Vertiv Stock (VRT): Can the High-Flying Rally Still Deliver Gains in 2025?

Vertiv's stock (VRT) has been on a tear—but is there still fuel left in the tank?

The AI Infrastructure Play Heating Up

Data center demand keeps soaring, and Vertiv’s cooling solutions are cashing in. The stock’s rally isn’t just hype—it’s riding the AI boom’s coattails.

Valuation vs. Momentum: The Investor Tug-of-War

Sure, the P/E ratio’s stretched, but try telling that to the bulls. When growth’s this hot, traditional metrics often take a backseat—until they don’t.

The Bottom Line

Vertiv’s execution has been flawless… so far. But in a market where ‘this time is different’ crashes into reality as often as crypto bros miss margin calls—caution’s warranted.

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Favorable Demand Backdrop for AI Infrastructure Companies

Vertiv provides energy-efficient cooling and power solutions that are required to support AI workloads. Interestingly, on Friday, VRT stock rose by 2% after Reuters reported that the TRUMP administration is preparing a series of executive actions to increase energy supply for AI development in the U.S.

Spending on data centers is expected to increase in the coming years, benefiting AI infrastructure companies such as Vertiv Holdings. Bank of America estimates total data center spending to grow at a compound annual growth rate (CAGR) of 13% from 2024 to 2028, reaching $532 billion by 2028. In fact, infrastructure-related spending is expected to rise even faster, at a CAGR of 16%.

Here’s What Bulls and Bears Think About VRT Stock

According to TipRanks’ Bulls Say, Bears Say Tool, VRT Bulls are optimistic about the company due to robust demand and better visibility, which are driving higher estimates. Many analysts also believe in Vertiv’s ability to address customers’ requirements amid the growing complexity in AI deployments, with solid market shares in data center thermal and electrical equipment.

Meanwhile, Bears are concerned about a slowdown in capital spending by hyperscalers or cloud service providers, volatility in orders, and the impact of tariffs on costs.

Is VRT a Good Stock to Buy?

Overall, Wall Street has a Strong Buy consensus rating on Vertiv Holdings stock based on 12 Buys and two Hold recommendations. The average VRT stock price target of $116.93 indicates a 7.2% downside risk from current levels.