ITT Inc. — Cyborg Score 7/10

Strong
Engineered Industrial Components & Critical Systems Manufacturing

Strategic Profile

ITT expects 11% revenue growth in 2026 with organic growth of 5%, operating margins of approximately 18%, and adjusted EPS of $1.68 to $1.72. The company increased its quarterly dividend by 10% in 2026, following similar increases in 2024 and 2025, with compound annual dividend growth of 15% since 2020. The company operates globally through three core segments: Motion Technologies, Industrial Process, and Connect & Control Technologies, serving diverse industrial and aerospace markets.

Cyborg Score Rationale

ITT operates with a 35% gross margin, 12.67% profit margin, and 17.4% EBIT margin, demonstrating operational competence. The company's stock traded up 9.51% following investor optimism over strategic acquisitions. Recent price target increases from major analysts signal confidence in growth prospects post-SPX FLOW integration.

Top Insights

  • Q4 2025 delivered 13% YoY revenue growth with 9% organic expansion, aided by volume, pricing, and recent acquisitions (Svanehøj, kSARIA)
  • SPX FLOW acquisition expected Q1 2026 closing; excludes from current 2026 guidance showing underlying operational momentum
  • 15% CAGR dividend growth since 2020 reflects capital-disciplined approach and confidence in earnings trajectory
  • PE ratio of 30.89 suggests market expectations for growth, requiring cautious scrutiny of execution risks

Named Competitors

  • Parker-Hannifin — Motion and control technologies for aerospace, industrial, and mobile markets
  • Flowserve — Engineered pumps, valves, and seals for critical applications
  • Timken — Engineered bearings and power transmission components

Recent Developments

  • (February 2026) Q4 2025 earnings with 13% YoY revenue growth; 10% quarterly dividend increase announced
  • (December 2025) SPX FLOW acquisition announced; targeted Q1 2026 close; $7M share equity offering completed
  • (2025) Svanehøj acquired KOHO; Saudi Arabia facility expansion announced (~$25M investment)

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