Vertiv (NYSE:VRT) Stock Price Down 4.6% - Here's What Happened

Key Points

• Vertiv Holdings Co. (NYSE:VRT) shares fell 4.6% on Wednesday, trading as low as $121.41, with a significant decrease in trading volume of 60% from the average session.
• Analysts generally maintain a positive outlook on Vertiv, with a consensus rating of Moderate Buy and a target price of $142.00, while notable firms like Oppenheimer raised their price target to $151.00.
• Vertiv recently announced a dividend increase to $0.0375 per share, marking a significant boost from its previous $0.01, reflecting a strong dividend yield of 14.0%.

Vertiv Holdings Co. (NYSE:VRT - Get Free Report) shares traded down 4.6% on Wednesday . The stock traded as low as $121.41 and last traded at $123.14. 3,699,964 shares changed hands during mid-day trading, a decline of 60% from the average session volume of 9,227,995 shares. The stock had previously closed at $129.05.

Analysts Set New Price Targets

Several equities research analysts have weighed in on the stock. Morgan Stanley restated an "overweight" rating on shares of Vertiv in a research note on Sunday, August 10th. Cowen reiterated a "buy" rating on shares of Vertiv in a research note on Thursday, April 24th. Oppenheimer lifted their price objective on shares of Vertiv from $140.00 to $151.00 and gave the stock an "outperform" rating in a research note on Thursday, July 31st. William Blair started coverage on shares of Vertiv in a research note on Monday, July 28th. They set an "outperform" rating for the company. Finally, Wolfe Research reiterated an "outperform" rating and set a $155.00 price objective on shares of Vertiv in a research note on Thursday, July 10th. Two equities research analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $142.00.

Vertiv Stock Down 1.4%

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 business's fifty day simple moving average is $129.00 and its two-hundred day simple moving average is $105.39. The company has a market cap of $48.61 billion, a PE ratio of 60.92, a PEG ratio of 1.20 and a beta of 1.77.

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

Vertiv Increases Dividend

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

Insiders Place Their Bets

In other Vertiv news, EVP Stephen Liang sold 43,683 shares of Vertiv stock in a transaction on Friday, June 6th. The shares were sold at an average price of $115.83, for a total value 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 approximately $1,106,292.33. The trade was a 82.06% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, insider Karsten Winther sold 41,654 shares of Vertiv stock in a transaction on Thursday, August 14th. The shares were sold at an average price of $134.21, for a total transaction of $5,590,383.34. Following the completion of the transaction, the insider directly owned 18,848 shares of the company's stock, valued at $2,529,590.08. The trade was a 68.85% decrease in their position. The disclosure for this sale can be found here. 5.01% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Vertiv

Several institutional investors and hedge funds have recently bought and sold shares of VRT. Norges Bank acquired a new position in Vertiv in the 2nd quarter valued at about $538,132,000. Winslow Capital Management LLC acquired a new position in Vertiv in the 2nd quarter valued at about $459,284,000. Amundi boosted its holdings in Vertiv by 96.8% in the 1st quarter. Amundi now owns 6,951,773 shares of the company's stock valued at $469,490,000 after purchasing an additional 3,420,144 shares during the last quarter. 1832 Asset Management L.P. boosted its holdings in Vertiv by 985.3% in the 1st quarter. 1832 Asset Management L.P. now owns 2,301,700 shares of the company's stock valued at $166,183,000 after purchasing an additional 2,089,612 shares during the last quarter. Finally, Nordea Investment Management AB boosted its holdings in Vertiv by 100.1% in the 2nd quarter. Nordea Investment Management AB now owns 3,246,769 shares of the company's stock valued at $415,132,000 after purchasing an additional 1,624,456 shares during the last quarter. 89.92% of the stock is currently owned by institutional investors and hedge funds.

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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