In the latest trading session, Vertiv Holdings Co. (VRT) closed at $118.88, marking a +0.12% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.04%. At the same time, the Dow added 0.07%, and the tech-heavy Nasdaq lost 0.05%.
Shares of the company have depreciated by 6.46% over the course of the past month, underperforming the Computer and Technology sector's gain of 5.93% and the S&P 500's gain of 1.05%.
Investors will be eagerly watching for the performance of Vertiv Holdings Co. in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.83, showcasing a 48.21% upward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $2.15 billion, up 15.11% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.69 per share and a revenue of $7.82 billion, indicating changes of +51.98% and +13.95%, respectively, from the former year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Vertiv Holdings Co. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. As of now, Vertiv Holdings Co. holds a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Vertiv Holdings Co. has a Forward P/E ratio of 44.18 right now. This indicates a premium in contrast to its industry's Forward P/E of 28.68.
Also, we should mention that VRT has a PEG ratio of 1.22. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Computers - IT Services was holding an average PEG ratio of 2.83 at yesterday's closing price.
The Computers - IT Services industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 64, finds itself in the top 26% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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