# Trane Technologies plc (TT) fundamentals

Data as of 2026-11-04. NYSE, United States. Sector: Industrials / Building Products. Price $417.44, market value $91.4 billion.

## Valuation
- **P/E (trailing): 29.0×** (5-yr avg 28.7×, 3-yr avg 29.8×). Trane Technologies plc trades at 29.0× trailing earnings, close to its own five-year average of 28.7×. The Industrials median in the September 2026 study was 25.7×. Forward P/E is 23.6×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 1.52**. A PEG of 1.52 is in the range usually read as fairly priced for its growth.
- **Price / sales: 3.9×**. Each dollar of revenue is priced at 3.9×.
- **Price / book: 10.0×**. The shares trade at 10.0× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 20.6×**. Enterprise value is 20.6× operating earnings before depreciation, the multiple that ignores how the company is financed; above 20× is demanding.
- **Free-cash-flow yield: 4.2%** (5-yr avg 3.3%). Free cash flow equals 4.2% of the market value, above its five-year average of 3.3%, so the shares are cheaper on cash than they have usually been.
- **Earnings yield: 3.4%**. The inverse of the P/E: 3.4% of the price is earned each year.

## Profitability
- **Operating margin: 17.9%**. 17.9% of revenue is left after running the business, a healthy level in most sectors.
- **Net margin: 13.7%**. 13.7% of each dollar of sales reaches the bottom line.
- **Return on equity: 34.0%**. 34.0% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 28.8%**. Return on all capital, debt included, is 28.8%: comfortably above what that capital costs.
- **Return on assets: 14.7%**. Each dollar of assets produces 14.7% of profit.

## Growth
- **Revenue growth (1 yr): 7.5%** (3-yr 10.1%/yr, 5-yr 11.4%/yr). Revenue grew 7.5% over the last year, against 11.4% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): 15.5%** (3-yr 20.2%/yr, 5-yr 29.8%/yr). Earnings per share rose 15.5%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): 32.4%/yr**. Free cash flow has compounded at 32.4% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 0.54**. Debt is 0.54 times equity, moderate leverage.
- **Net debt / EBITDA: 0.6×**. It would take 0.6 years of operating earnings to repay net borrowings, within the comfortable range.
- **Current ratio: 1.25** (quick 1.25). Current assets cover the next year's liabilities 1.25 times.
- **Altman Z-score: 6.53**. A Z-score of 6.53 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 8/9**. 8 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 1.01%** ($4.09 per share, trailing). Trane Technologies plc yields 1.01%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 29%** (24% of free cash flow). 29% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 15**. 15 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 10.7%/yr** (1-yr 4.9%). The dividend has compounded at 10.7% a year over five years, doubling roughly every 7 years at that pace.

## Analyst view
- **Analyst consensus: buy** (23 analysts). 23 analysts cover Trane Technologies plc; the consensus is buy, with an average price target of $518.43 (+24% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -7.4%** (YTD 6.7%, 3-mo -10.4%). The shares are down 7.4% over twelve months including dividends.
- **From 52-week high: -17.5%** (19.9% above the low). Trading 17% below its 52-week high.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 33**. An RSI of 33 is neutral.
- **Beta (1 yr): 1.14** (volatility 29%). Beta of 1.14 against the S&P 500: the shares move roughly with the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=TT · Page: https://foliofundamentals.com/stocks/tt

Not investment advice.