Vertiv (VRT) Q4 Earnings: What To Expect

StockStory
02-11
Vertiv (VRT) Q4 Earnings: What To Expect

Data center products and services company Vertiv (NYSE:VRT) will be reporting earnings tomorrow before market open. Here’s what you need to know.

Vertiv beat analysts’ revenue expectations by 4.9% last quarter, reporting revenues of $2.07 billion, up 19% year on year. It was an exceptional quarter for the company, with an impressive beat of analysts’ organic revenue estimates and EPS guidance for next quarter exceeding analysts’ expectations.

Is Vertiv a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Vertiv’s revenue to grow 15.6% year on year to $2.16 billion, improving from the 12.7% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.82 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Vertiv has missed Wall Street’s revenue estimates three times over the last two years.

Looking at Vertiv’s peers in the electrical systems segment, some have already reported their Q4 results, giving us a hint as to what we can expect. LSI delivered year-on-year revenue growth of 35.5%, beating analysts’ expectations by 14.3%, and OSI Systems reported revenues up 12.5%, topping estimates by 3.3%. LSI traded up 11.7% following the results while OSI Systems was also up 18.4%.

Read our full analysis of LSI’s results here and OSI Systems’s results here.

There has been positive sentiment among investors in the electrical systems segment, with share prices up 2.4% on average over the last month. Vertiv’s stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $143.31 (compared to the current share price of $124.50).

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