WallStSmart

Armstrong World Industries Inc (AWI)vsTrane Technologies plc (TT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Trane Technologies plc generates 1216% more annual revenue ($21.32B vs $1.62B). AWI leads profitability with a 19.1% profit margin vs 13.7%. TT appears more attractively valued with a PEG of 2.01. AWI earns a higher WallStSmart Score of 56/100 (C).

AWI

Buy

56

out of 100

Grade: C

Growth: 6.0Profit: 8.5Value: 7.3Quality: 7.3
Piotroski: 6/9

TT

Buy

52

out of 100

Grade: C-

Growth: 5.3Profit: 8.0Value: 7.3Quality: 5.5
Piotroski: 6/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AWISignificantly Overvalued (-60.3%)

Margin of Safety

-60.3%

Fair Value

$125.35

Current Price

$167.18

$41.83 premium

UndervaluedFair: $125.35Overvalued
TTSignificantly Overvalued (-428.0%)

Margin of Safety

-428.0%

Fair Value

$89.49

Current Price

$434.00

$344.51 premium

UndervaluedFair: $89.49Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AWI2 strengths · Avg: 9.5/10
Return on EquityProfitability
37.2%10/10

Every $100 of equity generates 37 in profit

Debt/EquityHealth
0.129/10

Conservative balance sheet, low leverage

TT3 strengths · Avg: 9.0/10
Return on EquityProfitability
37.0%10/10

Every $100 of equity generates 37 in profit

Market CapQuality
$95.37B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.06B8/10

Generating 1.1B in free cash flow

Areas to Watch

AWI1 concerns · Avg: 4.0/10
PEG RatioValuation
2.024/10

Expensive relative to growth rate

TT4 concerns · Avg: 3.5/10
PEG RatioValuation
2.014/10

Expensive relative to growth rate

P/E RatioValuation
32.7x4/10

Premium valuation, high expectations priced in

Price/BookValuation
11.2x4/10

Trading at 11.2x book value

EPS GrowthGrowth
-0.5%2/10

Earnings declined 0.5%

Comparative Analysis Report

WallStSmart Research

Bull Case : AWI

The strongest argument for AWI centers on Return on Equity, Debt/Equity. Profitability is solid with margins at 19.1% and operating margin at 17.4%.

Bull Case : TT

The strongest argument for TT centers on Return on Equity, Market Cap, Free Cash Flow.

Bear Case : AWI

The primary concerns for AWI are PEG Ratio.

Bear Case : TT

The primary concerns for TT are PEG Ratio, P/E Ratio, Price/Book.

Key Dynamics to Monitor

AWI profiles as a mature stock while TT is a value play — different risk/reward profiles.

AWI carries more volatility with a beta of 1.33 — expect wider price swings.

TT is growing revenue faster at 5.6% — sustainability is the question.

TT generates stronger free cash flow (1.1B), providing more financial flexibility.

Bottom Line

AWI scores higher overall (56/100 vs 52/100), backed by strong 19.1% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Armstrong World Industries Inc

INDUSTRIALS · BUILDING PRODUCTS & EQUIPMENT · USA

Armstrong World Industries, Inc. designs, manufactures, and sells roofing systems primarily for use in the construction and renovation of residential and commercial buildings in the United States, Canada, and Latin America. The company is headquartered in Lancaster, Pennsylvania.

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Trane Technologies plc

INDUSTRIALS · BUILDING PRODUCTS & EQUIPMENT · USA

Trane Technologies plc is an American Irish domiciled diversified industrial manufacturing company. It is headquartered near Dublin, Ireland.

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