently Asked Questions

Q: What is Vertiv Holdings Co's Return on Invested Capital (ROIC)?

Vertiv Holdings Co (VRT) has a trailing twelve-month Return on Invested Capital (ROIC) of 24.0%. Sector median 3.6%. Source: 10-Q filed 2025-10-22.

Q: What is Vertiv Holdings Co's Free Cash Flow Margin?

Vertiv Holdings Co (VRT) has a free cash flow margin of 25.5%, generating $2.9 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2025-10-22.

Q: What is Vertiv Holdings Co's P/E ratio and how does it compare to peers?

Vertiv Holdings Co (VRT) trades at a P/E ratio of 74.0x, which is above the sector median of N/A. EV/Sales 6.7x. FCF yield 2.3%. Source: 10-Q filed 2025-10-22.

Q: Does Vertiv Holdings Co pay a dividend?

Vertiv Holdings Co (VRT) currently pays a dividend yield of 0.1%. Total shareholder yield (dividend + buybacks) 0.1%. Source: 10-Q filed 2025-10-22.

Q: How much debt does Vertiv Holdings Co have?

Vertiv Holdings Co (VRT) has a debt-to-equity ratio of 0.6x with total debt of $2.9 billion. Net debt $129.2 million. Source: 10-Q filed 2025-10-22.

Q: What is Vertiv Holdings Co's revenue and earnings growth?

Vertiv Holdings Co (VRT) grew revenue by 26.2% year-over-year. EPS +111.0% YoY. Source: 10-Q filed 2025-10-22.

Q: How does Vertiv Holdings Co compare to competitors in Technology?

Compared to other companies in Technology, Vertiv Holdings Co (VRT) shows: ROIC 24.0%, sector median 3.6% (Top 10%). FCF margin 25.5%, sector median 8.5% (Top 25%). Gross margin 38.0%, 12.8pp below sector median. These rankings are based on MetricDuck's analysis of all Technology companies with available SEC filings.

Q: What warning signs should I watch for with Vertiv Holdings Co?

No quantitative warning flags fired for Vertiv Holdings Co (VRT) on margin trend, FCF trend, ROIC trend, or leverage thresholds. Source: 10-Q filed 2025-10-22.

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Data Source: Data sourced from 10-Q filed 2025-10-22. TTM metrics as of Q2 2026.

Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.

Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.

This analysis is for informational purposes only and does not constitute investment advice.