Vertiv Holdings (VRT) stock pushed higher on Monday after receiving confirmation that it will join the S&P 500 Index ($SPX) before market open on March 23, as part of the benchmark’s quarterly rebalancing. The inclusion represents a notable milestone for the infrastructure firm that has emerged as a critical beneficiary of accelerated artificial intelligence (AI) data center buildout in 2026.
Following today’s rally, Vertiv stock is up more than 65% versus its year-to-date low in early January.
Index inclusion is majorly positive for Vertiv Holdings, as it often triggers forced buying from institutional investors. Exchange-traded funds (ETFs) and mutual funds that track the index must now purchase millions of VRT shares to mirror the benchmark, creating massive inorganic demand.
Moreover, joining the S&P 500 index serves as a sort of seal of approval, increasing the company’s visibility and liquidity.
For VRT, which is already rising on the artificial intelligence boom, it validates its financial maturity and may attract a new class of long-term institutional shareholders, providing a more stable floor for its stock price.
Despite the recent surge, Vertiv’s relative strength index (14-day) sits at about 67 currently, indicating further room for upside.
At about 41x forward earnings, Vertiv shares aren’t particularly inexpensive to own in 2026. Still, Oppenheimer recommends buying given the company seems to be converting its record order book into revenue faster than peers. At the end of Q4, its backlog stood at an exciting $15 billion.
Plus, VRT’s recent $2.1 billion bond offering and $2.5 billion credit facility was a “masterstroke” that provided much-needed liquidity to grow production capacity without straining the balance sheet, Oppenheimer analysts noted.
A shift from AI training to AI inference is a secular tailwind for Vertiv Holdings, according to the analysts, as inference requires more distributed and persistent thermal management solutions, a key strength of the NYSE-listed firm.
Other Wall Street analysts also agree with Oppenheimer’s bullish view on Vertiv Holdings.
