nVent Q2 sales beat estimates on data center demand; raises outlook
nVent Q2 sales beat estimates on data center demand; raises outlook
Overview
UK electrical connection supplier's Q2 sales rose 53%, beating analyst expectations
Adjusted EPS for Q2 climbed 69%, beating analyst expectations
Company raised full-year 2026 sales and EPS guidance on strong data center demand
Outlook
nVent raises full-year 2026 sales growth guidance to 37-39%, organic sales growth to 32-34%
Company expects full-year 2026 EPS of $4.29-$4.39 GAAP, adjusted EPS of $5.00-$5.10
nVent sees Q3 2026 sales growth of 32-35% and EPS of $1.18-$1.21 GAAP, $1.35-$1.38 adjusted
Result Drivers
DATA CENTER DEMAND - Co said significant data center growth was a key driver of Q2 sales
NEW PRODUCTS - Co said new products contributed more than 30 percentage points to sales growth
SYSTEMS PROTECTION SEGMENT - Systems Protection net sales rose 70%, with organic growth of 62%
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Sales | Beat | $1.50 bln | $1.26 bln (15 Analysts) |
Q2 Adjusted EPS | Beat | $1.45 | $1.16 (16 Analysts) |
Q2 EPS |
| $1.32 |
|
Q2 Free Cash Flow |
| $167 mln |
|
Q2 Operating Income |
| $301 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 17 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the electrical components & equipment peer group is "buy"
Wall Street's median 12-month price target for nVent Electric PLC is $190.00, about 31.2% above its July 30 closing price of $144.80
The stock recently traded at 28 times the next 12-month earnings vs. a P/E of 27 three months ago
Reuters Recommended Reads
July 30 - Schneider Electric lifts 2026 outlook as data-centre demand surges
July 29 - Legrand raises 2026 sales growth guidance on data centre demand
July 28 - Electrical equipment maker Hubbell lifts profit forecast amid demand from data centers
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)