Forgent Power Solutions: Capacity Expansion, Data Center Demand, and Backlog Support Buy Rating and Growth-Adjusted Upside

Analyst Michael Elias from TD Cowen maintained a Buy rating on Forgent Power Solutions, Inc. Class A and keeping the price target at $45.00.

Michael Elias has given his Buy rating due to a combination of factors, including Forgent Power Solutions’ significant upside in 2Q26 orders and revenue alongside guidance that remains in line with full‑year expectations. He views the company as well positioned to benefit from robust data center demand, underpinned by multi‑gigawatt roadmaps and record leasing activity that should sustain elevated equipment orders.

Elias also highlights the company’s expanding manufacturing capacity, which supports faster lead times, market share gains, and the ramp of production into currently underutilized facilities, driving anticipated margin improvement through FY26. In his view, the sizeable backlog, strong book‑to‑bill ratio, and growth profile relative to valuation together make the stock attractively priced on a growth‑adjusted basis, justifying his Buy recommendation.

According to TipRanks, Elias is a 5-star analyst with an average return of 19.4% and a 57.43% success rate. Elias covers the Real Estate sector, focusing on stocks such as Equinix, American Tower, and Digital Realty.

In another report released today, Barclays also maintained a Buy rating on the stock with a $44.00 price target.