BMO Capital Markets analyst Daniel DiCicco highlighted that Vertiv, which derives about 85% of its revenue from data centers, is well-positioned to benefit from the increasing scale and demand for resilience in data center operations.
The firm noted that the number of data centers in the U.S. is on the rise, with significant investments in land for future facilities, totaling $6 billion in the first half of 2026—a 79% increase from the previous year. Vertiv's total addressable market is estimated at $75 billion, growing at 16% to 18% annually, with data centers specifically expanding at 18% to 20%.
DiCicco emphasized that Vertiv's comprehensive offerings in power and thermal management solutions set it apart as a leading provider in the sector. After a significant run-up of over 900% in the last five years, shares have recently pulled back, presenting an attractive entry point for investors, especially as the company continues to innovate and expand its services