NEW YORK, Jan 4, 2026, 13:25 ET — Market closed
- Vertiv closed Friday up 8.4% after a Barclays upgrade lifted sentiment across data-center infrastructure names
- Barclays lifted its target to $200 and raised 2026 profit forecasts, pointing to Vertiv’s heavy data-center exposure
- Focus shifts to whether the rally holds into Monday’s open and to the next earnings date window in February
Vertiv Holdings (VRT.N), a supplier of power and cooling equipment used in data centers, closed Friday up 8.4% after Barclays upgraded the stock to overweight, meaning it expects the shares to outperform. “The recent volatility in the stock has created an attractive entry point,” Barclays analyst Julian Mitchell wrote. Barron’s
The call matters now because investors are re-pricing “picks-and-shovels” beneficiaries of data-center buildouts heading into 2026, after a choppy finish to the year for high-multiple industrial tech suppliers. A single upgrade can have an outsized impact when positioning is crowded and expectations for next year’s spending are still being debated.
It also underscores how closely these stocks trade with the AI data-center narrative: the companies sell the electrical and thermal gear that keeps high-density server halls running. When customers adjust capital expenditures — spending on new facilities and equipment — earnings forecasts tend to move quickly.
Barclays raised its price target to $200 from $181 and said the rating change reflects higher earnings expectations for 2026 and 2027, driven largely by revenue assumptions. The brokerage pegged 2026 adjusted earnings per share at $5.68 versus a Bloomberg consensus estimate of $5.24 and said its $200 target draws on several valuation approaches, including a 22x EV/EBITDA multiple — a ratio that compares a company’s total value to its operating cash profit — and a 29x price-to-earnings multiple.
The note also highlighted Vertiv’s exposure to the data-center cycle: Barclays said roughly 80% of sales come from that end market and flagged liquid cooling — systems that use fluid to pull heat away from chips — as a fast-growing niche. The stock has traded between $53.60 and $202.45 over the past 52 weeks, Barclays said, leaving $200 both a psychological level and a near-term test.
Vertiv’s move outpaced several adjacent infrastructure names on Friday. nVent Electric (NVT.N) rose 4.8%, GE Vernova (GEV.N) gained 3.8% and Eaton (ETN.N) added 2.8%, as traders leaned back into electrification and thermal-management plays tied to data-center demand.
The upgrade comes against a backdrop of strong recent operating momentum that has helped keep bulls engaged despite volatility. In the third quarter, Vertiv posted sharp growth in orders and profit, a snapshot that has fed the view that management’s initial outlook tends to be conservative.
But the trade is still vulnerable to a spending pause by the biggest cloud and AI customers, which can hit orders quickly and compress margins when factories are geared for rapid growth. At current valuation multiples, investors have less tolerance for a downside surprise in 2026 guidance.
With U.S. markets shut for the weekend, attention turns to whether Friday’s upgrade-fueled pop holds when trading resumes on Monday. The next hard catalyst is the company’s quarterly update and 2026 outlook; MarketBeat lists an estimated Feb. 11 report date, while noting Vertiv has not confirmed its schedule.
