US Electrical Equipment & Multi-Industry "EE/MI Morning Note - Opportunities..."

研报英文原文证据摘录

US Electrical Equipment & Multi-Industry "EE/MI Morning Note - Opportunities..."

Global Research

13 May 2026ab

US Electrical Equipment & Multi-Industry Equities

AmericasEE/MI Morning Note - Opportunities & risks after

the surge higher; ALH/ZBRA earnings wraps Industrial, Diversified

Amit Mehrotra

Analyst

amit.mehrotra@ubs.com

We remain positive on industrial equities, but the recent surge warrants a closer look at +1-201-352 1410

both opportunities for further outperformance as well as risks for correction. This note

Neal Burk

offers our thoughts on both.

neal.burk@ubs.com

Multi-Industry stocks are up 16% this year vs. +11% for the XLI and +9% for the S&P +1-212-713 4066

500. But the performance is dominated by industrial AI companies like VRT (+120%), Pratap Singh

MOD (+100%), NVT (+65%) and GEV (+60%). When adjusting for outliers, the Analyst

median performance has been +9%, which is still good but more in-line with the pratap-za.singh@ubs.com

broader market. +1-212-821 3112

Zachary Walljasper

We think the move higher in Industrial AI companies is sustainable and we Associate Analyst

expect further gains in the coming quarters. zachary.walljasper@ubs.com

We believe earnings power for these companies can surprise meaningfully to the upside. +1-212-713 9829

For example, recent disclosures from GEV point to gas turbine equipment margins of

about 35%, which should allow earnings power to eclipse $50 per share by the end of

this decade. We also see potential for a quintupling in earnings power at VRT over the

same time period.

Order activity should support increased confidence in this outlook.

Vertiv is aggressively increasing capacity, including a significant increase in Mexico. We

think this new capacity positions the company well in capturing meaningful new orders