We recently compiled a list of the 10 Stocks Hurting From DeepSeek AI News That Could Turn Into Multibaggers . In this article, we are going to take a look at where Vertiv Holdings (NYSE:VRT) stands against the other stocks.

US semiconductor stocks are getting hammered after the Chinese launched an AI model that has many questioning United States dominance in the AI space. China is currently facing restrictions on importing state-of-the-art semiconductor equipment needed for AI training. The launch of DeepSeek AI despite these restrictions is an eye-opener for Western tech companies, and the investor sentiment is reflecting it.

As market participants scamper to gather more information on China’s progress, we decided to look at stocks that are not only taking a hit from this news but also provide an attractive buy-the-dip opportunity. Against the backdrop of Project Stargate, a US government initiative to pump private sector investments into AI infrastructure, these companies also offer a potential multi-bagger opportunity.

Usually, it is the low market cap companies that become multibaggers. However, the failure rate when betting on these companies is quite high. We therefore chose companies with a market cap between $10 and $25 billion. In this way, our list contains businesses that are already established and will thrive on the boost provided by Project Stargate while successfully managing any headwinds. We believe the downside to these stocks is minimal because of the already sound fundamentals of these companies.

A close-up of a group of technicians working on complex data center systems.

Vertiv Holdings (NYSE:VRT)

Vertiv Holdings is an attractive data center play. It designs, manufactures, and services some of the most important components of a data center. The stock is up 177% in a year but is taking a beating today, down 20% at market open.

The dip is a huge opportunity for investors who missed out on the earlier boom. Power management will continue to be the focus for companies building data centers as it is what constrains some of the GPU technology from further development. After the DeepSeeek AI warning, American companies are likely to step up and increase their investments in data centers and Vertiv is an obvious beneficiary of that. Being available at a 20% discount makes it all the more attractive.

The firm is also well-run. It is expected to convert all of its income into adjusted free cash flow, something not a lot of companies can boast of. As long as AI hype doesn’t die down, Vertiv should continue to perform.