Vertiv Holdings (VRT-N)

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.

A name you could look at, with the upcoming secondary and tertiary impact of explosive AI buildout of data centres.

Excellent company, however other options like NVIDIA. 5 year business case is very strong. If company is able to hold on to unique position in the market - could be a good buy. Would recommend selling on strength. Outlook for viability of technology is difficult to determine. 

Is up 137% this year. Current shareholders will sell on today's sell-off to lock in profits, so don't sell after today's sell-off.

Hasn't been around that long, track record not as extensive as others in the AI infrastructure space.

He'd lean toward ARM. Likes the company, following it. Well positioned to extract value out of the AI wave. Now looking for value within the AI space for companies not as expensive as NVDA.

Is number 1 in data centres. Shares are up 151% this year.

The quarter was solid, and ahead of estimates. Guidance was also raised, though not by a huge amount. After some 'selling on news' and profit taking, shares reversed up and hit another new high before the weak Nasdaq market brought them down again. But the performance and outlook remain solid and we would be fine buying some today or in any further decline.
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He added to this recently and a few times. Are expanding North American facilities. They make cooling racks for data centres are expanding to meet insatiable demand. 

He added more shares. There's a huge appetite for data centres and VRT is the top company making the cooling racks for those servers. Shares got cheaper on the recent decline.

They make coolants needed for GPUs, used in data centres and associated with AI. They are caught in this AI downturn, but there will be more demand and centres. He recently bought this and would certainly add on pullbacks. Likes their fundamentals.

VRT reported Q2 EPS of 67c beating expectations of 57c. Net sales came in at $1.95B increasing 12.7% from the prior year and just beat estimates of $1.94B. Guidance was also upped and within range of analyst estimates. Tough comparables from a strong prior year play a factor into the stock's decline, but these look like good results to us and the drop in price may be driven by broader weakness in tech today. The stock is still expensive at 34x forward earnings but we think adding some here is OK as the earnings look solid, while acknowledging that a rotation out of AI names could continue in the short to intermediate-term, but we do not think the long-term demand side of spend for AI is over.
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Everyone has turned on the data centre trade, but he would hold on. It will enjoy the halo effect from Nvidia which rallied today.