We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Here's Why Trane Technologies Stock is a Great Pick Right Now
Read MoreHide Full Article
Trane Technologies plc (TT - Free Report) is a technology services provider that has performed extremely well over the past year and is poised to sustain momentum in the near term. Consequently, if you haven’t taken advantage of the share price appreciation yet, it’s time you add the stock to your portfolio.
What Makes TT an Attractive Pick?
An Outperformer: A glimpse at the company’s price trend reveals that the stock has had an impressive run over the year. Shares of Trane Technologies have returned 94.6% compared with the 57.4% growth of the industry it belongs to and the 32.4% rise of the Zacks S&P 500 composite.
Image Source: Zacks Investment Research
Solid Rank: TT currently carries a Zacks Rank #2 (Buy).Our research shows that stocks with a Zacks Rank #1 (Strong Buy) or 2 offer attractive investment opportunities for investors.
Northward Estimate Revisions: Three estimates for 2024 moved north in the past 60 days versus no southward revision, reflecting analysts’ confidence in the company. The Zacks Consensus Estimate for 2024 earnings has moved up 1% in the past 60 days.
Positive Earnings Surprise History: TT has an impressive earnings surprise history. The company outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average earnings surprise of 8.1%.
Strong Growth Prospects: The Zacks Consensus Estimate for Trane Technologies’ 2024 revenues is pegged at $19.6 billion, indicating 10.6% year-over-year growth.The Zacks Consensus Estimate for 2024 earnings is pegged at $10.9 per share, suggesting a 20.4% year-over-year rise.
Growth Factors: Trane Technologies' proactive initiative toward sustainability is commendable, as it includes a commitment to reduce embodied carbon by 40% by 2030, an industry first. This effort underscores the company's leadership in sourcing low-carbon materials and embracing circular design principles. By collaborating with suppliers and emphasizing the decarbonization of HVAC systems, Trane is advancing its 2030 Sustainability Commitments and the Gigaton Challenge, reinforcing its role as a leader in climate innovation and significant greenhouse gas reductions.
Trane Technologies’ commitment to rewarding shareholders through dividends is commendable. The company has demonstrated a strong track record, paying dividends since 1910. TT paid $683.7 million in dividends in 2023, up from $620.2 million in 2022 and $561.1 million in 2021. In the fourth quarter of 2024, TT declared a quarterly dividend of 84 cents per ordinary share, or $3.36 per share annualized. The dividend is payable on Dec. 31, 2024, to shareholders of record on Dec. 6, 2024. These consistent dividend initiatives significantly boost investor confidence and reflect the company's dedication to returning value to its shareholders.
Inthe second quarter of 2024, TT recorded a backlog of $7.5 billion, increasing 19% on an organic basis from the preceding quarter. Such a strong backlog will support Trane Technologies' growth through 2024 and 2025.
Image: Shutterstock
Here's Why Trane Technologies Stock is a Great Pick Right Now
Trane Technologies plc (TT - Free Report) is a technology services provider that has performed extremely well over the past year and is poised to sustain momentum in the near term. Consequently, if you haven’t taken advantage of the share price appreciation yet, it’s time you add the stock to your portfolio.
What Makes TT an Attractive Pick?
An Outperformer: A glimpse at the company’s price trend reveals that the stock has had an impressive run over the year. Shares of Trane Technologies have returned 94.6% compared with the 57.4% growth of the industry it belongs to and the 32.4% rise of the Zacks S&P 500 composite.
Image Source: Zacks Investment Research
Solid Rank: TT currently carries a Zacks Rank #2 (Buy).Our research shows that stocks with a Zacks Rank #1 (Strong Buy) or 2 offer attractive investment opportunities for investors.
Northward Estimate Revisions: Three estimates for 2024 moved north in the past 60 days versus no southward revision, reflecting analysts’ confidence in the company. The Zacks Consensus Estimate for 2024 earnings has moved up 1% in the past 60 days.
Positive Earnings Surprise History: TT has an impressive earnings surprise history. The company outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average earnings surprise of 8.1%.
Strong Growth Prospects: The Zacks Consensus Estimate for Trane Technologies’ 2024 revenues is pegged at $19.6 billion, indicating 10.6% year-over-year growth.The Zacks Consensus Estimate for 2024 earnings is pegged at $10.9 per share, suggesting a 20.4% year-over-year rise.
Growth Factors: Trane Technologies' proactive initiative toward sustainability is commendable, as it includes a commitment to reduce embodied carbon by 40% by 2030, an industry first. This effort underscores the company's leadership in sourcing low-carbon materials and embracing circular design principles. By collaborating with suppliers and emphasizing the decarbonization of HVAC systems, Trane is advancing its 2030 Sustainability Commitments and the Gigaton Challenge, reinforcing its role as a leader in climate innovation and significant greenhouse gas reductions.
Trane Technologies’ commitment to rewarding shareholders through dividends is commendable. The company has demonstrated a strong track record, paying dividends since 1910. TT paid $683.7 million in dividends in 2023, up from $620.2 million in 2022 and $561.1 million in 2021. In the fourth quarter of 2024, TT declared a quarterly dividend of 84 cents per ordinary share, or $3.36 per share annualized. The dividend is payable on Dec. 31, 2024, to shareholders of record on Dec. 6, 2024. These consistent dividend initiatives significantly boost investor confidence and reflect the company's dedication to returning value to its shareholders.
Inthe second quarter of 2024, TT recorded a backlog of $7.5 billion, increasing 19% on an organic basis from the preceding quarter. Such a strong backlog will support Trane Technologies' growth through 2024 and 2025.
Other Stocks to Consider
Some other top-ranked stocks in the broader Zacks Business Services sector are Docusign (DOCU - Free Report) and Accolade, Inc. (ACCD - Free Report) .
Docusign flaunts a Zacks Rank of 1 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
DOCU has a long-term earnings growth anticipation of 9.3%. It has delivered a trailing four-quarter earnings surprise of 18.3%, on average.
ACCD too sports a Zacks Rank of 1 at present. It has a long-term earnings growth expectation of 11.4%.
Accolade delivered a trailing four-quarter earnings surprise of 27.2%, on average.