Ticker League

Fair Value for Trane Technologies (TT)

See growth priced into Trane Technologies (TT): reverse DCF, implied rate vs history and analysts, FCF view. Free intrinsic value calculator for education.

Fair value (multi-method)

Four independent methods triangulate what TT is worth. The headline is the Forward-DCF intrinsic value at a normalized growth rate; the margin of safety compares it to the current price.

Estimated fair value (Forward DCF)

$1,156.67

Margin of safety
+60.50% vs current price $456.84

Method range

$47.70 $1,156.67

median $462.39

Methods disagree

Valuation methods

Each method’s implied fair value per share and its upside versus the current price. Missing methods (no analyst coverage, negative earnings, etc.) are shown as “—”.

  • Forward DCF$1,156.67
  • Exit multiple$402.04
  • Analyst target$522.73
  • Graham number$47.70

Stock price

$456.84

FCF / share (TTM)

$2.43

3Y FCF CAGR

22.2%

Fair value @ hist. growth

$127.07

This analysis is for informational purposes only and is not financial advice. Scenario prices and DCF-style figures depend on your assumptions and data from public filings and estimates. They are not forecasts of future returns.

Implied FCF growth

40.8%

per year over your projection horizon

Premium vs DCF

Margin of safety -259.5% vs hist-growth DCF

Historical 3Y CAGR

22.2%

Your model implies

40.8%

Analyst consensus is EPS-only — no comparable FCF / share estimate to show on this basis.

Model inputs

Move sliders to test how the reverse DCF reacts. Historical-growth markers show where the company has actually grown over the last cycle.

Discount rate (cost of equity proxy)10.6%
Terminal growth2.50%
Projection years10 yr
FCF growth per year (supplemental projection)22%
3Y CAGR 22%

Undiscounted FCF per share over 10 years at 22% annual growth.

Sensitivity — implied growth vs your assumptions

Each cell shows the per-share growth rate the market would need to justify the current price at that combination of discount rate (rows) and terminal growth (columns). Your selected inputs are highlighted.

Row axis: discount rate. Column axis: terminal growth.Terminal g →↓ Discount1.5%2.0%2.5%3.0%3.5%
8.6%36.9%36.0%35.0%34.0%32.9%
9.6%39.6%38.8%38.0%37.1%36.2%
10.6%42.2%41.5%40.8%40.0%39.2%
11.6%44.6%44.0%43.4%42.7%41.9%
12.6%47.0%46.4%45.8%45.2%44.5%
Color≤ historical CAGRModerate premiumHigh premium (≥ 15pp above hist)Your inputs

Historical multiples

Each bar is the trailing five-year range (low left, high right). Filled portion runs from low to today; the dot marks today; the small tick marks the five-year median. Low, median, and high are listed under each bar.

P/EToday29.8
5Y low22.3
Median29.8
5Y high33.9
P/SToday4.1
5Y low2.4
Median3.4
5Y high4.2
EV/EBITDAToday21.6
5Y low15.7
Median21.6
5Y high22.5

Net debt

$2.9B

Total debt − cash

Beta

1.21

Vs market benchmark

Frequently asked questions