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

研报英文原文证据摘录

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

Global Research

20 May 2026ab

US Electrical Equipment & Multi-Industry Equities

AmericasEE/MI Morning Note - BUY VRT ($26bn+ 2030E

revenue); MOD preview Industrial, Diversified

Amit Mehrotra

Analyst

amit.mehrotra@ubs.com

VRT shares underperformed yesterday (and the day before) despite the company +1-201-352 1410

disclosing very positive long term targets. Note, the company is usually conservative at

Neal Burk

these events, so actual numbers are likely well in excess of what was communicated

yesterday. neal.burk@ubs.com

+1-212-713 4066

The recent weakness is likely more reflective of how high multiple stocks trade in a rising Pratap Singh

rate/inflationary environment than any company-specific concern, in our view. This is a Analyst

risk we highlighted last week in a note (here). Shares are still up 100% year to date and pratap-za.singh@ubs.com

disclosures yesterday indicate $26.5 billion of revenue in 2030E (and over $14 in EPS +1-212-821 3112

excluding capital deployment), which is 90% and 120% above 2026 numbers. Even at Zachary Walljasper

face value, these are extremely strong numbers that should allow for meaningful further Associate Analyst

upside as we progress through the current capex upcycle. zachary.walljasper@ubs.com

+1-212-713 9829

By our math, the midpoint of the new outlook suggests operating profit of over $7

billion by 2030E, solidly ahead of consensus of $6.6 billion. And to be clear, we think the

outlook provided by management is just the starting point for VRT's growth opportunity

over the next several years. For example, the company sees 140 gigawatts of new power

capacity added over the next 5 years. This level of investment would create a nearly $500