Vertiv Soars 16% and Enphase Sinks 17%: 6 Stocks Moving Before the Bell
Earnings season is drawing a sharp line between AI infrastructure winners and clean energy losers, and the gap between them widened dramatically before the opening bell this morning.
Earnings are doing the heavy lifting before the bell, with reactions ranging from enthusiastic to brutal. Vertiv (NYSE:VRT | VRT Price Prediction) stock is up 16% in morning trading after a strong quarter for its data center business. Enphase Energy (NASDAQ:ENPH) stock is down 17% after another weak read on residential solar demand.
Stock index futures are mixed ahead of the Federal Reserve’s rate decision and a heavy slate of big tech earnings. The SPDR S&P 500 ETF Trust (NYSEARCA:SPY) is at $770.92, up 0.2%, which puts the spotlight on company news.
Vertiv Rides Orders That More Than Doubled
Vertiv’s power and cooling gear keeps data centers running. Its orders are a direct read on the AI buildout. In third-quarter results released October 28, Vertiv said its net sales grew 61% to $4.31 billion and its organic orders grew over 100%. The FactSet consensus expected $3.76 billion.
On the bottom line, Vertiv’s diluted earnings per share (EPS) grew 91% and its adjusted diluted EPS rose 78%. Full-year guidance went up across all key metrics, with Vertiv lifting its 2026 sales outlook to $14.45 billion to $14.85 billion. CEO Giordano Albertazzi said, “We are in the middle of the largest infrastructure buildout and it’s accelerating.” Vertiv is one of several picks-and-shovels names behind the AI expansion we profiled in a free report on seven AI infrastructure suppliers that aren’t chipmakers. You should consider Vertiv if you believe AI spending keeps climbing into 2027, and look elsewhere if you don’t.
Enphase Sinks as Rooftop Solar Demand Stalls
Rooftop solar is Enphase’s core business, and U.S. homeowners are its biggest market. The company reported October 27 that its third-quarter revenue came in at $293.33 million, missing the $305.15 million consensus. Global sell-through at Enphase grew just 1% sequentially against management’s 10% target.
CEO Badri Kothandaraman cited “higher interest rates and the expiration of the Section 25D federal tax credit.” Guidance offered no relief, as Enphase forecast its fourth-quarter revenue at $225 million to $255 million, with sell-through expected to drop another 10% sequentially. Enphase’s AI data center power product won’t reach customer pilots until 2027.
SK Hynix Rewards Shareholders After a Record Quarter
SK Hynix (NASDAQ:SKHY) stock is up 8% after the memory maker posted record quarterly operating profit overnight in Korea. AFP reported that the chipmaker’s third-quarter operating profit grew 632% from a year earlier, alongside a new $45 billion shareholder return plan. High-bandwidth memory demand from AI data centers is driving SK Hynix’s results.
NXP Drops as Its Profit Outlook Disappoints
NXP Semiconductors (NASDAQ:NXPI) stock is down 7% despite a strong quarter in which its adjusted EPS of $4.20 topped expectations.
On October 27, NXP reported that its third-quarter revenue rose 19% to $3.79 billion, ahead of the $3.76 billion FactSet estimate.
The forecast is what’s weighing on NXP. NXP guided fourth-quarter adjusted operating income to $1.374 billion to $1.442 billion, against a FactSet consensus of $1.44 billion. A new $5 billion buyback and roughly in-line revenue guidance from NXP aren’t offsetting that.
Robinhood Slides on a Profit Miss
Robinhood Markets (NASDAQ:HOOD) stock is down 8% after its third-quarter profit missed estimates as crypto trading slowed, Reuters reported. Record revenue and trading volumes weren’t enough to change the reaction. Chief Financial Officer Shiv Verma said on the October 27 call, “The core business is firing on all cylinders.”
New products, banking and a proprietary blockchain give Robinhood more revenue streams, but crypto still moves its results, and the case for Robinhood rests on whether those newer lines can smooth out crypto’s cycles.
SolarEdge Gets Dragged Down With Enphase
SolarEdge Technologies (NASDAQ:SEDG) stock is down 6% in sympathy with Enphase. The company’s latest results, released August 5, marked its first adjusted operating profit since Q2 2023. SolarEdge also leans more on Europe and commercial customers than Enphase, so the selloff looks like guilt by association.
Fed Decision and Big Tech Earnings Set the Tone for These Six
Big tech earnings will show whether AI spending plans still support Vertiv, SK Hynix and NXP, and watch for any shift in rate expectations after the Federal Reserve’s decision, since rates hit Enphase hardest.
The bulls will point to Vertiv’s raised guidance as proof AI demand is accelerating. Enphase’s outlook hands the bears their argument: growth stories can fall apart quickly once a subsidy expires and rates stay high. I’m keeping my own position sizes modest until the Federal Reserve’s rate decision arrives.
I’ve been following the AI supply chain for over 15 years, and I’ve learned that AI spending shows up in supplier order books first. Vertiv fits that pattern, while NXP’s slide shows AI-adjacent names still get hit when guidance disappoints.
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I've been writing about stocks and personal finance for 20+ years. I believe all great companies are tech companies in the long run, and I invest accordingly.
