Why NYSE:TT Stands Out as a Quality Stock.

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if TRANE TECHNOLOGIES PLC (NYSE:TT) is suited for quality investing. Investors should of course do their own research, but we spotted TRANE TECHNOLOGIES PLC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

A Deep Dive into TRANE TECHNOLOGIES PLC's Quality Metrics.

• Over the past 5 years, TRANE TECHNOLOGIES PLC has experienced impressive revenue growth, with 7.45% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
• With a notable ROIC excluding cash and goodwill at 91.53%, TRANE TECHNOLOGIES PLC demonstrates its commitment to generating sustainable returns for shareholders. This metric emphasizes the company's effective use of capital and its ability to deliver long-term value.
• TRANE TECHNOLOGIES PLC maintains a healthy Debt/Free Cash Flow Ratio of 2.13, indicating a strong financial position and prudent debt management. This ratio suggests the company has sufficient free cash flow to cover its debt obligations and highlights its ability to generate cash from operations.
• With a robust Profit Quality (5-year) ratio of 107.0%, TRANE TECHNOLOGIES PLC highlights its ability to consistently generate high-quality profits. This metric reflects the company's effective management and operational excellence in delivering reliable earnings over the long term.
• TRANE TECHNOLOGIES PLC has experienced impressive EBIT growth over the past 5 years, with 13.21% increase. This reflects the company's effective operational performance and highlights its potential for long-term financial success.
• TRANE TECHNOLOGIES PLC has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

What else is there to say on the fundamentals of NYSE:TT?

At ChartMill, a crucial aspect of their analysis is the assignment of a Fundamental Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous fundamental indicators and properties.

Overall TT gets a fundamental rating of 6 out of 10. We evaluated TT against 40 industry peers in the Building Products industry. While TT belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. TT is quite expensive at the moment. It does show a decent growth rate.

Our latest full fundamental report of TT contains the most current fundamental analsysis.

More quality stocks can be found in our Caviar Cruise screen.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.