Forgent Power Solutions, Inc. (FPS) Stock Price & How to Invest
Short answer
You can invest in Forgent Power Solutions (FPS) by buying shares or fractional shares at any major broker, or as one holding in a thematic basket built around data-center and grid infrastructure. FPS is a recently public maker of engineered-to-order electrical distribution equipment (transformers, switchgear, transfer switches, and prefabricated power modules) sold heavily into AI data centers and the power grid, so the thesis is a direct bet on electrical hardware demand from the AI and electrification buildout.
FPS stock price
As of 2026-07-01, Forgent Power Solutions, Inc. (FPS) last closed at $49.90, down 11.4% over the past month. Over its trading history so far it has traded between $27.97 and $64.59.
Prices are daily closing prices from Yahoo Finance and may be delayed. For the live quote, check your broker or Forgent Power Solutions, Inc.'s investor relations page. Walnut is informational, not investment advice.
What does Forgent Power Solutions, Inc. (FPS) do?
Forgent Power Solutions, founded in 2023 and based in Dayton, Minnesota, designs and manufactures electrical distribution equipment used in data centers, the power grid, and energy-intensive industrial facilities. Its catalog spans four product families: transformers (padmount, substation, PDU, VPI), switchgear (low and medium voltage, paralleling), automatic transfer switches, and prefabricated solutions such as eHouses and power skids, plus aftermarket services like testing, modernization, and commissioning. Roughly 91% of fiscal 2025 revenue came from engineered-to-order work (about 78% Custom Products and 13% Powertrain Solutions), which the company positions as a differentiator against larger, more standardized rivals. Data centers make up a large share of demand (about 42% of fiscal 2025 revenue and roughly 47% of the order pipeline), with the grid around 30%, so its growth is tightly linked to AI-driven capital spending and electrification.
The company went public on the NYSE in February 2026 at $27.00 per share, raising about $491.8 million in primary proceeds, and combined IPO and follow-on activity brought roughly $800.4 million of net proceeds in the quarter. Its private-equity backer, Neos Partners LP, remains a major holder and has participated in subsequent secondary offerings, including a roughly 35 million share sale announced in late June 2026 after the stock had roughly doubled from the IPO price. Forgent has been added to the Russell Midcap Growth benchmark. Management has framed the story as scaling capacity aggressively (it has said its expansion could support up to $5 billion in annual revenue) to meet backlog, while carrying about $600 million of debt against $1.85 billion of total assets as of March 31, 2026.
What's driving Forgent Power Solutions, Inc. (FPS)?
1. Data-center and AI power demand
Forgent sells directly into the electrical backbone of AI data centers, which represent close to half of its pipeline. As hyperscalers and developers race to add compute capacity, demand for transformers, switchgear, and transfer switches has outrun supply industry-wide. That tailwind drove fiscal Q3 2026 revenue up roughly 103% year over year to about $379 million.
2. Record backlog and bookings
The company reported roughly $867 million of bookings in fiscal Q3 2026 and a total backlog near $1.98 billion, giving multi-quarter revenue visibility. A large backlog can smooth results if it converts on schedule, though it also depends on customers not deferring or canceling orders if the AI capital-spending cycle cools.
3. Capacity expansion and operating leverage
Forgent is investing to expand manufacturing capacity, and management has said its footprint could eventually support up to $5 billion in annual revenue. Fiscal Q3 2026 adjusted EBITDA reached about $85 million on strong incremental margins. If utilization rises as new capacity comes online, profitability could scale, though the buildout requires capital and flawless execution.
4. Grid and electrification breadth
Beyond data centers, roughly 30% of demand comes from the power grid, with additional exposure to utilities and heavy industry. Aging grid infrastructure, reshoring, and electrification give Forgent end markets that are not solely tied to AI, which management frames as diversification even though data centers remain the largest single driver.
What are the risks to Forgent Power Solutions, Inc. (FPS)?
Forgent is a niche, newly public company competing against far larger and more diversified electrical-equipment makers, which S&P Global analysts have noted leaves it more exposed to economic volatility. Heavy reliance on data-center demand ties its results to the AI capital-spending cycle, so a slowdown in hyperscaler or developer orders could hit bookings and backlog conversion quickly. The valuation is extreme, with a trailing P/E in the high hundreds, meaning the stock prices in years of continued rapid growth and leaves little room for disappointment. It also carries about $600 million of debt and depends on executing a large capacity expansion. Finally, its private-equity backer Neos Partners retains a substantial stake and has sold shares in secondary offerings, creating potential supply overhang on the stock.
How is Forgent Power Solutions, Inc. (FPS) valued? (approximate, July 2026)
A simple financial snapshot. These are approximations and refresh quarterly; for current figures see Forgent Power Solutions, Inc.'s investor relations page or your broker.
- Revenue (fiscal Q3 2026, quarter ended March 31): ~$379 million, up ~103% year over year
- Backlog / bookings: ~$1.98 billion backlog, ~$867 million quarterly bookings
- Net income (fiscal Q3 2026): ~$24 million
- Adjusted EBITDA (fiscal Q3 2026): ~$85 million
- P/E ratio: ~800x or higher (very low current earnings)
- Market cap: ~$13 to $15 billion (stock ~$50 per share)
Figures are approximate and tied to the asOf date; verify live numbers before acting. Forgent uses a fiscal year ending June 30, so its fiscal Q3 2026 covers the quarter ended March 31, 2026. Full-year fiscal 2026 guidance points to revenue of about $1.35 to $1.39 billion and adjusted EBITDA of roughly $310 to $320 million. The extremely high P/E reflects small current earnings against a large market cap, so the valuation leans on future growth rather than trailing profit.
Who competes with Forgent Power Solutions, Inc. (FPS)?
Diversified electrical-equipment giants
Large, broad-line makers of power and electrical infrastructure such as Eaton, Schneider Electric, ABB, and Vertiv, plus GE Vernova on the grid side. They have far greater scale, deeper balance sheets, and wider product ranges, so Forgent competes as a more focused, engineered-to-order specialist rather than on breadth.
Transformer and switchgear specialists
Companies concentrated in transformers, switchgear, and power distribution for data centers and utilities compete for the same surging demand. This is the closest head-to-head category, where lead times, customization, and capacity availability often matter more than brand.
Prefabricated and modular power providers
Firms offering eHouses, power skids, paralleling switchgear, and packaged power modules for rapid data-center deployment overlap with Forgent's Powertrain and prefabricated solutions, competing on speed to energization and integrated design.
How to invest in Forgent Power Solutions, Inc. (FPS)
There are three common ways to get FPS exposure. Buy shares (or fractional shares) directly at any major broker. Hold an ETF that includes it, which spreads the position across many companies. Or build it into a focused thematic basket, so FPS sits alongside other stocks that express the same thesis.
Walnut takes the basket route. Describe a thesis where FPS fits (for example “AI infrastructure” or “dividend-growth large-caps”) and the AI proposes 5 to 6 constituents with target weights. You review the plan and fund it through your own broker when you're ready.
The bottom line on Forgent Power Solutions, Inc. (FPS)
Forgent Power Solutions is a fast-growing, February-2026 IPO that designs and manufactures electrical distribution equipment for data centers, the grid, and heavy industry, with fiscal Q3 2026 revenue of ~$379 million (up ~103% year over year) and a ~$1.98 billion backlog, but it trades at a very rich valuation (P/E in the high hundreds) that already prices in years of continued data-center capacity expansion.
More on Forgent Power Solutions, Inc. (FPS)
Whether FPS is worth buying today depends more on your time horizon and what you already hold than on any single call. We walk through valuation, what would have to go right, and the risks in is FPS a buy?, and where the stock could go from here in the FPS stock forecast.
For income investors, whether FPS pays a dividend and how the payout looks is covered in does FPS pay a dividend?
Build a basket around FPS with Walnut
Use Forgent Power Solutions, Inc. as one constituent in a thematic basket Walnut's AI helps you assemble. Describe a thesis you believe in, the AI proposes the holdings and weights, and you approve before any broker order.
FAQ
What company is FPS?
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FPS is the NYSE ticker for Forgent Power Solutions, Inc., a Dayton, Minnesota company founded in 2023 that designs and manufactures electrical distribution equipment. Its products, including transformers, switchgear, automatic transfer switches, and prefabricated power modules, are used in data centers, the power grid, and energy-intensive industrial facilities. It went public in February 2026.
Is FPS a good stock to buy right now?
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That depends on your goals, time horizon, and risk tolerance, and this is not investment advice. The bull case is explosive revenue growth, a near-$2 billion backlog, and direct exposure to AI data-center power demand. The bear case is an extremely high valuation, heavy reliance on the data-center capital cycle, and its status as a niche player versus much larger rivals. Weigh both against your own portfolio.
What does Forgent Power Solutions make?
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It makes engineered-to-order electrical distribution equipment in four families: transformers (padmount, substation, PDU, and VPI), switchgear (low and medium voltage, plus paralleling), automatic transfer switches, and prefabricated solutions such as eHouses and power skids. It also provides testing, modernization, commissioning, and aftermarket retrofit services. About 91% of fiscal 2025 revenue came from custom, engineered work.
When did Forgent Power Solutions go public?
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Forgent completed its IPO on the NYSE in February 2026 at $27.00 per share, raising roughly $491.8 million in primary proceeds. Combined with a follow-on offering, it brought in about $800.4 million of net proceeds during the quarter. Its private-equity backer, Neos Partners LP, has also sold shares in subsequent secondary offerings.
Does FPS pay a dividend?
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Forgent Power Solutions does not pay a regular dividend. As a newly public, fast-growing company, it reinvests cash into expanding manufacturing capacity and fulfilling its backlog rather than returning cash to shareholders. Any return from FPS would come from share-price movement rather than income, which matters if you are building a portfolio for current yield.
Who are Forgent Power Solutions' competitors?
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It competes with large, diversified electrical-equipment makers such as Eaton, Schneider Electric, ABB, Vertiv, and GE Vernova, which are far bigger and broader. It also faces transformer and switchgear specialists and prefabricated-power providers chasing the same data-center demand. Forgent positions itself as a focused, engineered-to-order specialist rather than a broad-line manufacturer.
Why is FPS stock so volatile?
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FPS is a recent IPO whose price roughly doubled from its February 2026 offering before pulling back on new stock sales. Newly public shares often swing on limited trading history, high valuations, and secondary offerings from insiders like backer Neos Partners. Its heavy tie to the AI data-center spending cycle also means sentiment about that theme moves the stock sharply.
What are the main risks of investing in FPS?
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The biggest risks are a very high valuation (a trailing P/E in the hundreds) that assumes years of rapid growth, heavy dependence on data-center and AI capital spending, and its niche size against much larger rivals. It also carries roughly $600 million of debt, must execute a large capacity expansion, and faces potential share overhang as its private-equity backer sells down its stake.
Walnut is informational, not investment advice. Financial figures on this page are approximations; always verify current numbers with Forgent Power Solutions, Inc.'s investor relations page or your broker before making investment decisions.