Vertiv (NYSE:VRT) Shares Down 4.7% - Time to Sell?

Key Points

• Vertiv Holdings Co. shares declined 4.7% to $121.59, with a trading volume significantly below average at around 3.17 million shares.
• Despite the drop, analysts remain optimistic, with a consensus rating of "Moderate Buy" and an average price target of $142.00, supported by recent positive earnings reports.
• Vertiv recently increased its dividend to $0.0375 per share, which represents a yield of 14.0%, indicating confidence in its financial performance moving forward.

Vertiv Holdings Co. (NYSE:VRT - Get Free Report) was down 4.7% during mid-day trading on Tuesday . The company traded as low as $119.67 and last traded at $121.59. Approximately 3,174,317 shares traded hands during trading, a decline of 65% from the average daily volume of 9,067,702 shares. The stock had previously closed at $127.55.

Wall Street Analysts Forecast Growth

VRT has been the topic of a number of research reports. Morgan Stanley restated an "overweight" rating on shares of Vertiv in a research report on Sunday, August 10th. Glj Research started coverage on Vertiv in a report on Tuesday, August 19th. They set a "sell" rating and a $112.00 price objective on the stock. Melius upgraded Vertiv from a "hold" rating to a "buy" rating and set a $165.00 target price for the company in a research report on Tuesday, July 8th. JPMorgan Chase & Co. increased their price target on shares of Vertiv from $127.00 to $150.00 and gave the company an "overweight" rating in a research report on Thursday, July 31st. Finally, Oppenheimer boosted their price objective on shares of Vertiv from $140.00 to $151.00 and gave the stock an "outperform" rating in a report on Thursday, July 31st. Two research analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, Vertiv has a consensus rating of "Moderate Buy" and an average price target of $142.00.

Vertiv Trading Down 3.9%

The firm's 50 day moving average is $131.19 and its 200 day moving average is $106.06. The company has a debt-to-equity ratio of 0.93, a current ratio of 1.74 and a quick ratio of 1.35. The company has a market capitalization of $46.83 billion, a PE ratio of 58.67, a P/E/G ratio of 1.13 and a beta of 1.78.

Vertiv (NYSE:VRT - Get Free Report) last announced its quarterly earnings results on Wednesday, July 30th. The company reported $0.95 earnings per share for the quarter, beating the consensus estimate of $0.83 by $0.12. Vertiv had a net margin of 8.93% and a return on equity of 51.64%. The business had revenue of $2.64 billion during the quarter, compared to analysts' expectations of $2.36 billion. During the same quarter in the prior year, the company posted $0.67 EPS. The firm's revenue for the quarter was up 35.1% compared to the same quarter last year. Vertiv has set its Q3 2025 guidance at 0.940-1.000 EPS. As a group, equities analysts predict that Vertiv Holdings Co. will post 3.59 EPS for the current year.

Vertiv Increases Dividend

The firm also recently declared a dividend, which was paid on Thursday, June 26th. Shareholders of record on Tuesday, June 17th were given a dividend of $0.0375 per share. This represents a yield of 14.0%. The ex-dividend date of this dividend was Monday, June 16th. This is a positive change from Vertiv's previous dividend of $0.01. Vertiv's dividend payout ratio is currently 7.18%.

Insiders Place Their Bets

In other Vertiv news, insider Paul Ryan sold 22,218 shares of the business's stock in a transaction on Tuesday, August 26th. The shares were sold at an average price of $127.34, for a total transaction of $2,829,240.12. Following the transaction, the insider directly owned 12,803 shares of the company's stock, valued at approximately $1,630,334.02. The trade was a 63.44% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Stephen Liang sold 43,683 shares of the company's stock in a transaction on Friday, June 6th. The stock was sold at an average price of $115.83, for a total transaction of $5,059,801.89. Following the completion of the transaction, the executive vice president owned 9,551 shares of the company's stock, valued at $1,106,292.33. This trade represents a 82.06% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 208,955 shares of company stock valued at $26,477,307 over the last three months. 5.01% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Vertiv

A number of institutional investors have recently bought and sold shares of the stock. Ibex Wealth Advisors grew its holdings in shares of Vertiv by 10.5% during the 1st quarter. Ibex Wealth Advisors now owns 73,739 shares of the company's stock worth $5,324,000 after acquiring an additional 6,989 shares during the period. FengHe Fund Management Pte. Ltd. bought a new stake in shares of Vertiv during the first quarter valued at approximately $33,389,000. Viking Fund Management LLC grew its stake in Vertiv by 123.5% in the first quarter. Viking Fund Management LLC now owns 38,000 shares of the company's stock worth $2,744,000 after purchasing an additional 21,000 shares during the period. Outlook Wealth Advisors LLC bought a new position in Vertiv in the first quarter worth $475,000. Finally, Fox Run Management L.L.C. raised its holdings in Vertiv by 449.9% in the first quarter. Fox Run Management L.L.C. now owns 21,545 shares of the company's stock worth $1,556,000 after purchasing an additional 17,627 shares in the last quarter. 89.92% of the stock is owned by institutional investors.

Vertiv Company Profile

Vertiv Holdings Co, together with its subsidiaries, designs, manufactures, and services critical digital infrastructure technologies and life cycle services for data centers, communication networks, and commercial and industrial environments in the Americas, the Asia Pacific, Europe, the Middle East, and Africa.

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