TRANE TECHNOLOGIES PLC (TT) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:TT • IE00BK9ZQ967

454.76 USD
+18.61 (+4.27%)
At close: Feb 6, 2026
454.76 USD
0 (0%)
After Hours: 2/6/2026, 8:04:00 PM
Fundamental Rating

6

We assign a fundamental rating of 6 out of 10 to TT. TT was compared to 42 industry peers in the Building Products industry. While TT has a great profitability rating, there are some minor concerns on its financial health. While showing a medium growth rate, TT is valued expensive at the moment.


Dividend Valuation Growth Profitability Health

9

1. Profitability

1.1 Basic Checks

  • TT had positive earnings in the past year.
  • In the past year TT had a positive cash flow from operations.
  • Each year in the past 5 years TT has been profitable.
  • TT had a positive operating cash flow in each of the past 5 years.
TT Yearly Net Income VS EBIT VS OCF VS FCFTT Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

1.2 Ratios

  • TT's Return On Assets of 13.63% is amongst the best of the industry. TT outperforms 85.71% of its industry peers.
  • TT has a Return On Equity of 33.93%. This is amongst the best in the industry. TT outperforms 90.48% of its industry peers.
  • TT's Return On Invested Capital of 21.16% is amongst the best of the industry. TT outperforms 90.48% of its industry peers.
  • TT had an Average Return On Invested Capital over the past 3 years of 19.58%. This is significantly above the industry average of 12.37%.
  • The 3 year average ROIC (19.58%) for TT is below the current ROIC(21.16%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 13.63%
ROE 33.93%
ROIC 21.16%
ROA(3y)12.27%
ROA(5y)10.88%
ROE(3y)32.43%
ROE(5y)29.78%
ROIC(3y)19.58%
ROIC(5y)17.39%
TT Yearly ROA, ROE, ROICTT Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

1.3 Margins

  • TT's Profit Margin of 13.69% is fine compared to the rest of the industry. TT outperforms 71.43% of its industry peers.
  • TT's Profit Margin has improved in the last couple of years.
  • Looking at the Operating Margin, with a value of 18.61%, TT is in the better half of the industry, outperforming 76.19% of the companies in the same industry.
  • TT's Operating Margin has improved in the last couple of years.
  • TT has a Gross Margin (36.16%) which is in line with its industry peers.
  • TT's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 18.61%
PM (TTM) 13.69%
GM 36.16%
OM growth 3Y7.15%
OM growth 5Y7.57%
PM growth 3Y7.6%
PM growth 5Y14.8%
GM growth 3Y5.21%
GM growth 5Y3.31%
TT Yearly Profit, Operating, Gross MarginsTT Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

5

2. Health

2.1 Basic Checks

  • TT has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • TT has less shares outstanding than it did 1 year ago.
  • TT has less shares outstanding than it did 5 years ago.
  • Compared to 1 year ago, TT has an improved debt to assets ratio.
TT Yearly Shares OutstandingTT Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M 150M 200M 250M
TT Yearly Total Debt VS Total AssetsTT Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B

2.2 Solvency

  • TT has a debt to FCF ratio of 1.64. This is a very positive value and a sign of high solvency as it would only need 1.64 years to pay back of all of its debts.
  • With a decent Debt to FCF ratio value of 1.64, TT is doing good in the industry, outperforming 78.57% of the companies in the same industry.
  • TT has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
  • TT's Debt to Equity ratio of 0.46 is in line compared to the rest of the industry. TT outperforms 59.52% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.46
Debt/FCF 1.64
Altman-Z N/A
ROIC/WACC2.83
WACC7.49%
TT Yearly LT Debt VS Equity VS FCFTT Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

2.3 Liquidity

  • TT has a Current Ratio of 1.25. This is a normal value and indicates that TT is financially healthy and should not expect problems in meeting its short term obligations.
  • TT has a Current ratio of 1.25. This is amonst the worse of the industry: TT underperforms 83.33% of its industry peers.
  • A Quick Ratio of 0.92 indicates that TT may have some problems paying its short term obligations.
  • The Quick ratio of TT (0.92) is worse than 78.57% of its industry peers.
Industry RankSector Rank
Current Ratio 1.25
Quick Ratio 0.92
TT Yearly Current Assets VS Current LiabilitesTT Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

5

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an nice 16.49% over the past year.
  • The Earnings Per Share has been growing by 24.05% on average over the past years. This is a very strong growth
  • The Revenue has been growing slightly by 7.48% in the past year.
  • Measured over the past years, TT shows a quite strong growth in Revenue. The Revenue has been growing by 11.35% on average per year.
EPS 1Y (TTM)16.49%
EPS 3Y21.04%
EPS 5Y24.05%
EPS Q2Q%9.58%
Revenue 1Y (TTM)7.48%
Revenue growth 3Y10.06%
Revenue growth 5Y11.35%
Sales Q2Q%5.56%

3.2 Future

  • The Earnings Per Share is expected to grow by 8.77% on average over the next years. This is quite good.
  • Based on estimates for the next years, TT will show a small growth in Revenue. The Revenue will grow by 7.07% on average per year.
EPS Next Y16.68%
EPS Next 2Y15.01%
EPS Next 3Y13.91%
EPS Next 5Y8.77%
Revenue Next Year9.06%
Revenue Next 2Y8.47%
Revenue Next 3Y7.96%
Revenue Next 5Y7.07%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
TT Yearly Revenue VS EstimatesTT Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2031 10B 20B 30B
TT Yearly EPS VS EstimatesTT Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 5 10 15

2

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 34.79, which means the current valuation is very expensive for TT.
  • TT's Price/Earnings ratio is a bit more expensive when compared to the industry. TT is more expensive than 71.43% of the companies in the same industry.
  • When comparing the Price/Earnings ratio of TT to the average of the S&P500 Index (27.92), we can say TT is valued slightly more expensively.
  • A Price/Forward Earnings ratio of 29.82 indicates a quite expensive valuation of TT.
  • Based on the Price/Forward Earnings ratio, TT is valued a bit more expensive than 66.67% of the companies in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 27.78. TT is around the same levels.
Industry RankSector Rank
PE 34.79
Fwd PE 29.82
TT Price Earnings VS Forward Price EarningsTT Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • TT's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. TT is more expensive than 71.43% of the companies in the same industry.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of TT is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 35.87
EV/EBITDA 22.92
TT Per share dataTT EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 40 60 80

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • The excellent profitability rating of TT may justify a higher PE ratio.
  • A more expensive valuation may be justified as TT's earnings are expected to grow with 13.91% in the coming years.
PEG (NY)2.09
PEG (5Y)1.45
EPS Next 2Y15.01%
EPS Next 3Y13.91%

5

5. Dividend

5.1 Amount

  • TT has a yearly dividend return of 0.95%, which is pretty low.
  • Compared to an average industry Dividend Yield of 0.67, TT pays a bit more dividend than its industry peers.
  • With a Dividend Yield of 0.95, TT pays less dividend than the S&P500 average, which is at 1.83.
Industry RankSector Rank
Dividend Yield 0.95%

5.2 History

  • On average, the dividend of TT grows each year by 12.03%, which is quite nice.
  • TT has been paying a dividend for at least 10 years, so it has a reliable track record.
  • TT has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)12.03%
Div Incr Years14
Div Non Decr Years14
TT Yearly Dividends per shareTT Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1 2 3

5.3 Sustainability

  • TT pays out 28.69% of its income as dividend. This is a sustainable payout ratio.
  • TT's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP28.69%
EPS Next 2Y15.01%
EPS Next 3Y13.91%
TT Yearly Income VS Free CF VS DividendTT Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B
TT Dividend Payout.TT Dividend Payout, showing the Payout Ratio.TT Dividend Payout.PayoutRetained Earnings

TRANE TECHNOLOGIES PLC

NYSE:TT (2/6/2026, 8:04:00 PM)

After market: 454.76 0 (0%)

454.76

+18.61 (+4.27%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)01-29
Earnings (Next)N/A
Inst Owners90.31%
Inst Owner Change-2.62%
Ins Owners0.25%
Ins Owner Change0.52%
Market Cap100.84B
Revenue(TTM)21.32B
Net Income(TTM)2.92B
Analysts73.33
Price Target490.08 (7.77%)
Short Float %1.63%
Short Ratio2.26
Dividend
Industry RankSector Rank
Dividend Yield 0.95%
Yearly Dividend3.75
Dividend Growth(5Y)12.03%
DP28.69%
Div Incr Years14
Div Non Decr Years14
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.8%
Min EPS beat(2)-1.24%
Max EPS beat(2)-0.35%
EPS beat(4)1
Avg EPS beat(4)1.31%
Min EPS beat(4)-1.24%
Max EPS beat(4)7.49%
EPS beat(8)4
Avg EPS beat(8)2.85%
EPS beat(12)7
Avg EPS beat(12)2.29%
EPS beat(16)10
Avg EPS beat(16)3.06%
Revenue beat(2)0
Avg Revenue beat(2)-2.71%
Min Revenue beat(2)-3.65%
Max Revenue beat(2)-1.78%
Revenue beat(4)1
Avg Revenue beat(4)-1.79%
Min Revenue beat(4)-3.65%
Max Revenue beat(4)1.64%
Revenue beat(8)3
Avg Revenue beat(8)-0.82%
Revenue beat(12)3
Avg Revenue beat(12)-1.17%
Revenue beat(16)6
Avg Revenue beat(16)-0.56%
PT rev (1m)-1.45%
PT rev (3m)3.53%
EPS NQ rev (1m)-0.29%
EPS NQ rev (3m)-1.69%
EPS NY rev (1m)-0.03%
EPS NY rev (3m)0.23%
Revenue NQ rev (1m)-0.11%
Revenue NQ rev (3m)-2.4%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)-0.92%
Valuation
Industry RankSector Rank
PE 34.79
Fwd PE 29.82
P/S 4.73
P/FCF 35.87
P/OCF 31.57
P/B 11.72
P/tB N/A
EV/EBITDA 22.92
EPS(TTM)13.07
EY2.87%
EPS(NY)15.25
Fwd EY3.35%
FCF(TTM)12.68
FCFY2.79%
OCF(TTM)14.41
OCFY3.17%
SpS96.16
BVpS38.79
TBVpS-4.93
PEG (NY)2.09
PEG (5Y)1.45
Graham Number106.8
Profitability
Industry RankSector Rank
ROA 13.63%
ROE 33.93%
ROCE 26.22%
ROIC 21.16%
ROICexc 23.95%
ROICexgc 87.1%
OM 18.61%
PM (TTM) 13.69%
GM 36.16%
FCFM 13.19%
ROA(3y)12.27%
ROA(5y)10.88%
ROE(3y)32.43%
ROE(5y)29.78%
ROIC(3y)19.58%
ROIC(5y)17.39%
ROICexc(3y)21.89%
ROICexc(5y)19.6%
ROICexgc(3y)88.65%
ROICexgc(5y)83.58%
ROCE(3y)24.26%
ROCE(5y)21.54%
ROICexgc growth 3Y2.38%
ROICexgc growth 5Y4.95%
ROICexc growth 3Y11.08%
ROICexc growth 5Y14.19%
OM growth 3Y7.15%
OM growth 5Y7.57%
PM growth 3Y7.6%
PM growth 5Y14.8%
GM growth 3Y5.21%
GM growth 5Y3.31%
F-Score9
Asset Turnover1
Health
Industry RankSector Rank
Debt/Equity 0.46
Debt/FCF 1.64
Debt/EBITDA 0.9
Cap/Depr 101.78%
Cap/Sales 1.8%
Interest Coverage 250
Cash Conversion 73.54%
Profit Quality 96.33%
Current Ratio 1.25
Quick Ratio 0.92
Altman-Z N/A
F-Score9
WACC7.49%
ROIC/WACC2.83
Cap/Depr(3y)95.28%
Cap/Depr(5y)90.1%
Cap/Sales(3y)1.79%
Cap/Sales(5y)1.75%
Profit Quality(3y)102.54%
Profit Quality(5y)94.51%
High Growth Momentum
Growth
EPS 1Y (TTM)16.49%
EPS 3Y21.04%
EPS 5Y24.05%
EPS Q2Q%9.58%
EPS Next Y16.68%
EPS Next 2Y15.01%
EPS Next 3Y13.91%
EPS Next 5Y8.77%
Revenue 1Y (TTM)7.48%
Revenue growth 3Y10.06%
Revenue growth 5Y11.35%
Sales Q2Q%5.56%
Revenue Next Year9.06%
Revenue Next 2Y8.47%
Revenue Next 3Y7.96%
Revenue Next 5Y7.07%
EBIT growth 1Y13.35%
EBIT growth 3Y17.93%
EBIT growth 5Y19.78%
EBIT Next Year20.49%
EBIT Next 3Y12.93%
EBIT Next 5Y7.52%
FCF growth 1Y1.32%
FCF growth 3Y32.37%
FCF growth 5Y16.88%
OCF growth 1Y1.55%
OCF growth 3Y28.54%
OCF growth 5Y17.36%

TRANE TECHNOLOGIES PLC / TT FAQ

What is the fundamental rating for TT stock?

ChartMill assigns a fundamental rating of 6 / 10 to TT.


Can you provide the valuation status for TRANE TECHNOLOGIES PLC?

ChartMill assigns a valuation rating of 2 / 10 to TRANE TECHNOLOGIES PLC (TT). This can be considered as Overvalued.


What is the profitability of TT stock?

TRANE TECHNOLOGIES PLC (TT) has a profitability rating of 9 / 10.


Can you provide the financial health for TT stock?

The financial health rating of TRANE TECHNOLOGIES PLC (TT) is 5 / 10.


What is the expected EPS growth for TRANE TECHNOLOGIES PLC (TT) stock?

The Earnings per Share (EPS) of TRANE TECHNOLOGIES PLC (TT) is expected to grow by 16.68% in the next year.