Apr. 4 at 9:21 AM
AI data centers are turning into the power war ā and
$VRT +
$ETN are right at the center.
HSBC just came out with a Buy on
$VRT and a
$325 price target, calling it a pure play on data center power + cooling ā one of the fastest-growing bottlenecks in the entire AI supply chain.
Hereās why the setup is getting attention:
Cloud capex expected to surge ~91% by 2026
$VRT Q4 orders up ~252% YoY
Backlog +50%+ sequential growth
~80% of revenue tied directly to data centers
This isnāt broad industrial exposure ā this is concentrated, high-growth AI infrastructure demand.
Meanwhile, power density is exploding:
From ~10kW per rack ā heading toward ~1MW
Liquid cooling is becoming mission critical, not optional
$VRT already moved early with liquid cooling via CoolTera, positioning ahead of the curve.
HSBC also flags
$ETN and Schneider as top-tier competitors, but the message is clear:
Whoever wins power + cooling wins the AI infrastructure race.
