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Trane TechnologiesTT -1.02%93 EV-to-OCF is 28.02 as of Aug. 07, 2026, which is 15% above its 10-year median of 24.35. GuruFocus rates TT with a GF Score™ of 93/100 and a GF Value™ of $438.13 (Fairly Valued). The stock has 6 warning signs investors should review. Among 1,790 Construction companies, Trane Technologies ranks worse than 85.25% on this metric.
EV-to-OCF is calculated as enterprise value divided by its cash flow from operations. As of today, Trane Technologies's Enterprise Value is $108,637 Mil.
Trane Technologies's Cash Flow from Operations for the trailing twelve months (TTM) ended in Jun. 2026 was $3,877 Mil. Therefore, Trane Technologies's EV-to-OCF for today is 28.02.
The historical rank and industry rank for Trane Technologies's EV-to-OCF or its related term are showing as below:
TT'
s EV-to-OCF Range Over the Past 10 Years
Min: 7.42 Med: 24.35 Max: 39.56
Current: 28.02
During the past 13 years, the highest EV-to-OCF of Trane Technologies was 39.56. The lowest was 7.42. And the median was 24.35.
TT's EV-to-OCF is ranked worse than 85.25% of 1790
companies
in the Construction industry
Industry Median: 6.875
vs TT: 28.02
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
EV-to-OCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Trane Technologies's PE Ratio (TTM) for today is calculated as:
Trane Technologies's share price for today is $478.66.
Trane Technologies's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $13.200.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Cash Flow from Operations is an important financial metric because it represents the cash generated from operating activities at a company's disposal. Companies with a low EV-to-OCF ratio, combined with a strong balance sheet are generally considered as undervalued.
Trane Technologies EV-to-OCF Related Terms
Trane Technologies EV-to-OCF Historical Data
* Premium members only.
The historical data trend for Trane Technologies's EV-to-OCF can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Building Products & Equipment subindustry, Trane Technologies's EV-to-OCF, along with its competitors' market caps and EV-to-OCF data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Trane Technologies EV-to-OCF vs Construction Industry
For the Construction industry and Industrials sector, Trane Technologies's EV-to-OCF distribution charts can be found below:
* The bar in red indicates where Trane Technologies's EV-to-OCF falls into.
Trane Technologies's current Enterprise Value is $108,637 Mil.
Trane Technologies's Cash Flow from Operations for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $3,877 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Trane Technologies (TT) has a EV-to-OCF of 28.02 as of Aug. 07, 2026. This is 15% above median its historical median of 24.35. Over the past decade, Trane Technologies' EV-to-OCF has ranged from 7.42 to 39.56. According to the industry distribution chart, Trane Technologies ranks #1526 out of 1790 companies in the Construction industry, placing it in the top 85.3%.
Is Trane Technologies' EV-to-OCF too high?
Trane Technologies' current EV-to-OCF of 28.02 is 15% above median its 10-year median of 24.35. Over the past 10 years, this metric has ranged from a low of 7.42 to a high of 39.56. The Construction industry median EV-to-OCF is 6.88. Trane Technologies' value of 28.02 is 307.6% above this industry median. Based on the distribution chart, Trane Technologies ranks #1526 out of 1790 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, Trane Technologies has a GF Score™ of 93/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Trane Technologies' EV-to-OCF compare to JCI and CARR?
According to the Construction industry distribution chart, Trane Technologies ranks #1526 out of 1790 companies for EV-to-OCF. This places Trane Technologies in the lower half of its industry. The industry median EV-to-OCF is 6.88. Trane Technologies' value of 28.02 is 307.6% above this benchmark. Historically, Trane Technologies' own EV-to-OCF has ranged from 7.42 to 39.56 over the past decade. While the company's 10-year median is 24.35 vs. the industry median of 6.88, Trane Technologies has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-OCF for a Construction company?
The median EV-to-OCF among Construction companies is 6.88, based on 1,790 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-OCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-OCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Trane Technologies's current EV-to-OCF of 28.02 is 307.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-OCF mean?
A high EV-to-OCF can signal that a stock is expensive relative to its fundamentals. For the Construction industry, the median EV-to-OCF is 6.88 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Trane Technologies's current EV-to-OCF is 28.02, which is 15% above median its own 10-year median of 24.35. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Trane Technologies stock overvalued right now?
Based on GuruFocus' analysis, Trane Technologies (TT) is currently considered Fairly Valued. The stock's GF Value™ is $438.13, compared to a current price of $478.66 — trading 9.3% above its estimated fair value. The current EV-to-OCF is 28.02, which is 15% above median its 10-year median of 24.35 and 307.6% above the Construction industry median of 6.88. Trane Technologies' overall GF Score™ is 93/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-OCF calculated?
EV-to-OCF is calculated from a company's financial statements. For Trane Technologies (TT), the current EV-to-OCF is 28.02 as of Aug. 07, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Trane Technologies (TT) Overvalued in 2026?
Based on GuruFocus' analysis, Trane Technologies stock appears to be overvalued.
The current stock price of $478.66 is trading 9.3% above its estimated GF Value™ of $438.13.
GuruFocus considers Trane Technologies to be Fairly Valued.
Key valuation signals for TT:
EV-to-OCF: 28.02 (15% above median its 10-year median of 24.35)
GF Value™: $438.13 vs. price of $478.66 (9.3% above fair value)
Industry Position: 307.6% above the Construction median (#1526 of 1790)
No single metric tells the full story. See the TT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Trane Technologies manufactures and services commercial and residential HVAC systems and transportation refrigeration solutions under its prominent Trane, American Standard, and Thermo King brands. The company generates approximately 70% of sales from equipment and 30% from parts and services. While the firm is domiciled in Ireland, North America accounts for approximately 80% of its revenue, with 13% from EMEA and 7% Asia-Pacific. The company was formed in 2020 when its former parent, Ingersoll Rand, merged with Gardner Denver in a tax-advantaged reverse Morris trust transaction.
93GF Score
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