Company Reports

ITT reported second-quarter organic sales growth of 13% year over year, driven by strength in its flow technologies and connect and control segments. Management raised its full-year guidance.

ITT has done a great job refining its portfolio through various spinoffs over the last few decades. Its automotive, locomotive, aerospace, and industrial plant components are highly engineered and specified into the designs of customer products and operations. We think ITT’s brake pad business, in which the firm holds nearly 30% global market share, will continue to perform well based on a combination of material science expertise, technological innovations like the smart pad, and its record of on-time delivery (consistently greater than 99.9%) and low defect rate (less than 1 part per billion).

ITT reported first-quarter organic sales growth of 11% year over year, driven by strength in its industrial pump and aerospace connector businesses. However, four extra working days added around 500 basis points of topline growth. ITT also closed its acquisition of SPX Flow in March.

ITT has done a great job refining its portfolio through various spinoffs over the last few decades. Its current portfolio of automotive, locomotive, aerospace, and industrial plant components are highly engineered and specified into the designs of customer products and operations. We think ITT’s brake pad business, in which the firm holds nearly 30% global market share, will continue to perform well based on a combination of material science expertise, technological innovations like the smart pad, and its record of on-time delivery (consistently greater than 99.9%) and low defect rate (less than 1 part per billion).

ITT reported fourth-quarter sales growth of 13% year over year. Over the full year, ITT's sales grew 8% driven by strength in its connect & control technologies segment. It also announced the acquisition of SPX FLOW in December of 2025, which is expected to be completed later in the first quarter.

ITT has done a great job refining its portfolio through various spinoffs over the last few decades. Its current portfolio of automotive, locomotive, aerospace, and industrial plant components are highly engineered and specified into the designs of customer products and operations. We think ITT’s brake pad business, in which the firm holds nearly 30% global market share, will continue to perform well based on a combination of material science expertise, technological innovations like the smart pad, and its record of on-time delivery (consistently greater than 99.9%) and low defect rate (less than 1 part per billion).

ITT grew its organic sales 6% and its adjusted EPS compounded over 20% year over year. Results were driven by strength in its Industrial Process segment.

ITT has done a great job refining its portfolio through various spinoffs over the last few decades. Its current portfolio of automotive, locomotive, aerospace, and industrial plant components are highly engineered and specified into the designs of customer products and operations. We think ITT’s brake pad business, in which the firm holds nearly 30% global market share, will continue to perform well based on a combination of material science expertise, technological innovations like the smart pad, and its record of on-time delivery (consistently greater than 99.9%) and low defect rate (less than 1 part per billion).

ITT grew organic sales 4% and its operating margin expanded 40 basis points to produce around 5% earnings per share growth year over year. Management raised full-year revenue and EPS guidance, and shares traded up around 1% the morning of July 31.

ITT reported flat revenue, margin, and earnings growth year over year. Management lowered full-year guidance for GAAP operating margin and EPS to reflect tariff impacts, and shares traded flat on May 1.

We assign ITT a fair value estimate of $141 per share upon relaunching coverage. ITT’s value is underpinned by a wide economic moat through which we believe it can produce returns above its cost of capital over the next two decades. We also assign ITT a Standard Capital Allocation Rating, reflecting its stellar balance sheet, reasonable investment decisions, and mixed shareholder distributions.

ITT has done a great job refining its portfolio through various spinoffs over the last few decades. Its current portfolio of automotive, locomotive, aerospace, and industrial plant components are highly engineered and specified into the designs of customer products and operations. We think ITT’s brake pad business, in which the firm holds nearly 30% global market share, will continue to perform well based on a combination of material science expertise, technological innovations like the smart pad, and its record of on-time delivery (consistently greater than 99.9%) and low defect rate (less than 1 part per billion).

We will discontinue analyst coverage of ITT on or about Dec. 21. We provide analyst research and ratings on over 1,500 companies globally and periodically adjust our coverage according to investor interest and staffing.

Narrow-moat-rated ITT turned in a solid third-quarter effort. Results marginally beat our expectations for revenue, adjusted operating margins, and adjusted EPS. Furthermore, management raised its guide on continued strength. Consequently, we raise our fair value estimate by over 5% to $113.

We think ITT is well-positioned to continue winning in its marque brake pad business (owning nearly 30% global market share), while a focus on continuous improvement will drive both its industrial process and connect and control technologies' segments to over 20% adjusted segment operating margins.

Narrow-moat ITT reported strong 2023 second-quarter results, as order volume and price continue to drive top-line growth. We raise our fair value estimate by 4% to $107 from $103, driven by time value of money and higher operating margins, primarily in the industrial process segment, though accelerated margin expansion in motion technologies also helps. Management raised the midpoint of its adjusted EPS range by 25 basis points. We still model near the top end of guidance with adjusted EPS of $5.10 and full-year organic sales growth north of 7%. We value ITT at 21 times adjusted EPS, relatively in line with the rest of the U.S. multi-industry category.

We think ITT is well-positioned to continue winning in its marque brake pad business (owning nearly 30% global market share), while a focus on continuous improvement will drive both its industrial process and connect and control technologies' segments to over 20% adjusted segment operating margins.

Nothing in narrow-moat-rated ITT’s first-quarter results materially alters our long-term point of view. Management raised the lower end of its adjusted EPS range by a dime, setting the new range between $4.65 and $4.95. We model above the midpoint of the guide with adjusted EPS of $4.87, meaning we moved up our prior projection by a quarter. We mostly pulled forward our estimates, and model at the top end of the organic revenue guide, but around the midpoint of the adjusted segment operating margin guide. We now value ITT at 21 times adjusted EPS, relatively in line with the rest of the U.S. multi-industry category.

We think ITT is well positioned to continue to win in its marque brake pad business (nearly 30% global market share), while a focus on continuous improvement will drive both its industrial process and connect and control technologies' segments to over 20% adjusted segment operating margins.

We see no reason to change our $101 fair value estimate following narrow-moat-rated ITT's fourth-quarter results. ITT’s print exceeded our expectations, even as the guide came in a bit below what we were penciling in given lower adjusted segment operating margins. ITT’s consolidated revenue of $775 million was better than what were hoping to see ($750 million estimated), and rose 13% year on year, or over 17% organically.