VRT

Vertiv Holdings LLC

Industrial/Transportation, TMT, SPAC


Presented:03/23/2020
Price:$6.76
Cap:$2.22B
Current Price:$107.47
Cap:$40.32B

Presented

Date03/23/2020
Price$6.76
Market Cap$2.22B
Ent Value$0.24B
P/E Ratio132.81x
Book Value$7.86
Div Yield0%
Shares O/S328.41M
Ave Daily Vol2,335,825
Short Int6.92%

Current

Price$107.47
Market Cap$40.32B
Vertiv Holdings Co. engages in the design, manufacturing, and servicing of critical digital infrastructure technology that powers, cools, deploys, secures and maintains electronics that process, store and transmit data. It also offers power management products, thermal management products, integrated rack systems, modular solutions, and management systems for monitoring and controlling digital infrastructure. It carries out its operations in the following geographical segments: Americas, Asia Pacific, and EMEA. The company was founded on February 7, 2020 and is headquartered in Columbus, OH.

Publicly traded companies mentioned herein: Eaton Corp (ETN), Goldman Sachs Group Inc (GS), Honeywell International Inc (HON), Mitsubishi Corp (8058 JP), Schneider Electric SE (SU FP), Vertiv Holdings Co (VRT)

Highlights 

The presenter is long shares of Vertiv Holdings Co (VRT) and likes the high quality nature of their uninterruptible power source business. VRT was a SPAC that transitioned to a public company in early February. He thinks the relatively unknown nature of the company, in part due to the recent IPO, and the wrong debt stack appearing on Bloomberg has contributed to the decline in price. Prior to COVID-19 the stock was trading at ~$13/share and now sits at about half of that. He values the stock on slashed 2020 estimates at 8x EBITDA and 9x EBIT. On 2021 estimates he values it at 6x EBITDA and 6.8x EBIT. 

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