Morgan Stanley analyst Christopher Snyder maintained a Buy rating on Vertiv Holdings (VRT – Research Report) today and set a price target of $125.00.
Christopher Snyder has given his Buy rating due to a combination of factors that suggest Vertiv Holdings is undervalued and poised for growth. Despite recent concerns about the slowing capital expenditure in the hyperscaler sector, Snyder believes these worries are already priced into Vertiv’s stock. The company has demonstrated robust order growth, generating $2.6 billion in quarterly orders, which aligns with the 2026 revenue forecasts, indicating that Vertiv can meet these expectations without needing to increase orders or deplete its backlog.
Additionally, Snyder highlights the potential for a strong margin recovery in the latter half of the year, which could significantly impact the 2026 estimates. Although there are anticipated price and cost challenges in the short term, the guidance for the fourth quarter suggests a healthy recovery with incremental margins exceeding 30%, despite concerns over tariff costs. These factors collectively support the Buy rating, as they indicate a strong re-rating opportunity for Vertiv’s stock.
According to TipRanks, Snyder is a 3-star analyst with an average return of 2.3% and a 42.31% success rate. Snyder covers the Industrials sector, focusing on stocks such as Acuity Brands, Lennox International, and Vertiv Holdings.
In another report released yesterday, TD Cowen also maintained a Buy rating on the stock with a $133.00 price target.