Carrier Global Corp (CARR) is overvalued and Trane Technologies plc (TT) is overvalued.
Both trade above our estimate of their intrinsic value. TT is the closer of the two: -69%, against -77% for CARR.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 9.7% (average of 3 methods) values the shares at $31.24; the price of $55.26 is 77% above that value, and 73% of that value comes from beyond year five.
Leak Score 45/100 on 9 of 12 signals
Discounting its cash flows at 10.3% (average of 3 methods) values the shares at $259.71; the price of $437.82 is 69% above that value, and 72% of that value comes from beyond year five.
Leak Score 59/100 on 3 of 12 signals
| Metric | CARR | TT |
|---|---|---|
| Verdict | Overvalued | Overvalued |
| Price | $55.26 | $437.82 |
| Intrinsic value | $31.24 | $259.71 |
| Margin of safety | -77% | -69% |
| Leak Score | 45/100 (9/12) | 59/100 (3/12) |
| Market cap | $45.6B | $96.3B |
| Revenue growth, 5 years | 4.5% | 11.3% |
| Operating margin | 8.2% | 18.1% |
| Net margin | 5.4% | 13.3% |
| Return on equity | 8.4% | 36.5% |
| Debt to equity | 0.94 | 0.54 |
| P/E | 38.9x | 33.2x |
| Forward P/E | 16.7x | 24.9x |
| P/B | 3.5x | 11.2x |
| Dividend yield | 1.7% | 0.9% |