BUZZ-Eaton climbs as UBS turns bullish on data center strength

** Power management firm Eaton Corp's ETN.N shares up 3.6% at $425.51 in early Tues trading after UBS upgrades to 'buy' from 'neutral'

** Brokerage boosts PT from $450 to $515, implying 25% upside to stock's last close

** UBS says in note upgrade based on strong sales growth, and it expects co's margins to "meaningfully improve" in Q3 and beyond, reflecting proactive pricing actions and better execution

** Data center segment accounts for about 30% of ETN's revenue, UBS says, adding it expects this to drive continued strong double-digit organic sales growth, which combined with high-single-digit growth in aerospace "should make ETN's topline performance exceptional over the next several years"

** ETN on July 31 forecast 2026 profit above Wall Street's expectations, citing sustained demand for its electrical equipment as buildout of AI data centers accelerates

** Avg rating among 29 brokerages is "buy"; median PT $485, per LSEG data

** With the advance, stock up about 34% YTD, well outpacing ~13% advance in S&P 500 Industrials .SPLRCI