Trane Technologies (NYSE:TT) vs. Mestek (OTCMKTS:MCCK) Head to Head Contrast

Trane Technologies (NYSE:TT) and Mestek (OTCMKTS:MCCK) are both construction companies, but which is the superior investment? We will compare the two businesses based on the strength of their profitability, institutional ownership, dividends, risk, analyst recommendations, earnings and valuation.

Valuation and Earnings

This table compares Trane Technologies and Mestek”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Trane Technologies	$20.31 billion	4.83	$2.57 billion	$12.02	36.58
Mestek	$398.17 million	0.82	$59.39 million	$10.72	4.03

Trane Technologies has higher revenue and earnings than Mestek. Mestek is trading at a lower price-to-earnings ratio than Trane Technologies, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Trane Technologies and Mestek’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Trane Technologies	13.47%	36.10%	13.13%
Mestek	20.17%	N/A	N/A

Institutional & Insider Ownership

83.0% of Trane Technologies shares are held by institutional investors. Comparatively, 0.4% of Mestek shares are held by institutional investors. 0.4% of Trane Technologies shares are held by company insiders. Comparatively, 65.2% of Mestek shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and price targets for Trane Technologies and Mestek, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Trane Technologies	1	7	7	1	2.50
Mestek	0	0	0	0	0.00

Trane Technologies currently has a consensus price target of $430.13, indicating a potential downside of 2.16%. Given Trane Technologies’ stronger consensus rating and higher possible upside, equities analysts clearly believe Trane Technologies is more favorable than Mestek.

Volatility and Risk

Trane Technologies has a beta of 1.15, suggesting that its share price is 15% more volatile than the S&P 500. Comparatively, Mestek has a beta of 0.47, suggesting that its share price is 53% less volatile than the S&P 500.

Summary

Trane Technologies beats Mestek on 13 of the 15 factors compared between the two stocks.

About Trane Technologies

Trane Technologies plc, together with its subsidiaries, designs, manufactures, sells, and services of solutions for heating, ventilation, air conditioning, custom, and custom and transport refrigeration in Ireland and internationally. It offers air conditioners, exchangers, and handlers; airside and terminal devices; air sourced heat pumps, auxiliary power units; chillers; coils and condensers; gensets; dehumidifiers; ductless; furnaces; home automation products; humidifiers; indoor air quality assessments and related products; large and light commercial unitary products; refrigerant reclamation products; thermostats/controls; transport heater products; variable refrigerant flow products; and water source heat pumps. The company also provides building management, telematic, control, energy efficiency and infrastructure program, geothermal, thermal energy, thermostats, rate chambers, package heating and cooling, temporary heating and cooling, and unitary systems; bus, rail, and multi-pipe heating, ventilation, and air conditioning systems; and container, diesel-powered, truck, industrial, rail, self-powered truck, trailer, and vehicle-powered truck refrigeration and air filtration systems, as well as aftermarket and OEM parts and supplies. In addition, it offers energy and facility management, installation and performance contracting, repair and maintenance, and rental services. It markets and sells its products under the Trane and Thermo King brands through sales offices, distributors, and dealers; and through sales and service companies with a supporting chain of distributors. The company was formerly known as Ingersoll-Rand Plc and changed its name to Trane Technologies plc in March 2020. Trane Technologies plc was founded in 1885 and is headquartered in Swords, Ireland.

About Mestek

Mestek, Inc., together with its subsidiaries, manufactures and sells heating, ventilating, and air conditioning products and equipment; and metal forming equipment in the United States and internationally. The company offers equipment for heating, ventilation, and air conditioning primarily under the Lockformer, lowaPrecision, Engel, and Lion brands; roll forming and flexible fabrication equipment; metal stamping products, including uncoilers, straighteners, press feeds, and dies; and coil metal processing products, including cut-to-length, multi-blanking, and coil slitting and precision corrective levelers. It also provides a range of aftermarket services, such as OEM replacement parts for existing and used equipment, and on-site service support and training services. In addition, it engages in equipment rebuilding and electrical installation works; and tube and pipe production and fabrication. Further, the company offers custom metal-framed skylights, canopies, curtain walls, covered walkways, rain screens/wall-cladding, structural glass/point fixed glass, and ornamental metal products. Additionally, it provides operable and fixed solar shading louver systems; and architectural louvers, grilles, vision screens, penthouses, and brise soleil fixed sunshades. Mestek, Inc. was founded in 1898 and is based in Westfield, Massachusetts.