Trane TechnologiesFRA:2IS -1.45%92 Net Margin % is 11.76% as of Mar. 2026, which is 8% above its 10-year median of 10.89. GuruFocus rates FRA:2IS with a GF Score™ of 92/100 and a GF Value™ of €369.36 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 1,766 Construction companies, Trane Technologies ranks better than 87.43% on this metric.
The historical rank and industry rank for Trane Technologies's Net Margin % or its related term are showing as below:
FRA:2IS'
s Net Margin % Range Over the Past 10 Years
Min: 6.86 Med: 10.89 Max: 13.69
Current: 13.42
FRA:2IS's Net Margin % is ranked better than 87.43% of 1766
companies
in the Construction industry
Industry Median: 3.92
vs FRA:2IS: 13.42
Trane Technologies (FRA:2IS) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
Trane Technologies Net Margin % Related Terms
Trane Technologies Net Margin % Historical Data
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The historical data trend for Trane Technologies's Net Margin % 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.
FRA:2IS vs JCI, CARR, MAIR: Net Margin % Comparison
For the Building Products & Equipment subindustry, Trane Technologies's Net Margin %, along with its competitors' market caps and Net Margin % 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 Net Margin % vs Construction Industry
For the Construction industry and Industrials sector, Trane Technologies's Net Margin % distribution charts can be found below:
* The bar in red indicates where Trane Technologies's Net Margin % falls into.
* 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 (FRA:2IS) has a Net Margin % of 11.76% as of Mar. 2026. Net margin is the ratio of total net income to net sales. View historical data on Trane Technologies and its competitors. This is near median its historical median of 10.89. Over the past decade, Trane Technologies' Net Margin % has ranged from 6.86 to 13.69. According to the industry distribution chart, Trane Technologies ranks #222 out of 1766 companies in the Construction industry, placing it in the top 12.6%.
Is Trane Technologies' Net Margin % too high?
Trane Technologies' current Net Margin % of 11.76% is near median its 10-year median of 10.89. Over the past 10 years, this metric has ranged from a low of 6.86 to a high of 13.69. The Construction industry median Net Margin % is 3.92. Trane Technologies' value of 11.76% is 200% above this industry median. Based on the distribution chart, Trane Technologies ranks #222 out of 1766 companies in the Construction industry, which is in the top quartile — a strong position relative to peers. Overall, Trane Technologies has a GF Score™ of 92/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Trane Technologies' Net Margin % compare to JCI and CARR?
According to the Construction industry distribution chart, Trane Technologies ranks #222 out of 1766 companies for Net Margin %. This places Trane Technologies in the top 13% of its industry — outperforming the majority of peers. The industry median Net Margin % is 3.92. Trane Technologies' value of 11.76% is 200% above this benchmark. Historically, Trane Technologies' own Net Margin % has ranged from 6.86 to 13.69 over the past decade. While the company's 10-year median is 10.89 vs. the industry median of 3.92, 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 Net Margin % for a Construction company?
The median Net Margin % among Construction companies is 3.92, based on 1,766 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Trane Technologies's current Net Margin % of 11.76% is 200% 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 Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Trane Technologies and its competitors. For the Construction industry, the median Net Margin % is 3.92 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Trane Technologies's current Net Margin % is 11.76%, which is near median its own 10-year median of 10.89. 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 (FRA:2IS) is currently considered Modestly Overvalued. The stock's GF Value™ is €369.36, compared to a current price of €421.30 — trading 14.1% above its estimated fair value. The current Net Margin % is 11.76%, which is near median its 10-year median of 10.89 and 200% above the Construction industry median of 3.92. Trane Technologies' overall GF Score™ is 92/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Trane Technologies (FRA:2IS), the current Net Margin % is 11.76% as of Mar. 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 (FRA:2IS) Overvalued in 2026?
Based on GuruFocus' analysis, Trane Technologies stock appears to be overvalued.
The current stock price of €421.30 is trading 14.1% above its estimated GF Value™ of €369.36.
GuruFocus considers Trane Technologies to be Modestly Overvalued.
Key valuation signals for FRA:2IS:
Net Margin %: 11.76% (near median its 10-year median of 10.89)
GF Value™: €369.36 vs. price of €421.30 (14.1% above fair value)
Industry Position: 200% above the Construction median (#222 of 1766)
No single metric tells the full story. See the FRA:2IS 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.
92GF Score
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