Here's Why Vertiv Stock Soared This Week
Another week, another round of deals done to support investment in data centers. That's good news for data center infrastructure company Vertiv Holdings (NYSE: VRT), and the stock continued its strong run with a 16.6% increase in the week through Friday morning.
The big news this week came from the announcement of a strategic partnership with and OpenAI. As investors might already know, Vertiv shares soared in September as hyperscalers continued to make hundreds of billions of dollars worth of spending commitments. Those commitments encouraged investors to pencil in optimistic assumptions over order growth for Vertiv's power, thermal management, and data center infrastructure solutions.
While Hitachi both competes with and offers complementary solutions to Vertiv, the OpenAI partnership with Hitachi strengthens the investment case for AI-led data center spending to be in the early stages of a multiyear expansion, which will show up as revenue for infrastructure solution providers like Vertiv.
Source Fool.com
