Vertiv shares drop on acquisition skepticism, AI pullback

Vertiv Holdings Co. shares fell 6.7% in morning trading on Thursday to, as investors continued to question the company's recent acquisition announcement.

The stock decline followed growing concerns about Vertiv's purchase of UtilityInnovation Group, which was announced on September 2. The deal includes an upfront payment of approximately $1.45 billion, with potential earnout payments that could increase the total cost to roughly $2.6 billion.

Investors have raised concerns about the lack of financial disclosure surrounding the acquisition. Vertiv has not released UtilityInnovation Group's revenue, backlog, or cash flow figures, making independent valuation of the deal difficult for market participants.

The acquisition is valued at 13 times projected 2027 EBITDA, based on expected rather than reported results.

The stock has been under pressure since late July, when Vertiv reported second quarter 2026 earnings. The company missed revenue estimates by roughly $110 million, though it exceeded adjusted earnings per share expectations and raised its full-year guidance. Multiple analysts reduced their price targets following that report.

The morning selloff also occurred alongside a broader decline in AI infrastructure stocks.

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