Link: Vertiv is a data center buildout play with 50% CapEx growth ahead

Growth & Financial Performance - Verdive's capital expenditure is expected to grow approximately 50% between 2025 and 2029 [1] - The company is likely to achieve 15% to 20% organic growth [1][5] - Verdive has a backlog of $85 billion and a book-to-bill ratio of 12 times [1] - Record orders of $32 billion, a 25% year-over-year increase, were recorded last quarter [2] - The company targets a 25% operating margin by 2028 [2] - Earnings power could reach $7 to $10 [3] Valuation & Competitive Landscape - Verdive's valuation is higher compared to peers like Johnson Controls and Eaton [4] - Verdive has faster growth and greater margin expansion potential compared to competitors [5][6] Management & Risks - The company has best-in-class management, including Executive Chairman David Cody (former Honeywell CEO) [6][7] - David Cody's involvement in other ventures and potential executive poaching are concerns [8][9] - The company has a new CFO focused on margins and productivity [10] - The stock's performance is heavily linked to the AI data center trend, posing a risk if the AI trade cools down [10][11] Market Dynamics - The AI data center story will directly impact the stock's trading [10] - There are 11400 data centers worldwide, with the US accounting for 5400 (45%) [11] - The industry needs to reach 30000 data centers to meet demand [11]