Trane Technologies plc

LSE:0Y2S Stock Report

Market Cap: US$106.8b

Trane Technologies Valuation

Is 0Y2S undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of 0Y2S when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: 0Y2S ($480.37) is trading above our estimate of future cash flow value ($439.88)

Significantly Below Future Cash Flow Value: 0Y2S is trading above our estimate of future cash flow value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0Y2S?

Key metric: As 0Y2S is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0Y2S. This is calculated by dividing 0Y2S's market cap by their current earnings.
What is 0Y2S's PE Ratio?
PE Ratio36.4x
EarningsUS$2.94b
Market CapUS$106.80b

Price to Earnings Ratio vs Peers

How does 0Y2S's PE Ratio compare to its peers?

The above table shows the PE ratio for 0Y2S vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average20.9x
FAN Volution Group
23.2x12.76%UK£1.2b
BA. BAE Systems
25.1x12.03%UK£51.8b
RR. Rolls-Royce Holdings
20.1x-3.09%UK£117.1b
GEN Genuit Group
15.2x13.61%UK£686.2m
0Y2S Trane Technologies
36.4x13.15%US$106.8b

Price-To-Earnings vs Peers: 0Y2S is expensive based on its Price-To-Earnings Ratio (36.4x) compared to the peer average (20.9x).


Historical Price to Earnings Ratio

Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data


Price to Earnings Ratio vs Industry

How does 0Y2S's PE Ratio compare vs other companies in the European Building Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
0Y2S 36.4xIndustry Avg. 21.6xNo. of Companies9PE01224364860+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0Y2S is expensive based on its Price-To-Earnings Ratio (36.4x) compared to the European Building industry average (21.6x).


Price to Earnings Ratio vs Fair Ratio

What is 0Y2S'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.

0Y2S PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio36.4x
Fair PE Ratio33.2x

Price-To-Earnings vs Fair Ratio: 0Y2S is expensive based on its Price-To-Earnings Ratio (36.4x) compared to the estimated Fair Price-To-Earnings Ratio (33.2x).


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 0Y2S forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$88.17
US$521.51
+491.49%
8.78%US$585.00US$402.00n/a23
Jun ’27US$449.58
US$520.22
+15.71%
8.92%US$585.00US$402.00n/a22
May ’27US$488.04
US$512.75
+5.07%
9.22%US$585.00US$402.00n/a23
Apr ’27US$431.68
US$479.59
+11.10%
9.40%US$560.00US$394.00n/a21
Mar ’27US$459.59
US$479.73
+4.38%
9.40%US$560.00US$394.00n/a21
Feb ’27US$418.46
US$484.02
+15.67%
8.64%US$560.00US$400.00n/a20
Jan ’27US$390.89
US$480.18
+22.84%
9.13%US$550.00US$375.00n/a19
Dec ’26US$415.65
US$482.02
+15.97%
8.22%US$550.00US$415.00n/a18
Nov ’26US$451.62
US$477.69
+5.77%
7.59%US$550.00US$415.00n/a18
Oct ’26US$423.81
US$456.23
+7.65%
12.03%US$544.00US$271.00n/a19
Sep ’26US$415.77
US$458.44
+10.26%
12.33%US$544.00US$265.00n/a19
Aug ’26US$435.16
US$455.28
+4.62%
11.79%US$520.00US$265.00n/a19
Jul ’26US$436.72
US$416.37
-4.66%
14.22%US$500.00US$254.00n/a21
Jun ’26US$429.95
US$413.85
-3.74%
14.44%US$500.00US$254.00US$449.5821
May ’26US$394.70
US$395.08
+0.097%
15.48%US$476.00US$237.34US$488.0421
Apr ’26US$340.82
US$398.90
+17.04%
14.88%US$476.00US$237.34US$431.6822
Mar ’26US$347.72
US$403.56
+16.06%
15.11%US$500.00US$237.34US$459.5921
Feb ’26US$362.37
US$414.04
+14.26%
13.39%US$500.00US$223.00US$418.4621
Jan ’26US$369.72
US$414.62
+12.14%
13.59%US$500.00US$223.00US$390.8923
Dec ’25US$416.22
US$409.74
-1.56%
12.96%US$500.00US$223.00US$415.6522
Nov ’25US$376.98
US$393.96
+4.50%
11.71%US$457.00US$223.00US$451.6220
Oct ’25US$385.93
US$358.83
-7.02%
11.69%US$425.00US$212.00US$423.8121
Sep ’25US$356.50
US$350.03
-1.82%
10.95%US$394.00US$212.00US$415.7720
Aug ’25US$330.38
US$344.19
+4.18%
11.44%US$394.00US$212.00US$435.1620
Jul ’25US$323.70
US$329.80
+1.89%
11.82%US$380.00US$203.00US$436.7221
Jun ’25US$322.83
US$324.49
+0.51%
11.23%US$375.00US$203.00US$429.9520
US$518.51
Fair Value
7.4% undervalued intrinsic discount
23
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 Analysis2026/06/25 16:05
End of Day Share Price 2026/06/24 00:00
Earnings2026/03/31
Annual Earnings2025/12/31

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.

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 Github.

Analyst Sources

Trane Technologies plc is covered by 39 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