Compare Stocks › MSFT vs TT
Microsoft Corporation (MSFT) vs Trane Technologies plc (TT)
MSFT
Microsoft Corporation
$389.02
VS
TT
Trane Technologies plc
$423.03
Rewards
MSFT
- ★Microsoft Corporation has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
- ★Gross margin of 68.6% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
- ★Microsoft Corporation scores 88/100 on the Economic Moat Score (Wide Moat), with revenue predictability as the strongest competitive dimension.
TT
- ★Trane Technologies plc has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
- ★Trane Technologies plc scores 95/100 on the Economic Moat Score (Wide Moat), with roic consistency as the strongest competitive dimension.
- ★Free cash flow has grown at a 32.4% CAGR over the past 4 years, demonstrating strong earnings power growth.
Risks
MSFT
- ⚠FCF yield of 2.5% is below 3%, meaning the market is pricing in substantial future growth to justify the current price.
TT
- ⚠FCF yield of 3.0% is below 3%, meaning the market is pricing in substantial future growth to justify the current price.
- ⚠11 insider sales totaling $25.5M with no purchases in the past 3 months — insiders are reducing their exposure.
Key Valuation Metrics
Learn more →MSFT
TT
Valuation
$71.61B
Free Cash Flow
$2.81B
2.48%
FCF Yield
3.00%
24.33
Trailing P/E
32.15
20.64
Forward P/E
25.14
Quality & Moat
22.10%
ROIC
18.60%
26.05%
ROE
33.93%
68.59%
Gross Margin
36.16%
0.41
PEG Ratio
N/A
Balance Sheet Safety
0.32
Debt / Equity
0.63
N/A
Interest Coverage
N/A
0.19
Net Debt / EBITDA
0.87
0.94%
Dividend Yield
0.99%
MSFT: 7Ties: 1TT: 3
MSFTTT
Historical Fundamentals
Learn more →MSFT
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
TT
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
$1 Retained Earnings Test
Learn more →MSFT
$9.18
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$196.68B
Δ Market Cap
+$1.81T
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
TT
$9.12
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$5.23B
Δ Market Cap
+$47.73B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
Discounted Cash Flow (DCF) Analysis
Learn more →MSFT
0.5% Overvalued
Price is 0.5% above estimated fair value
Current Price: $389.02
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Fair Value: $387.10
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
TT
11.2% Overvalued
Price is 11.2% above estimated fair value
Current Price: $423.03
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Fair Value: $380.54
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Reverse DCF — Market-Implied Growth
Learn more →MSFT
What growth rate is the market pricing in at $389?
+12.6%
Market-Implied Owner Earnings Growth
Standard FCF implies +17.4%
The market implies +12.6% Owner Earnings growth, roughly in line with history — reasonably priced.
Standard FCF implies +17.4%, reflecting ongoing growth investment.
TT
What growth rate is the market pricing in at $423?
+14.7%
Market-Implied Owner Earnings Growth
Standard FCF implies +15.2%
The market implies +14.7% Owner Earnings growth, below historical trends — potential opportunity.
Standard FCF implies a more demanding +15.2%, reflecting heavy growth investment expected to generate future returns.
Economic Moat Score
Learn more →MSFT
88/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None
Wide moat driven primarily by revenue predictability. Reinvestment Efficiency is the area most vulnerable to competitive pressure.
Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
TT
95/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None
Wide moat with strength across all dimensions. ROIC Consistency is the standout factor.
Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
Forensic Accounting
Learn more →MSFT
-2.51
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone
M-Score Trend
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
TT
-2.46
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone
M-Score Trend
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
Ownership Breakdown
Learn more →MSFT
Insiders 0.1%Institutions 76.0%Retail & Other 23.9%
No. of Institutional Holders8,055
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
TT
Insiders 0.3%Institutions 90.1%Retail & Other 9.6%
No. of Institutional Holders2,347
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.
Insider Buying Activity
Learn more →MSFT
1
Buys (3M)
2
Buys (12M)
Total value (12M): $3.44M
STANTON JOHN W.
Director
$1.99M
@ $397.35 · 2026-02-18
SMITH BRADFORD LEE
President
$1.45M
@ $377.47 · 2025-04-23
Open market purchases · includes direct & indirect ownership · excludes option exercises
TT
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises
Open market purchases · includes direct & indirect ownership · excludes option exercises.
Insider Selling Activity
Learn more →MSFT
1
Sells (3M)
13
Sells (12M)
Total value (12M): $172.43M
HOGAN KATHLEEN T
Officer
$5.05M
@ $409.55 · 2026-03-06
NUMOTO TAKESHI
Officer
$1.36M
@ $478.72 · 2025-12-04
ALTHOFF JUDSON
Officer
$6.27M
@ $491.52 · 2025-12-02
SMITH BRADFORD LEE
President
$19.97M
@ $518.64 · 2025-11-03
NADELLA SATYA
Chief Executive Officer
$75.32M
@ $504.78 · 2025-09-03
NUMOTO TAKESHI
Officer
$2.56M
@ $527.32 · 2025-08-12
NUMOTO TAKESHI
Officer
$1.39M
@ $463.00 · 2025-06-03
NUMOTO TAKESHI
Officer
$460,008
@ $460.01 · 2025-05-30
HOGAN KATHLEEN T
Officer
$9.76M
@ $453.77 · 2025-05-21
ALTHOFF JUDSON
Officer
$7.33M
@ $458.18 · 2025-05-19
COLEMAN AMY
Officer
$5.99M
@ $452.04 · 2025-05-15
SMITH BRADFORD LEE
President
$1.68M
@ $438.44 · 2025-05-05
SMITH BRADFORD LEE
President
$35.30M
@ $435.84 · 2025-05-05
NUMOTO TAKESHI
Officer
$1.12M
@ $447.41 · 2024-12-09
NUMOTO TAKESHI
Officer
$874,634
@ $437.32 · 2024-12-04
NUMOTO TAKESHI
Officer
$1.50M
@ $428.76 · 2024-12-02
ALTHOFF JUDSON
Officer
$10.43M
@ $417.00 · 2024-11-22
NUMOTO TAKESHI
Officer
$414,720
@ $414.72 · 2024-11-22
YOUNG CHRISTOPHER DAVID
Officer
$3.05M
@ $423.66 · 2024-11-12
HOGAN KATHLEEN T
Officer
$7.16M
@ $411.86 · 2024-09-10
NUMOTO TAKESHI
Officer
$1.03M
@ $411.04 · 2024-09-10
SMITH BRADFORD LEE
President
$16.10M
@ $402.59 · 2024-09-09
HOOD AMY E
Chief Financial Officer
$15.60M
@ $410.55 · 2024-09-05
NADELLA SATYA
Chief Executive Officer
$32.02M
@ $408.63 · 2024-09-04
NUMOTO TAKESHI
Officer
$235,535
@ $416.14 · 2024-06-03
ALTHOFF JUDSON
Officer
$10.64M
@ $425.68 · 2024-05-23
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
TT
11
Sells (3M)
16
Sells (12M)
Total value (12M): $39.92M
SIMMONS DONALD E
Officer
$1.59M
@ $422.70 · 2026-03-06
ELWELL ELIZABETH A
Officer
$268,418
@ $422.71 · 2026-03-06
REGNERY DAVID S
Chief Executive Officer
$15.24M
@ $422.69 · 2026-03-06
SIMMONS DONALD E
Officer
$3.64M
@ $475.00 · 2026-02-12
SIMMONS DONALD E
Officer
$380,230
@ $462.57 · 2026-02-10
ELWELL ELIZABETH A
Officer
$63,359
@ $462.47 · 2026-02-10
REGNERY DAVID S
Chief Executive Officer
$2.59M
@ $462.60 · 2026-02-10
KUEHN CHRISTOPHER J
Chief Financial Officer
$1.11M
@ $462.70 · 2026-02-10
SIMMONS DONALD E
Officer
$198,119
@ $451.30 · 2026-02-06
ELWELL ELIZABETH A
Officer
$20,752
@ $451.13 · 2026-02-06
REGNERY DAVID S
Chief Executive Officer
$445,213
@ $451.08 · 2026-02-06
ELWELL ELIZABETH A
Officer
$264,000
@ $440.00 · 2025-10-30
ELWELL ELIZABETH A
Officer
$170,425
@ $425.00 · 2025-10-01
REGNERY DAVID S
Chief Executive Officer
$9.22M
@ $410.00 · 2025-09-02
SIMMONS DONALD E
Officer
$3.37M
@ $400.00 · 2025-05-02
SIMMONS DONALD E
Officer
$1.36M
@ $380.00 · 2025-04-30
SIMMONS DONALD E
Officer
$1.18M
@ $350.00 · 2025-03-05
TURTZ EVAN M.
Officer
$1.31M
@ $346.99 · 2025-03-05
MAGNER MAIREAD
Officer
$1.25M
@ $346.95 · 2025-03-05
REGNERY DAVID S
Chief Executive Officer
$9.36M
@ $346.95 · 2025-03-05
KUEHN CHRISTOPHER J
Chief Financial Officer
$2.93M
@ $346.96 · 2025-03-05
SIMMONS DONALD E
Officer
$429,829
@ $359.99 · 2025-02-11
TURTZ EVAN M.
Officer
$171,608
@ $359.77 · 2025-02-11
MAGNER MAIREAD
Officer
$88,949
@ $360.12 · 2025-02-11
REGNERY DAVID S
Chief Executive Officer
$1.12M
@ $360.14 · 2025-02-11
KUEHN CHRISTOPHER J
Chief Financial Officer
$308,108
@ $359.94 · 2025-02-11
TURTZ EVAN M.
Officer
$113,882
@ $358.12 · 2025-02-10
MAGNER MAIREAD
Officer
$57,698
@ $358.37 · 2025-02-10
REGNERY DAVID S
Chief Executive Officer
$830,239
@ $358.17 · 2025-02-10
KUEHN CHRISTOPHER J
Chief Financial Officer
$275,963
@ $358.39 · 2025-02-10
TURTZ EVAN M.
Officer
$183,723
@ $357.44 · 2025-02-04
MAGNER MAIREAD
Officer
$70,807
@ $357.61 · 2025-02-04
REGNERY DAVID S
Chief Executive Officer
$984,106
@ $357.34 · 2025-02-04
KUEHN CHRISTOPHER J
Chief Financial Officer
$313,100
@ $357.42 · 2025-02-04
MAGNER MAIREAD
Officer
$1.80M
@ $416.00 · 2024-12-04
KUEHN CHRISTOPHER J
Chief Financial Officer
$5.12M
@ $376.62 · 2024-11-04
PITTARD RAYMOND D
Officer
$593,221
@ $328.65 · 2024-08-07
REGNERY DAVID S
Chief Executive Officer
$9.46M
@ $321.25 · 2024-08-06
TURTZ EVAN M.
Officer
$2.89M
@ $321.30 · 2024-06-05
CAMUTI PAUL A
Officer
$6.25M
@ $321.33 · 2024-06-05
KUEHN CHRISTOPHER J
Chief Financial Officer
$2.57M
@ $320.05 · 2024-06-05
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.
🎭 Mr. Market's Mood
Learn more →MSFT
😐Neutral(43/100)
"Market is pricing this stock without strong emotion in either direction"
Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
TT
😐Neutral(50/100)
"Market is pricing this stock without strong emotion in either direction"
Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
⚖️ Buffett Signal
Learn more →MSFT
⚪Awaiting DCF Data
The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.
DCF Margin of Safety: N/AMr. Market's Mood: Neutral (43)
TT
⚪Awaiting DCF Data
The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.
DCF Margin of Safety: N/AMr. Market's Mood: Neutral (50)