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1. Company Snapshot

1.a. Company Description

Ingersoll Rand Inc.provides various mission-critical air, fluid, energy, specialty vehicle and medical technologies in the United States, Europe, the Middle East, Africa, and the Asia Pacific.It operates through two segments, Industrial Technologies and Services, and Precision and Science Technologies.


The Industrial Technologies and Services segment designs, manufactures, markets, and services various air and gas compression, vacuum, and blower products; fluid transfer equipment and loading systems; and power tools and lifting equipment, including associated aftermarket parts, consumables, air treatment equipment, controls, other accessories, and services.The Precision and Science Technologies segment designs, manufactures, and markets a range of specialized positive displacement pumps, fluid management systems, accessories and aftermarket parts for liquid and gas dosing, transfer, dispensing, compression, sampling, pressure management and flow control in specialized or critical applications.The company's products are used in medical, laboratory, industrial manufacturing, water and wastewater, chemical processing, precision irrigation, energy, food and beverage, agriculture, and vacuum and automated liquid handling end-markets, as well as various manufacturing and industrial facilities applications.


It sells through an integrated network of direct sales representatives and independent distributors under the Ingersoll Rand, Gardner Denver, Club Car, CompAir, Nash, Elmo Rietschle, Robuschi, Thomas, Milton Roy, Seepex, ARO, Emco Wheaton, Runtech Systems, Air Dimensions, Albin, Dosatron, Haskel, LMI, Maximus, MP, Oberdorfer, Welch, Williams, Zinnser Analytic, and YZ brands.The company was formerly known as Gardner Denver Holdings, Inc.and changed its name to Ingersoll Rand Inc.


in March 2020.Ingersoll Rand Inc.was founded in 1859 and is headquartered in Davidson, North Carolina.

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1.b. Last Insights on IR

Ingersoll Rand's recent performance was negatively impacted by higher costs, which pressured its Q2 earnings. Despite revenue growth driven by recent acquisitions, the company's profitability was hurt by higher interest expenses and mixed organic growth. Additionally, management's guidance for 2025 calls for low single-digit revenue growth, mainly from acquisitions, with margin pressures from tariffs and pricing actions.

1.c. Company Highlights

2. Ingersoll Rand's Q3 2025 Earnings: A Story of Durable Growth

Ingersoll Rand reported adjusted EBITDA of $545 million, representing an adjusted EBITDA margin of 27.9%. The company's free cash flow for the quarter was $326 million, and its total liquidity stands at $3.8 billion. The actual EPS came in at $0.86, slightly below estimates of $0.862. Revenue growth was driven by continued strength in orders, which were up 8% year-over-year or 2% organically. The company's leverage increased modestly to 1.8x due to proactive capital deployment.

Publication Date: Nov -04

📋 Highlights
  • Q3 Adjusted EBITDA & Margin: Delivered $545M adjusted EBITDA with a 27.9% margin, driven by disciplined execution.
  • Free Cash Flow & Liquidity: Generated $326M free cash flow and maintained $3.8B in total liquidity amid leverage at 1.8x.
  • Tariff Impact & Mitigation: Tariffs caused a $100M+ headwind in 2025, but proactive pricing and IRX initiatives offset margin pressure.
  • Guidance Adjustments: Full-year adjusted EBITDA midpoint revised to $2.075B, with EPS guidance lowered to $3.28 from $3.40.
  • Acquisition & Growth Focus: 9 bolt-on deals under LOI, targeting mid-teens ROIC by year 3, with PST segment achieving 31% EBITDA margins.

Operational Highlights

The company's ITS Americas business saw organic orders up mid-single digits in Q3, while Asia Pacific was positive, with China up low single digits and the rest of Asia Pacific up mid-teens. EMEA was down high single digits due to timing issues in the industrial vacuum and blower business. The PST business continued to perform well, with good organic order momentum and healthy margin expansion, reaching 31% EBITDA margins.

Margin Commentary

Vicente Reynal expressed confidence in the 2027 EBITDA margins for the two segments, but noted that margin expansion will remain muted in the first half of 2026 due to tariffs. The company expects to offset these costs through pricing and leveraging IRX for self-help initiatives. The main headwinds include tariff-related dilution and targeted investments to support organic growth, resulting in incremental EBITDA margins in the mid-teens.

Guidance and Outlook

The company's full-year guidance for total revenue and organic volume growth remains unchanged, but the midpoint of adjusted EBITDA guidance has been modified to $2.075 billion. The adjusted EPS guidance has been reduced to $3.28 from $3.40. The company expects pricing to be relatively consistent in Q4, with a continued focus on ongoing commercial investment and demand generation to drive organic growth.

Valuation

With a P/E Ratio of 56.11 and an EV/EBITDA of 20.33, the market is pricing in significant growth expectations. The company's ROIC is 4.85%, and its ROE is 5.33%. Analysts estimate next year's revenue growth at 5.2%. The current valuation multiples suggest that the market is expecting sustained growth and profitability from Ingersoll Rand.

3. NewsRoom

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GlobalMeet Named Best Events Technology in 2025 Global Tech Awards

Nov -19

Source: businesswire.com

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Reasons Why You Should Avoid Betting on Ingersoll Rand Right Now

Nov -12

Source: zacks.com

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Ingersoll Rand Acquires Transvac Systems Ltd., Expanding Capabilities in Ejector Technology and Sustainable Engineered Solutions

Nov -03

Source: globenewswire.com

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Ingersoll Rand's Q3 Earnings Match Estimates, Revenues Beat

Oct -31

Source: zacks.com

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Ingersoll Rand Inc. (IR) Q3 2025 Earnings Call Transcript

Oct -31

Source: seekingalpha.com

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Compared to Estimates, Ingersoll (IR) Q3 Earnings: A Look at Key Metrics

Oct -30

Source: zacks.com

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Ingersoll Rand (IR) Q3 Earnings Meet Estimates

Oct -30

Source: zacks.com

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Ingersoll Rand Reports Third Quarter 2025 Results

Oct -30

Source: businesswire.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (4.26%)

6. Segments

Industrial Technologies and Services

Expected Growth: 4.2%

Ingersoll Rand Inc.’s growth is driven by increasing adoption of energy-efficient solutions, growing demand for industrial automation, and expanding presence in emerging markets.

Precision and Science Technologies

Expected Growth: 4.5%

Ingersoll Rand's growth is driven by increasing demand for energy efficient solutions, growth in industrial production, and rising adoption of digitalization in industries, leading to a forecast CAGR of 4.5%.

7. Detailed Products

Air Compressors

Ingersoll Rand's air compressors are designed to provide reliable and efficient compressed air solutions for a variety of industries, including manufacturing, oil and gas, and construction.

Air Tools

Ingersoll Rand's air tools are built to last, with a focus on durability, performance, and ergonomics, for a range of applications including automotive, industrial, and construction.

Material Handling

Ingersoll Rand's material handling solutions include lift trucks, pallet trucks, and warehouse equipment, designed to improve efficiency and productivity in warehouses and distribution centers.

Club Car Golf Carts

Ingersoll Rand's Club Car golf carts are designed for comfort, reliability, and performance, for use on golf courses, resorts, and in residential communities.

Thermo King Transport Refrigeration

Ingersoll Rand's Thermo King transport refrigeration solutions provide temperature control and monitoring for trucks, trailers, and containers, ensuring the safe transportation of perishable goods.

Trane HVAC Systems

Ingersoll Rand's Trane HVAC systems provide heating, ventilation, and air conditioning solutions for commercial and residential buildings, with a focus on energy efficiency and sustainability.

8. Ingersoll Rand Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Ingersoll Rand Inc. operates in a industry with moderate threat of substitutes. The company's products and services are moderately differentiated, and customers have some alternatives available.

Bargaining Power Of Customers

Ingersoll Rand Inc. has a diverse customer base, and no single customer has significant bargaining power. The company's products and services are widely used, and customers have limited alternatives.

Bargaining Power Of Suppliers

Ingersoll Rand Inc. has a moderate level of bargaining power with its suppliers. The company has a diverse supplier base, and no single supplier has significant bargaining power.

Threat Of New Entrants

Ingersoll Rand Inc. operates in an industry with high barriers to entry, including significant capital requirements and regulatory hurdles. The threat of new entrants is low.

Intensity Of Rivalry

Ingersoll Rand Inc. operates in a highly competitive industry with several established players. The company faces intense competition, and rivalry is high.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 21.78%
Debt Cost 7.50%
Equity Weight 78.22%
Equity Cost 10.98%
WACC 10.22%
Leverage 27.84%

11. Quality Control: Ingersoll Rand Inc. passed 7 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

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AMETEK

A-Score: 5.4/10

Value: 1.7

Growth: 6.1

Quality: 8.1

Yield: 1.0

Momentum: 6.0

Volatility: 9.3

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A-Score: 5.3/10

Value: 2.4

Growth: 3.1

Quality: 6.5

Yield: 4.0

Momentum: 7.0

Volatility: 8.7

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Roper Technologies

A-Score: 5.0/10

Value: 2.6

Growth: 5.7

Quality: 7.4

Yield: 1.0

Momentum: 3.0

Volatility: 10.0

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Dover

A-Score: 4.9/10

Value: 3.7

Growth: 4.9

Quality: 7.4

Yield: 2.0

Momentum: 3.0

Volatility: 8.7

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Otis

A-Score: 4.9/10

Value: 4.4

Growth: 4.4

Quality: 5.7

Yield: 3.0

Momentum: 3.0

Volatility: 9.0

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Ingersoll Rand

A-Score: 4.3/10

Value: 1.8

Growth: 7.6

Quality: 6.6

Yield: 0.0

Momentum: 2.5

Volatility: 7.3

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

79.86$

Current Price

79.86$

Potential

-0.00%

Expected Cash-Flows