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Trane Technologies plc (TT), headquartered in Swords, Ireland, designs, manufactures, sells, and services solutions for heating, ventilation, air conditioning, custom, and custom and transport refrigeration in Ireland and internationally. Valued at $74.61 billion by market cap, the company offers air conditioners, exchangers and handlers, airside and terminal devices, air-sourced heat pumps, auxiliary power units, chillers, coils and condensers, gensets, dehumidifiers, large and light commercial unitary products amongst others.
Companies worth $10 billion or more are generally described as “large-cap stocks,” TT fits that description, signifying its substantial size, stability, and dominance in its industry. Through its strategic brands, Trane and Thermo King, and its portfolio of environmentally responsible products and services, it provides efficient and sustainable climate solutions for buildings, homes, and transportation.
The leading building technology and energy solutions company has fallen 2.5% from its 52-week high of $338.09, which it hit on May 24. Shares of TT are up 13% over the past three months, outperforming the broader Global Industrials iShares ETF (EXI), which registered a 1.7% loss over the same time frame.
In the long term, TT shares have risen 76.1% over the past year, and in 2024, the stock is up 35.1%. By contrast, the EXI is up 5% on a YTD basis and 11.8% over the past 52 weeks.
The stock has been trading above its 50-day moving average since late April and above its 200-day moving average since late October 2023, indicating a bullish price trend.
On Apr. 30, TT shares closed up more than 5% after the company raised its guidance for full-year EPS continuing operations to between $10.40 and $10.50, up from the previous estimate of between $10.00 and $10.30.
To emphasize the stock’s outperformance, rival Ingersoll Rand Inc. (IR) has underperformed TT. IR stock has gained 41.7% in the past 52 weeks and is up 18.2% on a YTD basis.
With its recent outperformance compared to the industrial sector, analysts remain optimistic about TT’s prospects. The stock has a consensus rating of “Moderate Buy” from the 18 analysts covering it, but the mean price target of $337.62 is only a 2.4% premium to current levels.
On the date of publication, Dipanjan Banchur did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
