Why is Trane Technologies Plc ?
1
High Management Efficiency with a high ROCE of 25.68%
2
Company has a low Debt to Equity ratio (avg) at times
3
Strong Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 25.68%
4
The company has declared Positive results for the last 5 consecutive quarters
- OPERATING CASH FLOW(Y) Highest at USD 3,231.98 MM
- ROCE(HY) Highest at 38.89%
- DEBT-EQUITY RATIO (HY) Lowest at 49.03 %
5
With ROCE of 32.32%, it has a expensive valuation with a 9.65 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 0.81%, its profits have risen by 26.2% ; the PEG ratio of the company is 1.4
How much should you buy?
- Overall Portfolio exposure to Trane Technologies Plc should be less than 10%
- Overall Portfolio exposure to Industrial Manufacturing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Trane Technologies Plc for you?
Low Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Trane Technologies Plc
24.01%
0.85
28.49%
S&P 500
17.45%
0.70
20.15%
Quality key factors
Factor
Value
Sales Growth (5y)
11.35%
EBIT Growth (5y)
19.96%
EBIT to Interest (avg)
11.20
Debt to EBITDA (avg)
1.22
Net Debt to Equity (avg)
0.52
Sales to Capital Employed (avg)
1.57
Tax Ratio
19.08%
Dividend Payout Ratio
28.97%
Pledged Shares
0
Institutional Holding
90.62%
ROCE (avg)
25.68%
ROE (avg)
28.92%
Valuation Key Factors 
Factor
Value
P/E Ratio
36
Industry P/E
Price to Book Value
13.19
EV to EBIT
28.09
EV to EBITDA
25.49
EV to Capital Employed
9.18
EV to Sales
5.17
PEG Ratio
1.56
Dividend Yield
0.80%
ROCE (Latest)
32.69%
ROE (Latest)
36.98%
7What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 3,292.5 MM
DIVIDEND PER SHARE(HY)
Highest at USD 5.91
INVENTORY TURNOVER RATIO(HY)
Highest at 6.68 times
DEBTORS TURNOVER RATIO(HY)
Highest at 5.91 times
-2What is not working for the Company
OPERATING PROFIT MARGIN(Q)
Lowest at 17.94 %
EPS(Q)
Lowest at USD 2.64
Here's what is working for Trane Technologies Plc
Operating Cash Flow
Highest at USD 3,292.5 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Dividend per share
Highest at USD 5.91 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Inventory Turnover Ratio
Highest at 6.68 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Debtors Turnover Ratio
Highest at 5.91 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Here's what is not working for Trane Technologies Plc
Operating Profit Margin
Lowest at 17.94 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
EPS
Lowest at USD 2.64
in the last five periodsMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (USD)






