Trane Technologies plc

BUL:2IS Stock Report

Market Cap: €82.9b

Trane Technologies Valuation

Is 2IS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 2IS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
€187.89
Fair Value
95.7% overvalued intrinsic discount
22
Number of Analysts

Below Fair Value: 2IS (€367.7) is trading above our estimate of fair value (€187.89)

Significantly Below Fair Value: 2IS is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 2IS?

Key metric: As 2IS is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 2IS. This is calculated by dividing 2IS's market cap by their current earnings.
What is 2IS's PE Ratio?
PE Ratio34.2x
EarningsUS$2.50b
Market CapUS$85.50b

Price to Earnings Ratio vs Peers

How does 2IS's PE Ratio compare to its peers?

The above table shows the PE ratio for 2IS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average28.3x
CARR Carrier Global
40x18.4%US$61.2b
JCI Johnson Controls International
37.7x16.0%US$52.4b
SGO Compagnie de Saint-Gobain
14.9x8.6%€42.5b
6367 Daikin IndustriesLtd
20.8x9.3%JP¥5.4t
2IS Trane Technologies
34.2x8.9%€85.5b

Price-To-Earnings vs Peers: 2IS is expensive based on its Price-To-Earnings Ratio (34.2x) compared to the peer average (28.3x).

Price to Earnings Ratio vs Industry

How does 2IS's PE Ratio compare vs other companies in the European Building Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
2IS 34.2xIndustry Avg. 19.9xNo. of Companies11PE01224364860+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 2IS is expensive based on its Price-To-Earnings Ratio (34.2x) compared to the European Building industry average (20.3x).

Price to Earnings Ratio vs Fair Ratio

What is 2IS's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

2IS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio34.2x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 2IS's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 2IS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€367.70
€400.45
+8.9%
13.9%€483.20€215.51n/a22
Jan ’26€361.45
€394.55
+9.2%
13.6%€475.80€212.21n/a23
Dec ’25€396.20
€387.82
-2.1%
13.0%€473.25€211.07n/a22
Nov ’25€345.45
€362.21
+4.9%
11.7%€420.17€205.03n/a20
Oct ’25€349.55
€324.17
-7.3%
11.7%€383.95€191.52n/a21
Sep ’25€323.05
€318.31
-1.5%
11.0%€358.30€192.79n/a20
Aug ’25€315.10
€318.96
+1.2%
11.4%€365.12€196.46n/a20
Jul ’25€304.35
€308.79
+1.5%
11.8%€355.79€190.07n/a21
Jun ’25€299.70
€299.12
-0.2%
11.2%€345.68€187.13n/a20
May ’25€301.35
€286.67
-4.9%
15.3%€342.32€178.00n/a21
Apr ’25€277.60
€251.44
-9.4%
13.3%€303.96€167.64n/a21
Mar ’25€262.60
€251.15
-4.4%
13.0%€305.32€168.39n/a21
Feb ’25€243.45
€227.47
-6.6%
12.6%€265.88€149.96n/a21
Jan ’25€220.45
€212.59
-3.6%
10.6%€245.97€149.05€361.4521
Dec ’24€208.85
€205.81
-1.5%
10.2%€233.32€148.56€396.2021
Nov ’24€198.73
€207.35
+4.3%
10.9%€242.25€154.25€345.4520
Oct ’24€194.43
€201.52
+3.6%
12.2%€243.69€144.69€349.5520
Sep ’24€189.68
€189.20
-0.2%
11.7%€224.45€138.12€323.0519
Aug ’24€183.28
€176.58
-3.7%
12.0%€223.29€128.37€315.1018
Jul ’24€175.53
€176.45
+0.5%
12.2%€225.42€130.65€304.3518
Jun ’24€151.93
€178.62
+17.6%
12.0%€229.25€132.87€299.7019
May ’24€168.88
€171.06
+1.3%
13.9%€221.75€126.71€301.3518
Apr ’24€168.03
€177.65
+5.7%
12.9%€219.02€130.48€277.6018
Mar ’24€174.66
€176.45
+1.0%
12.5%€220.17€131.17€262.6018
Feb ’24€163.15
€161.18
-1.2%
13.0%€195.44€116.16€243.4518
Jan ’24€160.18
€159.07
-0.7%
13.1%€198.43€117.94€220.4518
Analyst Price Target
Consensus Narrative from 22 Analysts
€401.00
Fair Value
8.3% undervalued intrinsic discount
22
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/08 19:32
End of Day Share Price 2025/01/08 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Trane Technologies plc is covered by 44 analysts. 24 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
John EadeArgus Research Company
Timothy WojsBaird
Julian MitchellBarclays