TT Stock Analysis: Trane Technologies | NYSE
Building Products & Equipment | NYSE, USA | Market Cap: 100.240m USD | 12M Return: 11.9% | IE00BK9ZQ967 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 496M
EPS Trend: 98.8%
Qual. Beats: 0
Rev. Trend: 99.1%
Qual. Beats: 2
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Trane Technologies plc (NYSE: TT) is a global manufacturer of heating, ventilation, and air conditioning (HVAC) systems and transport refrigeration solutions, serving residential, commercial, and industrial end markets. Its product portfolio spans air conditioners, chillers, heat pumps, air handlers, geothermal systems, and variable refrigerant flow (VRF) equipment, alongside container, truck, trailer, and rail refrigeration units. The company also provides controls, building management systems, telematics, and aftermarket services, including installation, maintenance, and energy efficiency programs. Originally founded in 1885 and formerly known as Ingersoll-Rand Plc, the company rebranded as Trane Technologies in March 2020 and is headquartered in Swords, Ireland.
The company operates within the Industrials sector (GICS Sub Industry: Building Products) and benefits from long-term demand drivers such as global construction activity, stricter building energy efficiency codes, and the broader transition toward electrification and decarbonization of heating and cooling systems. Its dual exposure to building HVAC and transport refrigeration provides diversification across both stationary infrastructure and mobile cold-chain applications.
- Data center cooling demand boosts commercial HVAC segment revenue
- Heat pump adoption accelerates on energy efficiency regulations
- Americas segment margins expand on pricing power and mix
| Net Income: 2.95b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.16 > 0.02 and ΔFCF/TA 2.28 > 1.0 |
| NWC/Revenue: 2.77% < 20% (prev 3.41%; Δ -0.63% < -1%) |
| CFO/TA 0.16 > 3% & CFO 3.92b > Net Income 2.95b |
| Net Debt (3.30b) to EBITDA (4.34b): 0.76 < 3 |
| Current Ratio: 1.07 > 1.5 & < 3 |
| Outstanding Shares: last quarter (223.1m) vs 12m ago -0.89% < -2% |
| Gross Margin: 35.39% > 18% (prev 36.26%; Δ -0.87% > 0.5%) |
| Asset Turnover: 98.90% > 50% (prev 98.85%; Δ 0.04% > 0%) |
| Interest Coverage Ratio: 17.97 > 6 (EBIT TTM 3.95b / Interest Expense TTM 219.9m) |
| A: 0.03 (Total Current Assets 9.01b - Total Current Liabilities 8.39b) / Total Assets 23.9b |
| B: 0.44 (Retained Earnings 10.5b / Total Assets 23.9b) |
| C: 0.18 (EBIT TTM 3.95b / Avg Total Assets 22.5b) |
| D: 0.57 (Book Value of Equity 8.65b / Total Liabilities 15.3b) |
| Altman-Z'' = 3.38 = A |
| DSRI: 0.97 (Receivables 4.23b/4.07b, Revenue 22.2b/20.8b) |
| GMI: 1.02 (GM 36.26% / 35.39%) |
| AQI: 0.97 (AQ_t 0.52 / AQ_t-1 0.54) |
| SGI: 1.07 (Revenue 22.2b / 20.8b) |
| TATA: -0.04 (NI 2.95b - CFO 3.92b) / TA 23.9b) |
| Beneish M = -3.00 (Cap -4..+1) = A |
As of October 06, 2026, the stock is trading at USD 470.76 with a total of 1,371,014 shares traded. Over the past week, the price has changed by +4.14%, over one month by +5.55%, over three months by -3.15% and over the past year by +11.87%.
Current recommended Stop Loss: 456.10 (which is 3.1% or 1.4 ATR below the current price).
Trane Technologies has received a consensus analysts rating of 3.80. Therefore, it is recommended to hold TT.
- StrongBuy: 10
- Buy: 3
- Hold: 10
- Sell: 1
- StrongSell: 1
| Analysts Target Price | 527.4 | 12% |
P/E Trailing = 33.6726
P/E Forward = 25.1889
P/S = 4.5133
P/B = 11.1715
P/EG = 1.5456
Revenue TTM = 22.2b USD
EBIT TTM = 3.95b USD
EBITDA TTM = 4.34b USD
Long Term Debt = 3.92b USD (from longTermDebt, last quarter)
Short Term Debt = 693.1m USD (from shortTermDebt, last quarter)
Debt = 4.62b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 3.30b USD (calculated: Debt 4.62b - CCE 1.32b)
Enterprise Value = 104b USD (100b + Debt 4.62b - CCE 1.32b)
Interest Coverage Ratio = 17.97 (Ebit TTM 3.95b / Interest Expense TTM 219.9m)
EV/FCF = 27.60x (Enterprise Value 104b / FCF TTM 3.75b)
FCF Yield = 3.62% (FCF TTM 3.75b / Enterprise Value 104b)
FCF Margin = 16.89% (FCF TTM 3.75b / Revenue TTM 22.2b)
Net Margin = 13.28% (Net Income TTM 2.95b / Revenue TTM 22.2b)
Gross Margin = 35.39% ((Revenue TTM 22.2b - Cost of Revenue TTM 14.3b) / Revenue TTM)
Gross Margin QoQ = 35.57% (prev 34.77%)
Tobins Q-Ratio = 4.33 (Enterprise Value 104b / Total Assets 23.9b)
Interest Expense / Debt = 4.76% (Interest Expense 219.9m / Debt 4.62b)
Taxrate = 18.99% (708.8m / 3.73b)
NOPAT = 3.20b (EBIT 3.95b * (1 - 18.99%))
Current Ratio = 1.07 (Total Current Assets 9.01b / Total Current Liabilities 8.39b)
Debt / Equity = 0.53 (Debt 4.62b / totalStockholderEquity, last quarter 8.65b)
Debt / EBITDA = 0.76 (Net Debt 3.30b / EBITDA 4.34b)
Debt / FCF = 0.88 (Net Debt 3.30b / FCF TTM 3.75b)
Total Stockholder Equity = 8.55b (last 4 quarters mean from totalStockholderEquity)
RoA = 13.13% (Net Income 2.95b / Total Assets 23.9b)
RoE = 34.49% (Net Income TTM 2.95b / Total Stockholder Equity 8.55b)
RoCE = 31.68% (EBIT 3.95b / Capital Employed (Equity 8.55b + L.T.Debt 3.92b))
RoIC = 21.18% (NOPAT 3.20b / Invested Capital 15.1b)
WACC = 9.79% (E(100b)/V(105b) * Re(10.06%) + D(4.62b)/V(105b) * Rd(4.76%) * (1-Tc(0.19)))
Discount Rate = 10.06% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -99.02 | Cagr: -1.25%
[DCF] Terminal Value 73.46% ; FCFF base≈3.38b ; Y1≈3.87b ; Y5≈5.69b
[DCF] Fair Price = 295.7 (EV 68.4b - Net Debt 3.30b = Equity 65.1b / Shares 220.0m; r=9.79% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 98.83 | EPS CAGR: 18.56% | SUE: 0.56 | # QB: 0
Revenue Correlation: 99.10 | Revenue CAGR: 9.39% | SUE: 1.63 | # QB: 2
EPS current Quarter (2026-09-30): EPS=4.72 | Chg30d=+0.57% | Revisions=+0% | Analysts=19
EPS current Year (2026-12-31): EPS=15.26 | Chg30d=+0.07% | Revisions=+25% | GrowthEPS=+16.9% | GrowthRev=+11.3%
EPS next Year (2027-12-31): EPS=17.57 | Chg30d=+0.52% | Revisions=+44% | GrowthEPS=+15.1% | GrowthRev=+9.3%
[Analyst] Revisions Ratio: +50% (up=6, down=1)