The best-performing stocks typically have robust sales growth, increasing margins, and rising returns on capital,
and those that can maintain this trifecta year in and year out often become the legends of the investing world.
NEW YORK – The financial markets are buzzing with optimistic forecasts as S&P 500 companies are projected to achieve a robust 15% increase in corporate earnings for Calendar Year (CY) 2025. This significant anticipated growth is serving as a powerful fundamental underpinning for current market performance, promising to extend a
The stock market is currently grappling with an escalating debate: are we in the midst of an "AI bubble" mirroring the speculative frenzy of the dot-com era? Investor concerns are intensifying over the soaring valuations of AI-related stocks, the outsized influence of mega-cap tech, and a critical question mark hanging
Shares of data center products and services company Vertiv (NYSE:VRT)
jumped 11.1% in the morning session after the company presented a positive outlook at the Goldman Sachs Communicopia + Technology Conference. During the event on September 9, executives highlighted robust order growth driven by demand from hyperscalers, colocation data centers, and NeoCloud clients. The company reported a 15% increase in second-quarter orders and is targeting a 25% EBIT (Earnings Before Interest and Taxes) margin by 2029. To meet growing demand, particularly for high-density computing like AI, Vertiv is expanding its liquid cooling capacity and service organization. This strategy appears to be paying off, as the company noted it is gaining market share in the key colocation and hyperscale segments, signaling strong business momentum.
Discover how combining technical and fundamental analysis identifies strong growth stocks like VRT, positioned for upward momentum with solid financials.
Vertiv (VRT) offers strong growth at a reasonable price. With robust EPS & revenue growth, solid profitability, and a healthy financial position, it's a top affordable growth stock.
Shares of data center products and services company Vertiv (NYSE:VRT)
fell 5.2% in the afternoon session after a broader market pullback that particularly impacted the technology and semiconductor sectors. The decline was not isolated to Vertiv, as major indices retreated from recent all-time highs. The S&P 500 dropped by 0.7%, while the tech-heavy Nasdaq Composite fell 1.2%. The semiconductor industry faced significant pressure, with the PHLX Semiconductor Index declining by over 3%. This sector-wide downturn also affected major technology companies, including Nvidia and Broadcom, which experienced notable drops. The broad-based selling in the tech space appears to be the primary driver behind the pressure on Vertiv's shares.
Shares of data center products and services company Vertiv (NYSE:VRT)
jumped 4.1% in the afternoon session after the company announced its acquisition of Waylay NV, a Belgium-based specialist in automation and generative AI software.
The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how Vertiv (NYSE:VRT) and the rest of the electrical systems stocks fared in Q2.
Expensive stocks typically earn their valuations through superior growth rates that other companies simply can’t match.
The flip side though is that these lofty expectations make them particularly susceptible to drawdowns when market sentiment shifts.
