Vertiv (NYSE:VRT) Stock Price Down 3% – Here’s Why

Vertiv Holdings Co (NYSE:VRT)’s share price dropped 3% during trading on Wednesday . The stock traded as low as $134.41 and last traded at $136.78. Approximately 4,047,266 shares were traded during trading, a decline of 51% from the average daily volume of 8,181,185 shares. The stock had previously closed at $140.94.

Wall Street Analyst Weigh In

VRT has been the subject of several recent research reports. TD Cowen increased their price objective on Vertiv from $115.00 to $141.00 and gave the stock a “buy” rating in a report on Tuesday. Jefferies Financial Group initiated coverage on Vertiv in a report on Monday, October 7th. They set a “buy” rating and a $125.00 target price on the stock. Mizuho lifted their price objective on Vertiv from $125.00 to $145.00 and gave the stock an “outperform” rating in a research note on Tuesday. The Goldman Sachs Group increased their price target on shares of Vertiv from $126.00 to $140.00 and gave the company a “buy” rating in a report on Tuesday. Finally, JPMorgan Chase & Co. boosted their price objective on Vertiv from $124.00 to $132.00 and gave the company an “overweight” rating in a research report on Tuesday. Ten analysts have rated the stock with a buy rating, According to MarketBeat, the company has an average rating of “Buy” and a consensus target price of $138.50.

Vertiv Trading Down 3.4 %

The firm has a market cap of $51.11 billion, a P/E ratio of 91.19, a price-to-earnings-growth ratio of 1.31 and a beta of 1.58. The company’s fifty day moving average price is $107.65 and its two-hundred day moving average price is $94.27. The company has a current ratio of 1.38, a quick ratio of 1.02 and a debt-to-equity ratio of 1.60.

Vertiv (NYSE:VRT) last released its quarterly earnings results on Wednesday, October 23rd. The company reported $0.76 earnings per share for the quarter, beating analysts’ consensus estimates of $0.69 by $0.07. The firm had revenue of $2.07 billion during the quarter, compared to analysts’ expectations of $1.98 billion. Vertiv had a return on equity of 55.33% and a net margin of 7.72%. The business’s revenue was up 19.0% on a year-over-year basis. During the same period last year, the firm posted $0.52 EPS. As a group, sell-side analysts predict that Vertiv Holdings Co will post 2.69 EPS for the current fiscal year.

Vertiv Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, December 19th. Shareholders of record on Tuesday, December 3rd will be given a $0.0375 dividend. This represents a $0.15 annualized dividend and a yield of 0.11%. The ex-dividend date of this dividend is Tuesday, December 3rd. This is a boost from Vertiv’s previous quarterly dividend of $0.03. Vertiv’s dividend payout ratio (DPR) is presently 6.67%.

Insider Buying and Selling

In related news, insider Karsten Winther sold 44,924 shares of the firm’s stock in a transaction dated Tuesday, September 3rd. The stock was sold at an average price of $79.99, for a total value of $3,593,470.76. Following the transaction, the insider now owns 10,542 shares in the company, valued at $843,254.58. This trade represents a 80.99 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 5.01% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Vertiv

Hedge funds have recently added to or reduced their stakes in the company. Krane Funds Advisors LLC bought a new position in Vertiv in the third quarter valued at about $29,000. Anchor Investment Management LLC bought a new position in Vertiv in the second quarter valued at about $26,000. Global Trust Asset Management LLC bought a new position in Vertiv in the third quarter valued at about $30,000. Mark Sheptoff Financial Planning LLC boosted its holdings in Vertiv by 200.0% in the third quarter. Mark Sheptoff Financial Planning LLC now owns 300 shares of the company’s stock valued at $30,000 after acquiring an additional 200 shares during the last quarter. Finally, Brooklyn Investment Group bought a new position in Vertiv during the third quarter worth about $30,000. Institutional investors own 89.92% of the company’s stock.

About Vertiv

Vertiv Holdings Co, together with its subsidiaries, designs, manufactures, and services critical digital infrastructure technologies and life cycle services for data centers, communication networks, and commercial and industrial environments in the Americas, the Asia Pacific, Europe, the Middle East, and Africa.