Trane Technologies (TT)
NYSEIndustrialsBuilding Products & EquipmentSnapshot 2026-07-07
$475.77-2.35%
Close 2026-07-07 · 1-day change
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Track TT free→Trane Technologies grows revenue about 9.5% in 2026. Profit per share rises toward $14.75 to $14.95. The company manages capital well, generating strong cash flow. Recent earnings beats show execution strength.
Revenue growth slows below 7%. Profit per share stalls well below $14.75. Capital allocation fails to improve cash returns. Rising costs or weak demand could pressure margins.
The price is about 34% above our fair value and reflects roughly 11.5% revenue growth. Our fair value is below the Street median, so the market prices a premium that we view as stretched.
Breaks if: Annual cash from operations falls significantly below $2.5 billion
Focus on strategic capital deployment, including dividends, M&A, and share repurchases.
Stated in 2 of last 2 quarters. Cash from operating activities was $626.2 million in 2026-Q1. The company continues to emphasize capital allocation, but the financials show limited progress in deploying excess cash to shareholders.
Breaks if: EPS falls below $13.0 in FY26
Management aims to achieve GAAP and adjusted EPS between $14.75 and $14.95 for the full year 2026.
Stated in 3 of last 3 quarters. EPS was $2.62 in 2026-Q1, indicating a need for significant improvement to reach the full-year target of $14.75 to $14.95. Progress is limited so far.
Breaks if: YoY revenue growth falls below ~7% in FY26
Management aims for a 9.5% increase in reported revenue for the full year 2026 compared to 2025.
Stated in 3 of last 3 quarters. Revenue grew from $4.688 billion in 2025-Q1 to $4.969 billion in 2026-Q1. The trajectory shows progress towards the 9.5% growth target, but further acceleration is needed to meet the full-year goal.
Standing thesis, reviewed periodically — not a price target or advice.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
“The Company expects to pay a competitive and growing dividend and to deploy 100 percent of excess cash to shareholders over time.”
“The Company expects to continue to pay a competitive and growing dividend and to deploy 100 percent of excess cash to shareholders over time.”
“The Company expects GAAP and adjusted continuing EPS for full-year 2026 of approximately $14.75 to $14.95.”
“The Company expects GAAP and adjusted continuing EPS for full-year 2026 of $14.65 to $14.85.”
“The Company expects GAAP and adjusted continuing EPS for full-year 2026 of $14.65 to $14.85.”
“The Company expects full-year 2026 reported revenue growth of approximately 9.5 percent.”
“The Company expects full-year 2026 reported revenue growth of approximately 8.5 percent to 9.5 percent.”
“The Company expects full-year 2026 reported revenue growth of approximately 8.5 percent to 9.5 percent.”