Fact Summary
nVent Electric reported Q2 2026 (April–June) revenue of USD 1.471 billion, up 52.8% year-over-year, driven mainly by growing infrastructure demand for data centers (10-Q, accession no. 0001628280-26-051428, 2026-07-31). The Infrastructure (data center) segment's share of revenue expanded from 12% at the time of the 2018 spin-off to 60% in H1 2026. The closing price as of 2026-08-07 was 164.69 USD, up +0.85% from the prior day (163.30 USD), and a quarterly dividend of USD 0.21 per share was paid on the same day.
Price-Change Context Note
Following the Q2 2026 earnings release (2026-07-31), the company raised its full-year revenue growth guidance from 26–28% to 37–39% (company disclosure, label C). Over the same period, copper prices surged 47.2% year-to-date (USD 6.57/lb as of 2026-08-08), pressuring the Electrical Connections segment's operating margin down 140bp to 27.3%; the company is offsetting part of the cost increase through price pass-through and productivity improvements.
Business Overview
nVent Electric plc is an Ireland-domiciled holding company that spun off from Pentair plc in April 2018 and listed on the New York Stock Exchange (NYSE). It operates through two segments: Systems Protection, which covers enclosures, power distribution equipment, and cooling solutions, and Electrical Connections, which covers power connections and cable management. The data-center liquid cooling business grew revenue approximately 30% in 2024 to reach USD 600 million in annual revenue, and the company doubled production capacity by bringing its Blaine, Minnesota plant online in January 2025.
5-Year Financial Trend
| Year | Revenue (USD Million) | Operating Margin | Net Margin |
|---|---|---|---|
| 2021 | 2,462.0 | 14.4% | 11.1% |
| 2022 | 2,295.1 | 13.5% | 17.4% |
| 2023 | 2,668.9 | 17.3% | 21.2% |
| 2024 | 3,006.1 | 17.5% | 11.0% |
| 2025 | 3,893.1 | 15.8% | 18.2% |
In H1 2026 (cumulative), revenue was USD 2.7133 billion, operating income was USD 496.4 million (operating margin 18.3%), and net income was USD 358.3 million (net margin 13.2%). Q2 (April–June) standalone revenue was USD 1.4713 billion, up 18.5% from Q1 (calculated from confirmed financial data, A).
Valuation
Applying the midpoint of the company's disclosed 2026 adjusted EPS guidance (USD 5.05) to the current share price yields a reference forward PER of approximately 32.6x (label C, based on company guidance).
Peer Comparison
| Company | Ticker | PER (TTM) | Forward PER |
|---|---|---|---|
| nVent Electric | NVT | 44.56x (self-calculated) | Not available |
| Eaton Corp | ETN | 42.15x | 31.36x |
| Vertiv Holdings | VRT | 45.67x | Not available |
| Legrand SA | LR | 27.98x | 21.88x |
nVent's (NVT) TTM PER (44.56x, self-calculated) is comparable to data-center-focused peer Vertiv (45.67x), and higher than diversified peers Eaton (42.15x) and Legrand (27.98x). By market cap, nVent is a small-cap relative to Eaton (USD 174.1B) and Vertiv (USD 107.0B).
Macro Environment
| Factor | Current Value (as of) | Impact |
|---|---|---|
| US federal funds rate | 3.50–3.75% (held at 2026-07-29 FOMC meeting) | Modest impact on the company's own funding costs; data-center customers rely more heavily on equity-funded capex, making them relatively less rate-sensitive |
| US 10-year Treasury yield | Approx. 4.65–4.68% (2026-08-07) | Indirect impact on funding costs |
| Copper price (COMEX) | USD 6.57/lb (2026-08-08, +47.2% year-to-date) | Raises costs in the Electrical Connections segment; Q2 2026 operating margin fell 140bp to 27.3% |
| Section 232 steel and aluminum tariffs | Standard rate 25%, up to 50% on derivative products (effective 2026-06-08) | The company raised its 2026 company-wide tariff impact guidance from USD 80 million to USD 100 million |
| EUR/USD exchange rate | 1.1558 (2026-08-08) | Affects translation of overseas revenue (Europe 28.7% · Asia-Pacific 15.7%); potential annual FX exposure of approximately USD 12.7 million |
Governance & Capital Structure
Vanguard Group's beneficial ownership filing under the parent entity's sole name fell below the 5% reporting threshold (0%) following an internal reorganization on 2026-01-12 — an accounting-driven redistribution of holdings across subsidiary entities and funds, distinct from an actual sale of shares (SC 13G/A filing, 2026-03-26).
| Date | Description |
|---|---|
| 2026-08-05 | Chief Accounting Officer (CAO) disposed of 22,524.713 shares (weighted average USD 164.62, Form 4) |
| 2026-08-05 | Chief Executive Officer (CEO) exercised stock options for 46,261 shares and disposed of all of them (weighted average USD 162.71–165.34, Form 4) |
| 2026-01-01 to 08-09 | A total of 62 Form 4 filings, involving numerous executives and directors (many routine patterns such as RSU tax-withholding dispositions and post-exercise option sales; individual filings were not exhaustively checked for anomalies) |
Supply and Demand Trends
In the most recent quarter, 428 institutions were reported to have increased their holdings and 320 institutions reduced theirs (quiverquant tertiary aggregation, not cross-checked against primary sources). Dark pool share, short interest in the US margin-debt sense (not applicable here), and a single confirmed institutional ownership figure are not available.
Risk Factors
- Tariffs and trade: Section 232 steel and aluminum tariffs (standard 25%, up to 50% on derivative products, effective 2026-06-08) led the company to raise its 2026 company-wide tariff impact guidance to USD 100 million.
- Raw materials: Copper prices reached USD 6.57/lb as of 2026-08-08 (+47.2% year-to-date), pressuring costs in the Electrical Connections segment and driving a 140bp decline in Q2 operating margin (to 27.3%).
- Competitive landscape: The company competes with large players such as Schneider Electric, Eaton, Vertiv, and Rittal, as well as regional low-cost manufacturers, and has a market cap roughly one-quarter that of data-center-focused peer Vertiv.
- Valuation level: The self-calculated TTM PER stood at 44.56x as of 2026-08-07.
- Demand concentration: The Infrastructure (data center) segment accounted for 60% of revenue in H1 2026, increasing reliance on a single end-demand industry (up from 12% at the time of the 2018 spin-off).
- Insider transactions: The CAO disposed of shares and the CEO disposed of shares acquired through option exercise on 2026-08-05, with insider dispositions predominating over the past three months (per wallstreetzen aggregation).
- Not available: Credit ratings (S&P/Moody's) and debt maturity structure, status of pending litigation, cybersecurity risk details.
Recent News & Filings Timeline
| Date | Description |
|---|---|
| 2026-07-31 | Q2 2026 earnings release: revenue of USD 1.471 billion (+52.8% YoY), GAAP diluted EPS of USD 1.32 (+103%), adjusted EPS of USD 1.45 (+69%) |
| 2026-07-31 | Raised full-year revenue growth guidance from 26–28% to 37–39% (company disclosure, C) |
| 2026-07-31 | Announced lease of a new 160,000-square-foot manufacturing facility in Blaine, Minnesota, targeting operation in H1 2027 |
| 2026-07-23 | New three-year share buyback program (up to USD 500 million) became effective |
| 2026-08-05 | CAO disposed of 22,524.713 shares; CEO exercised stock options and disposed of all acquired shares (Form 4) |
| 2026-08-07 | Paid quarterly dividend of USD 0.21 per share; closing price USD 164.69 (+0.85% from prior day) |
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Fact Highlights
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