Vertiv Surges on Q1 Momentum and AI Tailwinds as Wall Street Bets Big on Data Center Demand

Key Highlights:

• Vertiv shares jump 8.6% to $92.73 after strong Q1 and raised full-year guidance
• Backlog hits $7.9B, boosted by 20% organic order growth and 1.4x book-to-bill
• Strategic partnerships with NVIDIA and iGenius position VRT at AI infrastructure forefront

Vertiv Holdings Co (NYSE: VRT) surged 8.61% to $92.73 in intraday trading Thursday after the data center infrastructure firm posted robust Q1 performance, raised its 2025 guidance, and announced a series of AI-aligned initiatives that are drawing investor attention across Wall Street.

The stock’s rally—its strongest single-day performance in recent months—was fueled by upbeat sentiment following the company’s upgraded 2025 revenue outlook, now projected between $9.325 billion and $9.575 billion, up from the prior range of $9.13–$9.28 billion. Analyst Consensus Estimate currently pegs Vertiv’s annual revenue at $9.23 billion, indicating a 15.14% year-over-year growth trajectory.

Vertiv’s recent performance is being powered by robust demand from hyperscalers expanding global data center capacity. In Q1, organic orders rose by 20%, while the company reported a book-to-bill ratio of 1.4x, reflecting accelerating demand across its product portfolio. The backlog climbed to $7.9 billion, up 10% sequentially and 25% year over year.

Product innovation is playing a pivotal role in Vertiv’s ascent. In March, the company introduced four new offerings—Vertiv Unify software, SmartRun, CoolLoop RDHx, and PowerDirect Rack, enhancing its capabilities in modular deployments, thermal management, and DC power distribution. These tools address growing enterprise and hyperscale needs for energy efficiency and intelligent infrastructure control.

Industry buzz intensified after Jim Cramer called Vertiv a “play to watch” on CNBC’s Squawk on the Street, praising the firm’s operational acceleration and strategic partnerships. "They have huge acceleration from Q4 to Q1," Cramer said. "And I can’t believe the amount of business they have… Vertiv is about to explode."

Notably, Vertiv is collaborating with NVIDIA and iGenius to build a sovereign AI data center in Italy—an initiative seen as a strategic foothold in Europe’s growing AI infrastructure market. The move complements Vertiv’s broader strategy of aligning with high-performance computing trends and expanding its global presence.

Despite being down 27% year-to-date, VRT's year-long fundamentals remain compelling. As of April 30, 2025, its share price sits well below the analyst consensus target of $108.14, implying a potential upside of 16.5% from current levels. The firm’s PE ratio of 53.84, paired with a return on equity of 24.99%, suggests ongoing investor confidence in its capital efficiency.

Vertiv one month price chart - Source: TradingView

Vertiv's 5-year total return, including dividends, has far outpaced the broader electrical equipment sector. Although recent stock performance lagged the S&P 500's 9.9% one-year return, Vertiv still outperformed its industry peers amid broader volatility.

Looking ahead, the market is pricing in optimism not just around earnings momentum, but around Vertiv’s role as an AI infrastructure enabler. With a rich partner ecosystem including Compass Datacenters, Ballard Power, Intel, and ZincFive, and with data center demand expected to soar through 2026, analysts see Vertiv as a structural beneficiary of the next digital supercycle.