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VNET Group, Inc.
$1.7B
Market Cap
288.3
P/E
5.30
PEG
-0.9%
ROCE
-1.7%
ROE
3.33
D/E
7.8%
OPM
-54.9%
% from 52W High
16
α RS
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🌏 Global Investor Returns
Currency-adjusted total returns for VNET including FX impact
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📈 Price History
Ratio Health
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About

VNET Group, Inc., an investment holding company, provides data center hosting and related services in China. The company offers managed hosting services comprising managed retail services, such as colocation services that dedicate data center space to house customers’ servers and networking equipment, as well as allow customers to lease partial or entire cabinets for their servers; interconnectivity services that allow customers to connect their servers; and value-added services, including hybrid IT, bare metal, firewall, server load balancing, data backup and recovery, data center management, server management, and standby server services. It also provides cloud services that allow customers to run applications over the internet using IT infrastructure; and VPN services that extend customers’ private networks by setting up connections through the public internet. In addition, the company offers server administration services, including operating system support and assistance with updates, server monitoring, server backup and restoration, server security evaluation, firewall services, and disaster recovery services. It serves information technology and cloud services, communications and social networking, gaming and entertainment, e-commerce, automobile, financial services, and blue-chip and small-to-mid-sized enterprises; government agencies; individuals; and telecommunication carriers. The company was formerly known as 21Vianet Group, Inc. and changed its name to VNET Group, Inc. in October 2021. VNET Group, Inc. was founded in 1996 and is headquartered in Beijing, China.

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📈 Growth Pattern
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⭐ Superinvestors Holding VNET
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Manager Shares Value % of Fund Period
Steve Cohen Point72 Asset Management 16.11M $135.2M 0.17% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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📊 MIXED VNET Q1 2026: Wholesale revenues surpass retail; 517 MW new orders won.
Revenue & Profitability
Total net revenues for Q1 2026 were RMB 2.69 billion, up 19.8% year-over-year. Wholesale revenues surged 58.1% to RMB 1.06 billion, while retail revenues grew 5.4% to RMB 1.02 billion. Adjusted EBITDA increased 30.6% to RMB 891.5 million. Net operating cash inflow was RMB 173.7 million (RMB 292.8 million excluding one-off tax items). Net debt to annualized EBITDA ratio stood at 3.8x.
Outlook
Management sees strong industry tailwinds from government "AI plus" initiatives promoting large-scale, green computing infrastructure. Demand for AI-related data center resources is surging, while effective supply remains constrained by utility and power quotas in core regions. The structural opportunity favors established players like VNET with long-term industry accumulation and resource reserves. The company expects stable pricing with potential upward trends as supply-demand dynamics improve.
Growth Drivers
Key growth drivers include the wholesale IDC business, which saw a 58.1% revenue jump driven by fast customer move-ins at NOR Campus 02A and NHB Campus 03. Robust order momentum: year-to-date 2026, VNET secured three wholesale orders totaling 517 MW (including 400 MW and 110 MW from an internet customer). Retail business also grew modestly, with MRR per cabinet rising slightly to RMB 9,448. Non-IDC revenues grew 0.3%.
Balance Sheet & CapEx
CapEx in Q1 2026 was RMB 1.91 billion, primarily for wholesale IDC expansion. Full-year 2026 CapEx guidance remains at RMB 10 billion-RMB 12 billion, supporting planned delivery of 450-500 MW. The company plans to deliver 516 MW over the next 12 months (approx. 250 MW in Q2-Q3 2026 and 266 MW in Q4 2026-Q1 2027). Land acquisition for capacity reserves accounts for only low single digits of total CapEx.
Margins
Adjusted cash gross margin improved to 45% from 43.1% a year ago, driven by efficiency initiatives and wholesale business growth. Adjusted EBITDA margin rose to 33.1% from 30.4%. The company's full-year 2026 adjusted EBITDA guidance is RMB 3.55 billion-RMB 3.75 billion (+19.2%-25.9% YoY). The average PUE improved to 1.24 in 2025 from 1.27 in 2024, and renewable energy consumption rose to 36% from 18%.
Key Risks
Risks flagged include the dependence on utility and power quota limitations in core regions, which constrain industry supply. The company's forward-looking statements are subject to risks and uncertainties as detailed in SEC filings. No specific operational risks were highlighted by management or analysts during the call.
Generated by AI · Q1 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q1 2026 Q1 2026 2026-05-26
Q1 2026 saw robust revenue and EBITDA growth, led by wholesale IDC demand and strong order wins. Strategic investment from CATL is expected to drive synergies in technology and green energy, while guidance and CapEx remain unchanged despite large new orders.
Q4 2025 Q4 2025 2026-03-16
Record 2025 growth driven by AI demand and strong wholesale IDC expansion, with revenues and EBITDA exceeding guidance. 2026 outlook projects continued double-digit growth, robust CapEx, and stable utilization, supported by diversified financing and a focus on green energy and sustainability.
Q3 2025 Q3 2025 2025-11-20
Q3 2025 saw robust revenue and EBITDA growth, driven by strong wholesale IDC demand and AI adoption. Full-year guidance was raised, with continued order momentum and high utilization rates expected. CapEx remains focused on wholesale expansion, supported by diversified funding and strong liquidity.
Q2 2025 Q2 2025 2025-08-21
Q2 2025 saw strong revenue and EBITDA growth, led by wholesale IDC demand and strategic execution. Guidance for 2025 was raised, with optimism for H2 driven by AI demand and rapid client move-ins. A $50M share buyback and robust liquidity further support growth.
Q1 2025 Q1 2025 2025-05-28
Q1 2025 saw robust revenue and EBITDA growth, driven by strong wholesale and AI-related retail demand. Guidance for 2025 was reiterated, with significant CapEx planned to support expansion. Debt and liquidity remain healthy, and the company is advancing REITs and dual listing initiatives.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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Investment Risk:
Investing in securities, including US equities and ETFs, involves inherent risks including the potential loss of principal. All investments are subject to market fluctuations, economic conditions, regulatory changes, and other factors that may affect their value. Past performance is not indicative of future results. This analysis is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

No Investment Recommendation:
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Information Sources:
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