EMR vs. TT: Emerson Electric vs. Trane Technologies Stock Comparison

November 11, 2026

How do Emerson Electric (EMR) and Trane Technologies (TT) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Emerson Electric (EMR) and Trane Technologies (TT) both fall under the Capital Goods industry group, but EMR is classified in Electrical Equipment while TT is classified in Building Products.

Company profile comparison for Emerson Electric (EMR) and Trane Technologies (TT)
Profile Item	EMR	TT
Name	Emerson Electric Co.	Trane Technologies plc
Country/Region	United States	Ireland
GICS Sector	Industrials	Industrials
GICS Industry Group	Capital Goods	Capital Goods
GICS Industry	Electrical Equipment	Building Products
GICS Sub-Industry	Electrical Components & Equipment	Building Products
Market Capitalization	90.56 billion USD	87.94 billion USD
Currency	USD	USD
Exchange	NYSE	NYSE
Listing Date	June 1, 1972	March 17, 1980
Security Type	Common Stock	Common Stock

Price Performance

Cumulative Growth

EMR

GSPC

Emerson Electric (EMR) vs. Trane Technologies (TT), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Emerson Electric (EMR) and Trane Technologies (TT). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Emerson Electric (EMR) and Trane Technologies (TT). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Emerson Electric (EMR) and Trane Technologies (TT)
Metric	EMR	TT
Total Return (1Y)	34.39%	-2.56%
Total Return (3Y, Annualized)	28.46%	25.06%
Total Return (5Y, Annualized)	14.17%	18.70%

Risk Profile

Drawdown History

EMR

GSPC

Emerson Electric (EMR) vs. Trane Technologies (TT), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Emerson Electric (EMR) and Trane Technologies (TT). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Emerson Electric (EMR) and Trane Technologies (TT)
Metric	EMR	TT
Volatility (1Y, Annualized)	32.47%	30.26%
Beta (5Y)	1.20	1.18
Max Drawdown (5Y)	-29.61%	-39.76%
Avg. Volume (3M)	2.61M	1.24M

Risk-Adjusted Performance

Risk-Return Positioning

EMR and TT are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Emerson Electric (EMR) and Trane Technologies (TT)
Metric	EMR	TT
Sharpe Ratio (1Y)	0.93	-0.23
Sortino Ratio (1Y)	1.37	-0.31

Profitability

ROE (TTM)

Trane Technologies (TT) at 36.94% sits in the top ROE quartile, while Emerson Electric (EMR) at 13.12% is closer to the peer norm — stronger capital efficiency for TT.

EMR

Capital Goods industry group

13.12%

Max: 40.55%
Q3: 19.29%
EMR: 13.12%
Median: 12.12%
Q1: 4.08%
Min: -17.12%

TT

Capital Goods industry group

36.94%

Max: 40.55%
TT: 36.94%
Q3: 19.29%
Median: 12.12%
Q1: 4.08%
Min: -17.12%

Emerson Electric (EMR) vs. Trane Technologies (TT): A comparison of their ROE against the Capital Goods industry group benchmark.

Net Margin (TTM)

For every dollar of sales, both Emerson Electric (EMR) at 14.18% and Trane Technologies (TT) at 13.56% retain more as net profit than most peers, landing in the top net margin quartile of their industries.

EMR

Capital Goods industry group

14.18%

Max: 27.47%
EMR: 14.18%
Q3: 12.10%
Median: 6.30%
Q1: 1.40%
Min: -12.89%

TT

Capital Goods industry group

13.56%

Max: 27.47%
TT: 13.56%
Q3: 12.10%
Median: 6.30%
Q1: 1.40%
Min: -12.89%

Emerson Electric (EMR) vs. Trane Technologies (TT): A comparison of their net margin against the Capital Goods industry group benchmark.

Operating Margin (TTM)

Both Emerson Electric (EMR) at 25.90% and Trane Technologies (TT) at 19.85% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.

EMR

Capital Goods industry group

25.90%

Max: 36.60%
EMR: 25.90%
Q3: 18.33%
Median: 11.12%
Q1: 5.14%
Min: -12.63%

TT

Capital Goods industry group

19.85%

Max: 36.60%
TT: 19.85%
Q3: 18.33%
Median: 11.12%
Q1: 5.14%
Min: -12.63%

Emerson Electric (EMR) vs. Trane Technologies (TT): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for Emerson Electric (EMR) and Trane Technologies (TT)
Metric	EMR	TT
ROE (TTM)	13.12%	36.94%
ROA (TTM)	5.98%	11.42%
Net Margin (TTM)	14.18%	13.56%
Operating Margin (TTM)	25.90%	19.85%
Gross Margin (TTM)	53.36%	34.99%

Growth

Revenue Growth

Only one side can be read here: Trane Technologies (TT) reports revenue growth of 7.48%, ranked against its industry; Emerson Electric (EMR) has no revenue growth figure this period.

Emerson Electric (EMR) vs. Trane Technologies (TT): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both Emerson Electric (EMR) at 18.56% and Trane Technologies (TT) at 15.48% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

Emerson Electric (EMR) vs. Trane Technologies (TT): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Emerson Electric (EMR) and Trane Technologies (TT)
Metric	EMR	TT
Revenue Growth (YoY)	--	7.48%
Revenue Growth (3Y CAGR)	--	10.06%
EPS Growth (YoY)	18.56%	15.48%
EPS Growth (3Y CAGR)	-40.62%	20.17%

Financial Strength

Current Ratio (MRQ)

Both Emerson Electric (EMR) at 0.94 and Trane Technologies (TT) at 1.12 run current ratio in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.

EMR

Capital Goods industry group

0.94

Max: 5.22
Q3: 2.95
Median: 2.08
Q1: 1.43
EMR: 0.94
Min: 0.36

TT

Capital Goods industry group

1.12

Max: 5.22
Q3: 2.95
Median: 2.08
Q1: 1.43
TT: 1.12
Min: 0.36

Emerson Electric (EMR) vs. Trane Technologies (TT): A comparison of their current ratio against the Capital Goods industry group benchmark.

Debt / Equity (MRQ)

Both Emerson Electric (EMR) at 0.59 and Trane Technologies (TT) at 0.46 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

EMR

Capital Goods industry group

0.59

Max: 2.33
Q3: 1.12
Median: 0.60
EMR: 0.59
Q1: 0.29
Min: 0.00

TT

Capital Goods industry group

0.46

Max: 2.33
Q3: 1.12
Median: 0.60
TT: 0.46
Q1: 0.29
Min: 0.00

Emerson Electric (EMR) vs. Trane Technologies (TT): A comparison of their debt-to-equity ratio against the Capital Goods industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Emerson Electric (EMR) and Trane Technologies (TT)
Metric	EMR	TT
Current Ratio (MRQ)	0.94	1.12
Debt / Equity (MRQ)	0.59	0.46
Net Debt / EBITDA	1.89	0.66

Dividends

Dividend Yield (TTM)

Emerson Electric (EMR) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Trane Technologies (TT) reports a yield of 1.04%, ranking against industry peers normally.

EMR

Capital Goods industry group

0.00%

Max: 2.66%
Q3: 1.14%
Median: 0.24%
EMR: 0.00%
Q1: 0.00%
Min: 0.00%

TT

Capital Goods industry group

1.04%

Max: 2.66%
Q3: 1.14%
TT: 1.04%
Median: 0.24%
Q1: 0.00%
Min: 0.00%

Emerson Electric (EMR) vs. Trane Technologies (TT): A comparison of their dividend yield against the Capital Goods industry group benchmark.

Dividend Payout Ratio (TTM)

Both Emerson Electric (EMR) at 48.51% and Trane Technologies (TT) at 28.42% pay out an above-typical share of earnings for their industries, leaving thinner cover if profits dip.

EMR

Capital Goods industry group

48.51%

Max: 67.39%
EMR: 48.51%
Q3: 28.02%
Median: 6.86%
Q1: 0.00%
Min: 0.00%

TT

Capital Goods industry group

28.42%

Max: 67.39%
TT: 28.42%
Q3: 28.02%
Median: 6.86%
Q1: 0.00%
Min: 0.00%

Emerson Electric (EMR) vs. Trane Technologies (TT): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for Emerson Electric (EMR) and Trane Technologies (TT)
Metric	EMR	TT
Dividend Yield (TTM)	0.00%	1.04%
Dividend Payout Ratio (TTM)	48.51%	28.42%

Valuation

P/E Ratio (TTM)

Both Emerson Electric (EMR) at 33.89 and Trane Technologies (TT) at 27.92 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

EMR

Capital Goods industry group

33.89

Max: 59.38
Q3: 35.92
EMR: 33.89
Median: 25.41
Q1: 19.47
Min: 3.03

TT

Capital Goods industry group

27.92

Max: 59.38
Q3: 35.92
TT: 27.92
Median: 25.41
Q1: 19.47
Min: 3.03

Emerson Electric (EMR) vs. Trane Technologies (TT): A comparison of their P/E ratio against the Capital Goods industry group benchmark.

P/S Ratio (TTM)

Both Emerson Electric (EMR) at 4.77 and Trane Technologies (TT) at 3.79 command a richer price per dollar of sales than most peers, sitting in the upper P/S ratio quartile of their industries.

EMR

Capital Goods industry group

4.77

Max: 7.54
EMR: 4.77
Q3: 3.76
Median: 2.15
Q1: 1.03
Min: 0.03

TT

Capital Goods industry group

3.79

Max: 7.54
TT: 3.79
Q3: 3.76
Median: 2.15
Q1: 1.03
Min: 0.03

Emerson Electric (EMR) vs. Trane Technologies (TT): A comparison of their P/S ratio against the Capital Goods industry group benchmark.

P/B Ratio (MRQ)

Emerson Electric (EMR) at 4.38 is valued about in line with its industry on P/B ratio, while Trane Technologies (TT) at 9.66 carries an above-peer premium to book — TT is pricier on assets.

EMR

Capital Goods industry group

4.38

Max: 9.66
Q3: 5.00
EMR: 4.38
Median: 3.12
Q1: 1.81
Min: -1.08

TT

Capital Goods industry group

9.66

TT: 9.66
Max: 9.66
Q3: 5.00
Median: 3.12
Q1: 1.81
Min: -1.08

Emerson Electric (EMR) vs. Trane Technologies (TT): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for Emerson Electric (EMR) and Trane Technologies (TT)
Metric	EMR	TT
P/E Ratio (TTM)	33.89	27.92
P/S Ratio (TTM)	4.77	3.79
P/B Ratio (MRQ)	4.38	9.66
Free Cash Flow Yield (TTM)	3.85%	3.94%