Jan van Dokkum, a director at Vertiv Holdings Co (NYSE:VRT), recently sold a significant portion of his holdings in the company. According to a recent filing, van Dokkum sold 38,647 shares of Vertiv's Class A common stock on November 25, 2024, at a weighted average price of $136.391 per share. This transaction amounted to approximately $5.27 million.
Prior to the sale, van Dokkum exercised stock options to acquire the same number of shares at a price of $12.05 per share, totaling $465,696. Following these transactions, van Dokkum now holds 25,000 shares directly. The shares sold were held jointly with his spouse, as tenants in common.
In other recent news, Vertiv Holdings Co. has been the focus of multiple financial firms adjusting their outlook for the company. Wolfe Research, Oppenheimer, and Mizuho (NYSE:MFG) Securities have all increased their price targets for Vertiv, with Wolfe Research projecting a target of $149.00, Oppenheimer at $131.00, and Mizuho at $145.00. These firms have also maintained their Outperform ratings on Vertiv's stock. Additionally, UBS initiated coverage on Vertiv, predicting a 20% compounded annual growth in earnings per share from 2024 to 2028, and set a price target of $155.00.
Vertiv has updated its five-year plan, expecting a 12-14% compound annual growth rate from 2024 to 2029, and aiming for a 25% margin by 2029. The company anticipates approximately $14.4 billion in sales by 2029 and plans to increase its annual investment forecast by $75 million, expecting to spend between $150-200 million on growth initiatives, technology, and capacity expansion.
The company also announced the promotion of Scott Armul to executive vice president, global portfolio and business units, effective January 1, 2025. Vertiv's recent developments also include a strategic partnership with NVIDIA (NASDAQ:NVDA) to co-develop power and cooling solutions and plans to expand its liquid cooling capacity by 45 times by the end of 2023. These updates are part of Vertiv's recent developments, which could influence the company's future performance.
InvestingPro Insights
Vertiv Holdings Co (NYSE:VRT) has been experiencing significant growth and investor interest, as evidenced by the recent insider transaction and the company's financial metrics. According to InvestingPro data, Vertiv's stock has shown remarkable performance, with a 209.8% total return over the past year and a 175.14% return year-to-date. This aligns with the InvestingPro Tip indicating a "high return over the last year."
The company's strong financial position is further underscored by its revenue growth of 13.2% in the last twelve months, with quarterly revenue growth reaching 18.99% in Q3 2024. Vertiv's EBITDA growth of 40.97% in the same period demonstrates its improving operational efficiency.
Despite the high returns, InvestingPro Tips suggest that Vertiv is "trading at a low P/E ratio relative to near-term earnings growth," with a PEG ratio of 0.7. This could indicate that the stock may still have room for growth, potentially explaining why analysts have been revising their earnings expectations upwards for the upcoming period.
For investors seeking more comprehensive analysis, InvestingPro offers 16 additional tips for Vertiv Holdings Co, providing a deeper understanding of the company's financial health and market position.
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