Vertiv Holdings (VRT)

Their order book is full. They make the best air conditioners.

The theme today is connectivity in the data centres. Data centres have so many GPUs that they run really hot, so they need a lot of cooling. Leader in air and liquid cooling. Partnerships with all the big firms. It's all about the picks and shovels. 

12-month price target of $198. Buy in thirds here, more at ~$155, and then ~$145. Yield is 0.09%.

Buy, because of the data centre numbers just reported by Oracle. 

Reported a great quarter and has rallied 20%. The data centre crazy isn't dying anytime soon.

Liquid cooling systems. Capitalizing on data centre buildout. Sells the picks and shovels into the long-term secular trend (he's a huge fan of this type of strategy). Inning 4-5 of the infrastructure buildout, with capex numbers moving up. 

Massive opportunity. Trades at lower multiples because margins are a bit smaller and growth is less than NVDA's. Exposure to revenue from data centre systems is higher than peers. Best pure play in manufacturing components within the data centre space.

Geared specifically for data centres. Cooling for computers and for the rooms themselves. Already posted fantastic results.

They just delivered a top and bottom line beat and raised their full-year guidance.

Still likes it. It's tied to data centre buildout and AI. As the tech sector moves up, so will this. He sees upside.

Bounced off support level, so that's good news. He's looking at a near-term (1-year) chart, so take that into account. Consolidating around the neckline, and then broke out. Make sure that neckline is not broken. Might retrace, but generally looks OK. Next resistance ~$140. Decent-looking picture.

Today they reported a clean top and bottom line beat, and raised their full-year sales forecast. Shares soared 8.6% today

This will probably go down 10-15% after today's tariff news. Many feel it's a broken stock, though is doing well, but that doesn't matter now becayse the market is highly emotional.

We don't know how much they source from China, so we don't know the impact of tariffs. They can pass on prices to customers. Growth is above the market, but sustainable.

He bought it back today on a dip. The quarter was excellent, growing 13-15% in various metrics. Everything is in place for growth. Quarters and reactions to them are fickle.

EPS was 99c, ahead of estimates of 82c; revenue of $2.35B beat estimates of $2.16B. For 2025, forecast is for $9.13B in sales, vs estimates $9.12B. EPS $3.50 to $3.60, vs estimates $3.54. Q1 forecast was mostly in line with estimates. Results are generally good, and the company might be being conservative with its forecast. Investors were looking for more. But good growth is still very much expected, and we would be OK buying a bit into the dip, with the stock at 32X earnings now. 
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It sold nearly 30% today on the DeepSeek news. When a stock falls this sharply, it means the sellers aren't done, and will sell more tomorrow.