WallStSmart

Trane Technologies plc (TT)vsUnion Pacific Corporation (UNP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Union Pacific Corporation generates 14% more annual revenue ($24.70B vs $21.60B). UNP leads profitability with a 29.2% profit margin vs 13.4%. TT appears more attractively valued with a PEG of 2.01. UNP earns a higher WallStSmart Score of 60/100 (C).

TT

Buy

52

out of 100

Grade: C-

Growth: 5.3Profit: 8.0Value: 4.3Quality: 6.5
Piotroski: 7/9Altman Z: 2.77

UNP

Buy

60

out of 100

Grade: C

Growth: 4.0Profit: 9.5Value: 3.3Quality: 5.0
Piotroski: 5/9Altman Z: 2.45
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for TT.

UNPSignificantly Overvalued (-88.0%)

Margin of Safety

-88.0%

Fair Value

$136.65

Current Price

$272.32

$135.67 premium

UndervaluedFair: $136.65Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

TT2 strengths · Avg: 9.5/10
Return on EquityProfitability
33.6%10/10

Every $100 of equity generates 34 in profit

Market CapQuality
$104.46B9/10

Large-cap with strong market position

UNP5 strengths · Avg: 9.2/10
Return on EquityProfitability
37.1%10/10

Every $100 of equity generates 37 in profit

Operating MarginProfitability
40.4%10/10

Strong operational efficiency at 40.4%

Market CapQuality
$158.71B9/10

Large-cap with strong market position

Profit MarginProfitability
29.2%9/10

Keeps 29 of every $100 in revenue as profit

Free Cash FlowQuality
$1.50B8/10

Generating 1.5B in free cash flow

Areas to Watch

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

Expensive relative to growth rate

P/E RatioValuation
36.1x4/10

Premium valuation, high expectations priced in

Price/BookValuation
11.9x4/10

Trading at 11.9x book value

EPS GrowthGrowth
-2.1%2/10

Earnings declined 2.1%

UNP4 concerns · Avg: 3.3/10
Price/BookValuation
8.3x4/10

Trading at 8.3x book value

Revenue GrowthGrowth
3.2%4/10

3.2% revenue growth

Debt/EquityHealth
1.623/10

Elevated debt levels

PEG RatioValuation
3.332/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : TT

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

Bull Case : UNP

The strongest argument for UNP centers on Return on Equity, Operating Margin, Market Cap. Profitability is solid with margins at 29.2% and operating margin at 40.4%.

Bear Case : TT

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

Bear Case : UNP

The primary concerns for UNP are Price/Book, Revenue Growth, Debt/Equity. Debt-to-equity of 1.62 is elevated, increasing financial risk.

Key Dynamics to Monitor

TT carries more volatility with a beta of 1.21 — expect wider price swings.

TT is growing revenue faster at 6.0% — sustainability is the question.

UNP generates stronger free cash flow (1.5B), providing more financial flexibility.

Monitor BUILDING PRODUCTS & EQUIPMENT industry trends, competitive dynamics, and regulatory changes.

Bottom Line

UNP scores higher overall (60/100 vs 52/100), backed by strong 29.2% 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.

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.

Union Pacific Corporation

INDUSTRIALS · RAILROADS · USA

The Union Pacific Corporation (Union Pacific) is a publicly traded railroad holding company. It was incorporated in Utah in 1969 and is headquartered in Omaha, Nebraska. It is the parent company of the current, Delaware-registered, form of the Union Pacific Railroad.

Want to dig deeper into these stocks?