ITT

ITT Inc

Industrial/Transportation


Presented:12/06/2019
Price:$71.24
Cap:$6.25B
Current Price:$151.25
Cap:$12.36B

Presented

Date12/06/2019
Price$71.24
Market Cap$6.25B
Ent Value$5.09B
P/E Ratio20.47x
Book Value$22.80
Div Yield0.83%
Shares O/S87.70M
Ave Daily Vol570,459
Short Int1.77%

Current

Price$151.25
Market Cap$12.36B
ITT, Inc. engages in the manufacture and sale of engineered components and customized technology solutions in the field of energy, transportation, and industrial markets. It operates through the following segments: Motion Technologies, Industrial Process, and Connect and Control Technologies. The Motion Technologies segment manufactures brake components and specialized sealing solutions, shock absorbers and damping technologies primarily for the global automotive, truck and trailer, public bus and rail transportation. The Industrial Process segment includes engineered fluid process equipment in areas such as chemical, oil and gas, mining, and other industrial process markets as well as providing of plant optimization and efficiency solutions and aftermarket services and parts. The Connect and Control Technologies segment offers harsh-environment connector solutions and critical energy absorption and flow control components for the aerospace and defense, general industrial, medical, and oil and gas markets. The company was founded in 1920 and is headquartered in White Plains, NY.

Publicly traded companies mentioned herein: Akebono Brake (7238 JP), Crane Company (CR), IDEX Corporation (IEX), ITT Inc. (ITT)

Highlights

The presenter is long shares of ITT Inc (ITT), a $6.2B manufacturer of critical components for the energy, transportation, and industrial markets worldwide. He believes that the new CEO, Luca Savi, has successfully turned the company around and is on track to make it a premium industrial company over the next few years. The stock is trading at ~$71 per share, or 10.5x forward EV/EBITDA, which is a discount to premium industrial companies (e.g., Crane Company and IDEX Corporation) trading in the 12x - 13x range. As the company continues to execute, he expects upside to $90 - $100.

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Idea Discussion

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