| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 47 | — | 17.3x | Around median | |
Growth | 85 | 16.2% | 7.1% | Top tier | |
Quality | 20 | -0.4% | 4.5% | Bottom tier | |
Safety | 21 | 8.1x | 2.6x | Bottom tier | |
Capital Return | 17 | 0.00% | 0.06% | Bottom tier | |
Momentum | 9 | -23.7% | -1.6% | Bottom tier | |
Sentiment | 73 | 5 | 3 | Top tier |
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
VNET Group operates data center infrastructure in China and generates revenue from three main streams: wholesale data centers, retail data centers, and non-data center businesses. The wholesale business benefits from long-term capacity contracts with internet companies and cloud service providers, while the retail business relies on leasing cabinets and providing related services to customers in sectors including information technology, local services, and financial services. As of June 30, 2026, wholesale capacity in service was 1,007 megawatts, with 744 megawatts utilized, while the retail business had 50,081 cabinets in service.
In fiscal Q2 2026, net revenue increased 14.2% year over year to RMB 2.78 billion, and adjusted cash gross profit rose 9.4% to RMB 1.16 billion. Adjusted EBITDA was RMB 918.3 million, up 25.4%, and its margin expanded to 33.0% from 30.1%, while the adjusted cash gross profit margin declined to 41.8% from 43.6%. The company recorded adjusted net income of RMB 7.4 million, compared with an adjusted loss in the corresponding period.
The wholesale business was the largest growth driver in fiscal Q2 2026; its revenue increased 29.3% to RMB 1.10 billion and accounted for 39.8% of total revenue, surpassing retail revenue of RMB 1.05 billion after it grew 9.1%. Revenue from non-data center businesses increased only 1.1% to RMB 628.4 million. Historical EDGAR data show that revenue reached $3.8 billion in fiscal 2019, but the company remained unprofitable, with a net loss of $182.3 million and negative earnings per share of $0.27, compared with a net loss of $205.1 million in fiscal 2018.
Automated analysis for informational purposes only — not investment advice.
The analyst consensus is “Buy,” with an average price target of $16.90 and a wide range of $12.50 to $24.79; the average is approximately 16.7% above the 52-week range high of $14.48, while the low end of the target range is approximately 86.3% of that high. The stock's 52-week range is $5.91 to $14.48, and no positive price-to-earnings ratio is available, which is consistent with the limited adjusted profit in fiscal Q2 2026 and the record of net losses in EDGAR data through fiscal 2019, making its valuation more dependent on order execution and cash flow growth than on current earnings.
Figures in the text are as of 2026-09-01; the live price is shown at the top of the page.
The wholesale data center business was the primary driver, as its revenue increased 29.3% to RMB 1.10 billion and accounted for 39.8% of total revenue. Customer migrations to N-HB Campus 03 and N-OR Campus 02A contributed to this growth, while utilized capacity increased 45.5% to 744 megawatts. As a result, total revenue grew 14.2% to RMB 2.78 billion, and adjusted EBITDA increased 25.4% to RMB 918.3 million.
New wholesale orders reached 862 megawatts since the beginning of fiscal 2026, and the company added 355 megawatts of reservations as of June 30, 2026, bringing total orders and reservations to more than 1.2 gigawatts. The order schedule includes approximately 287 megawatts for delivery in fiscal 2026, 345 megawatts in fiscal 2027, and 230 megawatts in fiscal 2028 and beyond. The company also plans to deliver 585 megawatts during the twelve months following the end of fiscal Q2 2026, most of which will come from Wulanchabu campuses.
Management said during the August 18, 2026 call that demand is being supported by AI model training and inference, and that cloud and internet companies are requesting high-capacity, high-density cabinet resources. In fiscal Q2 2026, the company secured a 345-megawatt wholesale order from a leading cloud service provider to support AI infrastructure requirements, in addition to approximately 2 megawatts of retail orders. As of June 30, 2026, the commitment rate for capacity in service was 96.3%, and the pre-commitment rate for capacity under construction was 94.2%.
The agreement announced in fiscal Q2 2026 aims to integrate VNET's expertise in computing infrastructure with CATL's new zero-carbon energy technologies. The plan consists of three layers: gigawatt-scale computing and energy facilities, distributed computing and energy networks, and a zero-carbon token ecosystem. Management did not provide quantified financial targets for the agreement during the August 18, 2026 call, but said it would present the operating strategy and future outlook in fiscal Q4 2026.
Data center expansions require substantial capital expenditure of RMB 10 billion to RMB 12 billion in fiscal 2026, after spending RMB 3.55 billion in the first half. The ratio of net debt to annualized adjusted EBITDA was 4.6 times as of June 30, 2026, while the total debt ratio was 6.4 times. The adjusted cash gross profit margin also declined to 41.8% in fiscal Q2 2026, under pressure from higher utility costs.
Management expects net revenue of RMB 11.5 billion to RMB 11.8 billion in fiscal 2026, representing annual growth of 15.6% to 18.6%. It also targets adjusted EBITDA of RMB 3.55 billion to RMB 3.75 billion, representing growth of 19.2% to 25.9%. The company maintained this guidance unchanged during the August 18, 2026 call, with a plan to deliver a total of 450 to 500 megawatts during fiscal 2026.