Vertiv: Remains A Fantastic Pick-And-Shovel AI Play

Conviction Queue548 FollowersFollow5ShareSavePlay(16min)CommentsSummaryVertiv is a leading AI and data center infrastructure supplier, well-positioned to benefit from accelerating industry growth and robust demand.VRT boasts a $15B backlog, 30%+ 2026 sales growth guidance, and expanding margins, driven by AI, data center buildout, and strategic acquisitions.Despite a premium valuation, VRT's strong fundamentals, differentiated offerings, and high conversion of backlog to revenue support a bullish long-term thesis.I maintain a bullish stance, viewing VRT as an essential, high-quality pick-and-shovel play for investors seeking AI infrastructure exposure. Erik Isakson/DigitalVision via Getty Images It’s easy for investors to get caught up in the allure of the next big thing, be it the Metaverse, EVs, and, obviously, more recently, AI and the data center buildout. Unlike the bust that was the Metaverse, I don’t think AI will be a bust. Tech giants areThis article was written byConviction Queue548 FollowersFollowI am a CPA and financial consultant with over two decades of experience in financial reporting. This professional background informs my lifelong passion for investing, where I combine a natural appetite for curiosity with a disciplined, long-term approach. Through the Conviction Queue, I focus on identifying quality, founder-led businesses at attractive valuations. My primary goal is to provide deep analysis on companies with sustainable growth potential that are built to be held for years.Analyst’s Disclosure: I/we have a beneficial long position in the shares of VRT, NVDA either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.