Vertiv: Initiating Coverage on This Data Center Forerunner

We assign Vertiv a fair value estimate of $103 per share upon initiating coverage. Vertiv’s value is underpinned by a narrow economic moat through which we believe it can produce returns above its cost of capital over the next decade. We also assign Vertiv a Standard Capital Allocation Rating, reflecting its satisfactory balance sheet, sound investment decisions, and mixed shareholder distributions.