NVT

nVent is firing on the fundamentals. FY2025 revenue rose 29.5% to $3.89B — an acceleration over the steady $2.46B->$3.01B march of 2021-2024 — and the Systems Protection segment (67% of revenue), which explicitly serves data centers with enclosures and liquid/air cooling, positions the company in front of one of the strongest secular spend cycles in industrials. Profitability is healthy: 37.7% gross margin, 15.8% operating margin, 18.2% net margin and a 19.0% ROE. The balance sheet has clearly strengthened — total liabilities fell 10.7%, long-term debt fell 27.0% to $1.55B, cash rose 81% to $238M, and liabilities/equity sits at a comfortable 0.84x. Management is returning capital, with buybacks up 153% to $253M and $130M of dividends.

Read the full thesis with Pro →