Here's Why Vertiv Shares Popped Higher in April

Vertiv (NYSE: VRT) stock is up an incredible 121.5% in 2026 as I write, and it rose by 31.1% in April alone, according to data from S&P Global Market Intelligence. The move in April came in a month when Vertiv and a slew of other AI data center infrastructure companies reported strengthening conditions, rather than signs of a slowdown that many bears were looking for. In addition, it builds on the announcement of "its role in advancing converged physical infrastructure designs" for Nvidia's AI architecture.

Vertiv's accelerating growth

The company released its first-quarter earnings on April 22, easily beating its own guidance and raising its full-year guidance. The increase in full-year guidance is significant:

• Full-year net sales are now expected to be $13.5 billion to $14 billion, compared to the previous guidance of $13.25 billion to $13.75 billion.
• Full-year adjusted operating profit is now expected to be $3.14 billion to $3.26 billion, compared to the previous guidance of $2.98 billion to $3.1 billion.
• The end result is that the midpoint of full-year adjusted earnings per share (EPS) is now expected to be $6.35, up from previous guidance of $6.02.

The guidance hike implies a stronger second half, and CEO Giordano Albertazzi noted on the earnings call, "We continue to see very robust growth in demand for data centers. And as a result, we are focusing investments on capacity expansion, supply chain, and engineering capabilities."

Vertiv and Nvidia

Those investments include developing power and cooling solutions to work with Nvidia's AI architecture. The company is an Nvidia partner in the next generation of 800 VDC data center power infrastructure ,and it also recently announced it had contributed power and cooling technology, which could be used as part of the models built by Nvidia customers as they simulate building out AI infrastructure.

These kinds of announcements led investors to pencil in increased long-term growth rates for Vertiv, and Chairman Dave Cote believes, "We're still in the early stage of the infrastructure build out for AI."

Image source: Getty Images.

Where next for Vertiv

Trading on 56 times estimated full-year earnings, Vertiv stock isn't cheap. However, from companies like GE Vernova, which is talking about strengthening demand for gas turbines to power AI data centers, to the electrical connection and protection equipment company nVent Electric, which significantly upgraded guidance, it's clear that the AI data center spending environment is improving.

And that improving momentum is taking stocks like Vertiv higher.

Lee Samaha has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia and Vertiv. The Motley Fool has a disclosure policy.