Historical Valuation
Trane Technologies PLC (TT) is now in the Fair zone, suggesting that its current forward PE ratio of 27.68 is considered Fairly compared with the five-year average of 25.62. The fair price of Trane Technologies PLC (TT) is between 372.84 to 471.59 according to relative valuation methord.
Relative Value
Fair Zone
372.84-471.59
Current Price：378.36
Fair
P/E
EV/EBITDA
EV/EBIT
P/S
P/OCF
P/FCF
1Y
3Y
5Y
Trailing
Forward
Trane Technologies PLC (TT) has a current Price-to-Book (P/B) ratio of 10.61. Compared to its 3-year average P/B ratio of 9.72 , the current P/B ratio is approximately 9.16% higher. Relative to its 5-year average P/B ratio of 8.35, the current P/B ratio is about 27.02% higher. Trane Technologies PLC (TT) has a Forward Free Cash Flow (FCF) yield of approximately 2.87%. Compared to its 3-year average FCF yield of 3.24%, the current FCF yield is approximately -11.34% lower. Relative to its 5-year average FCF yield of 3.29% , the current FCF yield is about -12.85% lower.
P/B
Median3y
9.72
Median5y
8.35
FCF Yield
Median3y
3.24
Median5y
3.29
Competitors Valuation Multiple
AI Analysis for TT
The average P/S ratio for TT competitors is 3.46, providing a benchmark for relative valuation. Trane Technologies PLC Corp (TT.N) exhibits a P/S ratio of 3.94, which is 14.04% above the industry average. Given its robust revenue growth of 5.54%, this premium appears unsustainable.
Performance Decomposition
AI Analysis for TT
1Y
3Y
5Y
Market capitalization of TT increased by 0.00% over the past 1 year. The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.
The secondary factor is the Unknown, contributed 0.00%to the performance.
Overall, the performance of TT in the past 1 year is driven by Unknown.
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Frequently Asked Questions
Is TT currently overvalued or undervalued?
Trane Technologies PLC (TT) is now in the Fair zone, suggesting that its current forward PE ratio of 27.68 is considered Fairly compared with the five-year average of 25.62. The fair price of Trane Technologies PLC (TT) is between 372.84 to 471.59 according to relative valuation methord.
What is Trane Technologies PLC (TT) fair value?
TT's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Trane Technologies PLC (TT) is between 372.84 to 471.59 according to relative valuation methord.
How does TT's valuation metrics compare to the industry average?
The average P/S ratio for TT's competitors is 3.46, providing a benchmark for relative valuation. Trane Technologies PLC Corp (TT) exhibits a P/S ratio of 3.94, which is 14.04% above the industry average. Given its robust revenue growth of 5.54%, this premium appears unsustainable.
What is the current P/B ratio for Trane Technologies PLC (TT) as of Jan 10 2026?
As of Jan 10 2026, Trane Technologies PLC (TT) has a P/B ratio of 10.61. This indicates that the market values TT at 10.61 times its book value.
What is the current FCF Yield for Trane Technologies PLC (TT) as of Jan 10 2026?
As of Jan 10 2026, Trane Technologies PLC (TT) has a FCF Yield of 2.87%. This means that for every dollar of Trane Technologies PLC’s market capitalization, the company generates 2.87 cents in free cash flow.
What is the current Forward P/E ratio for Trane Technologies PLC (TT) as of Jan 10 2026?
As of Jan 10 2026, Trane Technologies PLC (TT) has a Forward P/E ratio of 27.68. This means the market is willing to pay $27.68 for every dollar of Trane Technologies PLC’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Trane Technologies PLC (TT) as of Jan 10 2026?
As of Jan 10 2026, Trane Technologies PLC (TT) has a Forward P/S ratio of 3.94. This means the market is valuing TT at $3.94 for every dollar of expected revenue over the next 12 months.