Seek Returns logo

RKLB vs. TT: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at RKLB and TT, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolRKLBTT
Company NameRocket Lab CorporationTrane Technologies plc
CountryUnited StatesIreland
GICS SectorIndustrialsIndustrials
GICS IndustryAerospace & DefenseBuilding Products
Market Capitalization27.18 billion USD94.37 billion USD
ExchangeNasdaqCMNYSE
Listing DateNovember 24, 2020March 17, 1980
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of RKLB and TT by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

RKLB vs. TT: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolRKLBTT
5-Day Price Return19.46%2.34%
13-Week Price Return57.49%-3.04%
26-Week Price Return214.09%25.87%
52-Week Price Return478.37%9.34%
Month-to-Date Return17.22%0.50%
Year-to-Date Return120.49%14.82%
10-Day Avg. Volume25.87M1.24M
3-Month Avg. Volume23.39M1.27M
3-Month Volatility76.06%25.39%
Beta2.171.20

Profitability

Return on Equity (TTM)

RKLB

-48.14%

Aerospace & Defense Industry

Max
37.11%
Q3
20.14%
Median
11.72%
Q1
6.30%
Min
-6.24%

RKLB has a negative Return on Equity of -48.14%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

TT

37.61%

Building Products Industry

Max
46.90%
Q3
27.60%
Median
15.43%
Q1
8.94%
Min
0.77%

In the upper quartile for the Building Products industry, TT’s Return on Equity of 37.61% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

RKLB vs. TT: A comparison of their Return on Equity (TTM) against their respective Aerospace & Defense and Building Products industry benchmarks.

Net Profit Margin (TTM)

RKLB

-45.87%

Aerospace & Defense Industry

Max
13.66%
Q3
8.61%
Median
6.59%
Q1
4.92%
Min
1.01%

RKLB has a negative Net Profit Margin of -45.87%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

TT

13.76%

Building Products Industry

Max
19.42%
Q3
13.74%
Median
8.72%
Q1
4.81%
Min
0.46%

A Net Profit Margin of 13.76% places TT in the upper quartile for the Building Products industry, signifying strong profitability and more effective cost management than most of its peers.

RKLB vs. TT: A comparison of their Net Profit Margin (TTM) against their respective Aerospace & Defense and Building Products industry benchmarks.

Operating Profit Margin (TTM)

RKLB

-44.08%

Aerospace & Defense Industry

Max
22.35%
Q3
12.83%
Median
9.29%
Q1
6.38%
Min
-2.15%

RKLB has a negative Operating Profit Margin of -44.08%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

TT

18.39%

Building Products Industry

Max
26.72%
Q3
17.70%
Median
12.14%
Q1
9.54%
Min
1.65%

An Operating Profit Margin of 18.39% places TT in the upper quartile for the Building Products industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

RKLB vs. TT: A comparison of their Operating Profit Margin (TTM) against their respective Aerospace & Defense and Building Products industry benchmarks.

Profitability at a Glance

SymbolRKLBTT
Return on Equity (TTM)-48.14%37.61%
Return on Assets (TTM)-17.98%13.90%
Net Profit Margin (TTM)-45.87%13.76%
Operating Profit Margin (TTM)-44.08%18.39%
Gross Profit Margin (TTM)29.04%36.26%

Financial Strength

Current Ratio (MRQ)

RKLB

2.67

Aerospace & Defense Industry

Max
3.35
Q3
2.03
Median
1.24
Q1
1.04
Min
0.77

RKLB’s Current Ratio of 2.67 is in the upper quartile for the Aerospace & Defense industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

TT

1.10

Building Products Industry

Max
3.10
Q3
2.06
Median
1.60
Q1
1.30
Min
0.88

TT’s Current Ratio of 1.10 falls into the lower quartile for the Building Products industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

RKLB vs. TT: A comparison of their Current Ratio (MRQ) against their respective Aerospace & Defense and Building Products industry benchmarks.

Debt-to-Equity Ratio (MRQ)

RKLB

0.63

Aerospace & Defense Industry

Max
1.72
Q3
0.96
Median
0.63
Q1
0.37
Min
0.03

RKLB’s Debt-to-Equity Ratio of 0.63 is typical for the Aerospace & Defense industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

TT

0.59

Building Products Industry

Max
1.64
Q3
1.02
Median
0.62
Q1
0.20
Min
0.00

TT’s Debt-to-Equity Ratio of 0.59 is typical for the Building Products industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

RKLB vs. TT: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Aerospace & Defense and Building Products industry benchmarks.

Interest Coverage Ratio (TTM)

RKLB

-45.87

Aerospace & Defense Industry

Max
36.57
Q3
19.08
Median
7.25
Q1
2.65
Min
-7.63

RKLB has a negative Interest Coverage Ratio of -45.87. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

TT

15.31

Building Products Industry

Max
72.12
Q3
34.39
Median
23.97
Q1
7.29
Min
2.97

TT’s Interest Coverage Ratio of 15.31 is positioned comfortably within the norm for the Building Products industry, indicating a standard and healthy capacity to cover its interest payments.

RKLB vs. TT: A comparison of their Interest Coverage Ratio (TTM) against their respective Aerospace & Defense and Building Products industry benchmarks.

Financial Strength at a Glance

SymbolRKLBTT
Current Ratio (MRQ)2.671.10
Quick Ratio (MRQ)2.210.76
Debt-to-Equity Ratio (MRQ)0.630.59
Interest Coverage Ratio (TTM)-45.8715.31

Growth

Revenue Growth

RKLB vs. TT: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

RKLB vs. TT: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

RKLB

0.00%

Aerospace & Defense Industry

Max
2.72%
Q3
1.45%
Median
0.48%
Q1
0.08%
Min
0.00%

RKLB currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

TT

0.84%

Building Products Industry

Max
2.51%
Q3
1.92%
Median
1.30%
Q1
0.78%
Min
0.00%

TT’s Dividend Yield of 0.84% is consistent with its peers in the Building Products industry, providing a dividend return that is standard for its sector.

RKLB vs. TT: A comparison of their Dividend Yield (TTM) against their respective Aerospace & Defense and Building Products industry benchmarks.

Dividend Payout Ratio (TTM)

RKLB

0.00%

Aerospace & Defense Industry

Max
110.40%
Q3
50.43%
Median
17.11%
Q1
0.46%
Min
0.00%

RKLB has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

TT

27.94%

Building Products Industry

Max
157.36%
Q3
76.90%
Median
30.70%
Q1
17.97%
Min
0.00%

TT’s Dividend Payout Ratio of 27.94% is within the typical range for the Building Products industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

RKLB vs. TT: A comparison of their Dividend Payout Ratio (TTM) against their respective Aerospace & Defense and Building Products industry benchmarks.

Dividend at a Glance

SymbolRKLBTT
Dividend Yield (TTM)0.00%0.84%
Dividend Payout Ratio (TTM)0.00%27.94%

Valuation

Price-to-Earnings Ratio (TTM)

RKLB

--

Aerospace & Defense Industry

Max
67.20
Q3
55.74
Median
33.28
Q1
27.49
Min
15.02

P/E Ratio data for RKLB is currently unavailable.

TT

33.13

Building Products Industry

Max
45.60
Q3
30.36
Median
21.97
Q1
17.37
Min
12.44

A P/E Ratio of 33.13 places TT in the upper quartile for the Building Products industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

RKLB vs. TT: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Aerospace & Defense and Building Products industry benchmarks.

Price-to-Sales Ratio (TTM)

RKLB

53.90

Aerospace & Defense Industry

Max
9.06
Q3
4.87
Median
2.47
Q1
1.61
Min
0.33

With a P/S Ratio of 53.90, RKLB trades at a valuation that eclipses even the highest in the Aerospace & Defense industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

TT

4.56

Building Products Industry

Max
5.90
Q3
3.09
Median
1.72
Q1
1.07
Min
0.37

TT’s P/S Ratio of 4.56 is in the upper echelon for the Building Products industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

RKLB vs. TT: A comparison of their Price-to-Sales Ratio (TTM) against their respective Aerospace & Defense and Building Products industry benchmarks.

Price-to-Book Ratio (MRQ)

RKLB

23.97

Aerospace & Defense Industry

Max
14.90
Q3
8.93
Median
4.70
Q1
3.03
Min
0.83

At 23.97, RKLB’s P/B Ratio is at an extreme premium to the Aerospace & Defense industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

TT

12.45

Building Products Industry

Max
10.99
Q3
5.69
Median
2.98
Q1
1.80
Min
0.66

At 12.45, TT’s P/B Ratio is at an extreme premium to the Building Products industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

RKLB vs. TT: A comparison of their Price-to-Book Ratio (MRQ) against their respective Aerospace & Defense and Building Products industry benchmarks.

Valuation at a Glance

SymbolRKLBTT
Price-to-Earnings Ratio (TTM)--33.13
Price-to-Sales Ratio (TTM)53.904.56
Price-to-Book Ratio (MRQ)23.9712.45
Price-to-Free Cash Flow Ratio (TTM)--33.66