Market Cap
US$4.5b
Last Updated
2020/04/10 03:42 UTC
Data Sources
Company Financials +
Executive Summary
ITT Inc. manufactures and sells engineered critical components and customized technology solutions for the energy, transportation, and industrial markets worldwide.
Rewards
Risk Analysis
Snowflake Analysis
Excellent balance sheet and fair value.
Similar Companies
Share Price & News
How has ITT's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ITT's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
15.0%
ITT
11.0%
US Machinery
9.4%
US Market
1 Year Return
-18.1%
ITT
-16.6%
US Machinery
-6.8%
US Market
Return vs Industry: ITT exceeded the US Machinery industry which returned -17% over the past year.
Return vs Market: ITT underperformed the US Market which returned -8.1% over the past year.
Shareholder returns
| ITT | Industry | Market | |
|---|---|---|---|
| 7 Day | 15.0% | 11.0% | 9.4% |
| 30 Day | 6.8% | -3.9% | -3.9% |
| 90 Day | -28.6% | -22.6% | -16.5% |
| 1 Year | -17.2%-18.1% | -14.1%-16.6% | -4.8%-6.8% |
| 3 Year | 38.2%33.8% | 10.4%2.4% | 23.4%15.2% |
| 5 Year | 33.0%25.4% | 30.2%13.6% | 41.3%25.7% |
Price Volatility Vs. Market
How volatile is ITT's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 days ago | Simply Wall St
We Think ITT (NYSE:ITT) Can Stay On Top Of Its Debt2 weeks ago | Simply Wall St
Why ITT Inc. (NYSE:ITT) Is A Top Dividend Stock4 weeks ago | Simply Wall St
What Is ITT's (NYSE:ITT) P/E Ratio After Its Share Price Tanked?Valuation
Is ITT undervalued compared to its fair value and its price relative to the market?
29.0%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ITT ($50.62) is trading below our estimate of fair value ($72.85)
Significantly Below Fair Value: ITT is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ITT is good value based on its PE Ratio (13.7x) compared to the Machinery industry average (15.5x).
PE vs Market: ITT is poor value based on its PE Ratio (13.7x) compared to the US market (13.3x).
Price to Earnings Growth Ratio
PEG Ratio: ITT is poor value based on its PEG Ratio (2.9x)
Price to Book Ratio
PB vs Industry: ITT is overvalued based on its PB Ratio (2.1x) compared to the US Machinery industry average (1.6x).
Next Steps
Future Growth
How is ITT forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?
4.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ITT's forecast earnings growth (4.7% per year) is above the savings rate (1.7%).
Earnings vs Market: ITT's earnings (4.7% per year) are forecast to grow slower than the US market (13.3% per year).
High Growth Earnings: ITT's earnings are forecast to grow, but not significantly.
Revenue vs Market: ITT's revenue (2.5% per year) is forecast to grow slower than the US market (6.9% per year).
High Growth Revenue: ITT's revenue (2.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ITT's Return on Equity is forecast to be low in 3 years time (14.9%).
Next Steps
Past Performance
How has ITT performed over the past 5 years?
3.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ITT has high quality earnings.
Growing Profit Margin: ITT's current net profit margins (11.4%) are lower than last year (12.1%).
Past Earnings Growth Analysis
Earnings Trend: ITT's earnings have grown by 3.8% per year over the past 5 years.
Accelerating Growth: ITT's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ITT had negative earnings growth (-2.7%) over the past year, making it difficult to compare to the Machinery industry average (-0.9%).
Return on Equity
High ROE: ITT's Return on Equity (15.6%) is considered low.
Next Steps
Financial Health
How is ITT's financial position?
Financial Position Analysis
Short Term Liabilities: ITT's short term assets ($1.7B) exceed its short term liabilities ($849.7M).
Long Term Liabilities: ITT's short term assets ($1.7B) exceed its long term liabilities ($1.2B).
Debt to Equity History and Analysis
Debt Level: ITT's debt to equity ratio (4.8%) is considered satisfactory.
Reducing Debt: ITT's debt to equity ratio has increased from 0.1% to 4.8% over the past 5 years.
Debt Coverage: ITT's debt is well covered by operating cash flow (360.8%).
Interest Coverage: ITT earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Next Steps
Dividend
What is ITT's current dividend yield, its reliability and sustainability?
1.32%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ITT's dividend (1.34%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.89%).
High Dividend: ITT's dividend (1.34%) is low compared to the top 25% of dividend payers in the US market (5.26%).
Stability and Growth of Payments
Stable Dividend: ITT's dividend payments have been volatile in the past 10 years.
Growing Dividend: ITT's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (15.9%), ITT's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ITT's dividends in 3 years are forecast to be well covered by earnings (15.5% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.5yrs
Average management tenure
CEO
Luca Savi (53yo)
1.25s
Tenure
US$7,068,573
Compensation
Mr. Luca Savi is a Director of ITT Inc since January 1, 2019. Mr. Luca Savi was the Chief Operating Officer of ITT Inc. since January 05, 2017 until January 1, 2019 and has been its President since August ...
CEO Compensation Analysis
Compensation vs Market: Luca's total compensation ($USD7.07M) is about average for companies of similar size in the US market ($USD5.56M).
Compensation vs Earnings: Luca's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 1.25yrs | US$7.07m | 0.019% $854.4k | |
| Executive VP & CFO | 8.5yrs | US$2.28m | 0.037% $1.6m | |
| Senior VP | 6.17yrs | US$1.88m | 0.033% $1.5m | |
| Senior VP and President of Connect & Control Technologies | 2.92yrs | US$1.36m | 0.017% $758.8k | |
| Senior VP & President of Motion Technologies | 2yrs | US$1.86m | no data | |
| VP & Chief Accounting Officer | 1.42yrs | no data | 0.00034% $15.3k | |
| Head of Investor Relations | 2.5yrs | no data | no data | |
| Chief Human Resources Officer & Senior VP | no data | no data | 0.0073% $327.8k | |
| Senior VP & President of Asia Pacific | no data | no data | 0.0043% $194.3k | |
| Senior VP & President of Industrial Process | no data | no data | 0.014% $634.4k |
2.5yrs
Average Tenure
48yo
Average Age
Experienced Management: ITT's management team is considered experienced (2.5 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 1.25yrs | US$7.07m | 0.019% $854.4k | |
| Independent Chairman of the Board | 8.5yrs | US$325.03k | 0.035% $1.6m | |
| Independent Director | 8.5yrs | US$235.01k | 0.016% $734.5k | |
| Independent Director | 5.17yrs | US$240.01k | 0.00065% $29.3k | |
| Independent Director | 6.33yrs | US$225.01k | 0.0069% $311.1k | |
| Independent Director | 22.33yrs | US$225.01k | 0.029% $1.3m | |
| Independent Director | 4.5yrs | US$225.01k | 0.019% $875.1k | |
| Independent Non-Executive Chairman of the Board | 6.92yrs | US$235.01k | 0.014% $651.0k | |
| Independent Director | 3.5yrs | US$225.01k | 0.0050% $227.7k | |
| Independent Director | 8.33yrs | US$225.01k | 0.021% $941.4k |
6.6yrs
Average Tenure
67yo
Average Age
Experienced Board: ITT's board of directors are considered experienced (6.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
ITT Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: ITT Inc.
- Ticker: ITT
- Exchange: NYSE
- Founded: 1920
- Industry: Industrial Machinery
- Sector: Capital Goods
- Market Cap: US$4.509b
- Shares outstanding: 88.02m
- Website: https://www.itt.com
Number of Employees
Location
- ITT Inc.
- 1133 Westchester Avenue
- White Plains
- New York
- 10604
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ITT | NYSE (New York Stock Exchange) | Yes | New Common Stock | US | USD | Jan 1968 |
| 2II | DB (Deutsche Boerse AG) | Yes | New Common Stock | DE | EUR | Jan 1968 |
| 2II | BRSE (Berne Stock Exchange) | Yes | New Common Stock | CH | CHF | Jan 1968 |
Biography
ITT Inc. manufactures and sells engineered critical components and customized technology solutions for the energy, transportation, and industrial markets worldwide. The company operates through three segments: Motion Technologies, Industrial Process, and Connect & Control Technologies. The Motion Technologies segment manufactures brake pads, shims, shock absorbers, and energy absorption components; and sealing technologies primarily for the transportation industry, including passenger cars, light- and heavy-duty commercial and military vehicles, buses, and rail. The Industrial Process segment designs and manufactures industrial pumps, valves, and plant optimization systems; and centrifugal process pumps, twin screw, axials, and positive displacement pumps, and water systems, as well as aftermarket solutions, such as repairs and upgrades services. It serves various customers in industries, such as chemical, oil and gas, mining, and other industrial process markets. The Connect & Control Technologies segment designs and manufactures a range of engineered connectors and specialized control components for critical applications supporting various markets, including aerospace and defense, industrial, transportation, medical, and oil and gas. The connector product portfolio includes electrical connectors, such as circular, rectangular, radio frequency, fiber optic, D-sub miniature, micro-miniature, and cable assemblies; and control products consist of fuel and water pumps, valves, electro-mechanical rotary and linear actuators, and pressure, temperature, limit, and flow switches for various aircraft systems. ITT Inc. was founded in 1920 and is headquartered in White Plains, New York.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/10 03:42 |
| End of Day Share Price | 2020/04/09 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.