Vertiv (NYSE:VRT) Stock Price Down 1.5% - Here's Why

Key Points

• Vertiv Holdings Co. (NYSE:VRT) shares dropped by 1.5% on Thursday, trading at $177.75 after hitting a low of $175.21, with a significant decline in trading volume.
• Analysts have varied perspectives on the stock; UBS raised its price target to $173.00 with a "buy" rating, while Weiss Ratings downgraded it to "hold" with a $157.90 consensus target price.
• Vertiv also announced a quarterly dividend of $0.0375 per share, reflecting a low yield of 0.1% and a payout ratio of 7.18%.

Vertiv Holdings Co. (NYSE:VRT - Get Free Report) shares fell 1.5% on Thursday . The stock traded as low as $175.21 and last traded at $177.75. 4,974,713 shares traded hands during trading, a decline of 44% from the average session volume of 8,834,780 shares. The stock had previously closed at $180.51.

Analysts Set New Price Targets

Several brokerages have recently weighed in on VRT. UBS Group raised their price target on shares of Vertiv from $135.00 to $173.00 and gave the stock a "buy" rating in a research note on Thursday, July 31st. Melius raised shares of Vertiv from a "hold" rating to a "buy" rating and set a $165.00 price target for the company in a research note on Tuesday, July 8th. Glj Research began coverage on shares of Vertiv in a research note on Tuesday, August 19th. They set a "sell" rating and a $112.00 price target for the company. Evercore ISI raised their price target on shares of Vertiv from $165.00 to $180.00 and gave the stock an "outperform" rating in a research note on Monday, October 6th. Finally, Weiss Ratings cut shares of Vertiv from a "buy (b)" rating to a "hold (c+)" rating in a research note on Wednesday, October 8th. One equities research analyst has rated the stock with a Strong Buy rating, nineteen have given a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, Vertiv has an average rating of "Moderate Buy" and a consensus target price of $157.90.

Vertiv Stock Down 1.5%

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 firm's 50 day moving average is $141.77 and its two-hundred day moving average is $118.45. The firm has a market capitalization of $67.88 billion, a P/E ratio of 85.05, a PEG ratio of 1.51 and a beta of 1.84.

Vertiv (NYSE:VRT - Get Free Report) last released its 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 period last year, the business earned $0.67 earnings per share. The firm's revenue was up 35.1% on a year-over-year basis. Vertiv has set its Q3 2025 guidance at 0.940-1.000 EPS. Research analysts predict that Vertiv Holdings Co. will post 3.59 EPS for the current year.

Vertiv Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, September 25th. Shareholders of record on Monday, September 15th were issued a dividend of $0.0375 per share. The ex-dividend date of this dividend was Monday, September 15th. This represents a $0.15 annualized dividend and a yield of 0.1%. Vertiv's dividend payout ratio (DPR) is currently 7.18%.

Insiders Place Their Bets

In other Vertiv news, Director Steven Reinemund sold 100,000 shares of the firm's stock in a transaction on Tuesday, August 26th. The stock was sold at an average price of $128.22, for a total transaction of $12,822,000.00. Following the completion of the sale, the director owned 133,333 shares of the company's stock, valued at $17,095,957.26. This trade represents a 42.86% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Karsten Winther sold 41,654 shares of the firm's stock in a transaction on Thursday, August 14th. The shares were sold at an average price of $134.21, for a total value of $5,590,383.34. Following the sale, the insider directly owned 18,848 shares of the company's stock, valued at $2,529,590.08. This represents a 68.85% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 180,952 shares of company stock worth $23,360,571. Company insiders own 2.63% of the company's stock.

Institutional Investors Weigh In On Vertiv

Several hedge funds have recently added to or reduced their stakes in the business. Vanguard Group Inc. lifted its holdings in shares of Vertiv by 0.8% during the second quarter. Vanguard Group Inc. now owns 38,006,755 shares of the company's stock worth $4,880,447,000 after buying an additional 291,596 shares in the last quarter. State Street Corp lifted its holdings in shares of Vertiv by 5.7% during the second quarter. State Street Corp now owns 8,269,839 shares of the company's stock worth $1,061,930,000 after buying an additional 442,937 shares in the last quarter. Amundi lifted its holdings in shares of Vertiv by 96.8% during the first quarter. Amundi now owns 6,951,773 shares of the company's stock worth $469,490,000 after buying an additional 3,420,144 shares in the last quarter. Geode Capital Management LLC lifted its holdings in shares of Vertiv by 3.4% during the second quarter. Geode Capital Management LLC now owns 6,686,778 shares of the company's stock worth $856,082,000 after buying an additional 219,970 shares in the last quarter. Finally, Invesco Ltd. lifted its holdings in shares of Vertiv by 20.9% during the second quarter. Invesco Ltd. now owns 5,931,488 shares of the company's stock worth $761,662,000 after buying an additional 1,024,634 shares in the last quarter. Institutional investors and hedge funds own 89.92% of the company's stock.

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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