Examining the Quality Attributes of NYSE:TT.

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if TRANE TECHNOLOGIES PLC (NYSE:TT) is suited for quality investing. Investors should of course do their own research, but we spotted TRANE TECHNOLOGIES PLC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Exploring Why NYSE:TT Holds Appeal for Quality Investors.

• The 5-year revenue growth of TRANE TECHNOLOGIES PLC has been remarkable, with 7.45% increase. This showcases the company's strong performance in driving revenue growth and indicates its competitiveness within the market.
• The ROIC excluding cash and goodwill of TRANE TECHNOLOGIES PLC stands at 87.25%, reflecting the company's strong financial management and profitability. This metric underscores its ability to generate favorable returns on the capital invested in its core operations.
• The Debt/Free Cash Flow Ratio of TRANE TECHNOLOGIES PLC stands at 2.29, reflecting the company's prudent capital structure and cash flow dynamics. This ratio highlights the company's ability to generate robust free cash flow relative to its debt obligations.
• TRANE TECHNOLOGIES PLC demonstrates consistent Profit Quality over the past 5 years, with a strong 107.0%. This indicates the company's ability to generate sustainable and reliable profits, showcasing its long-term profitability and financial stability.
• With a robust 5-year EBIT growth of 13.21%, TRANE TECHNOLOGIES PLC showcases its ability to consistently expand its operating profitability. This trend indicates the company's effective cost management and revenue generation strategies.
• TRANE TECHNOLOGIES PLC demonstrates a remarkable trend where its EBIT 5-year growth exceeds its Revenue 5-year growth. This indicates the company's ability to enhance its profitability through improved cost control and operational efficiency.

Fundamental analysis of NYSE:TT

As part of its analysis, ChartMill provides a comprehensive Fundamental Rating for each stock. This rating, ranging from 0 to 10, is updated on a daily basis and is based on the evaluation of various fundamental indicators and properties.

We assign a fundamental rating of 5 out of 10 to TT. TT was compared to 43 industry peers in the Building Products industry. While TT belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. TT is valied quite expensively at the moment, while it does show a decent growth rate.

Check the latest full fundamental report of TT for a complete fundamental analysis.

More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.

Keep in mind

This article should in no way be interpreted as advice in any way. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.