Ingersoll-Rand PLC

Find Ratings Reports
IR : NYSE : Industrial Goods
$67.72 | %
Today's Range: 66.57 - 67.76
Avg. Daily Volume: 1,809,700
07/22/16 - 4:02 PM ET

Financial Analysis

INGERSOLL-RAND PLC's gross profit margin for the first quarter of its fiscal year 2016 is essentially unchanged when compared to the same period a year ago. The company managed to grow both sales and net income at a faster pace than the average competitor in its industry this quarter as compared to the same quarter a year ago. INGERSOLL-RAND PLC has weak liquidity. Currently, the Quick Ratio is 0.73 which shows a lack of ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.

At the same time, stockholders' equity ("net worth") has remained virtually unchanged only increasing by 1.19% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the future.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit

Income Statement Q1 FY16 Q1 FY15
Net Sales ($mil)2894.12887.8
EBITDA ($mil)305.3259.0
EBIT ($mil)217.3171.1
Net Income ($mil)152.451.3

Balance Sheet Q1 FY16 Q1 FY15
Cash & Equiv. ($mil)612.9733.9
Total Assets ($mil)16952.517409.0
Total Debt ($mil)4472.64544.0
Equity ($mil)5792.85724.2

Profitability Q1 FY16 Q1 FY15
Gross Profit Margin32.3130.78
EBITDA Margin10.548.96
Operating Margin7.515.92
Sales Turnover0.780.75
Return on Assets4.515.19
Return on Equity13.0415.36
Debt Q1 FY16 Q1 FY15
Current Ratio1.221.28
Interest Expense56.755.1
Interest Coverage3.833.11

Share Data Q1 FY16 Q1 FY15
Shares outstanding (mil)257.3264.6
Div / share0.320.29
Book value / share22.5121.63
Institutional Own % n/a n/a
Avg Daily Volume1803030.02269929.0


BUY. INGERSOLL-RAND PLC's P/E ratio indicates a discount compared to an average of 24.52 for the Machinery industry and a value on par with the S&P 500 average of 25.05. To use another comparison, its price-to-book ratio of 2.98 indicates valuation on par with the S&P 500 average of 2.81 and a discount versus the industry average of 3.79. The current price-to-sales ratio is well below the S&P 500 average and is also below the industry average, indicating a discount. Upon assessment of these and other key valuation criteria, INGERSOLL-RAND PLC proves to trade at a discount to investment alternatives within the industry.

1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
IR 23.60 Peers 24.52   IR 18.19 Peers 16.07

Average. An average P/E ratio can signify an industry neutral price for a stock and an average growth expectation.

IR is trading at a valuation on par with its peers.


Premium. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

IR is trading at a premium to its peers.

1 2 3 4 5
premium   discount
  Price to
1 2 3 4 5
premium   discount
IR 14.92 Peers 21.65   IR 0.40 Peers 3.66

Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations.

IR is trading at a discount to its peers.


Discount. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

IR trades at a significant discount to its peers.

1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
IR 2.98 Peers 3.79   IR -12.35 Peers -27.70

Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

IR is trading at a discount to its peers.


Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

IR is expected to have an earnings growth rate that significantly exceeds its peers.

1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
IR 1.30 Peers 1.63   IR 1.92 Peers -5.12

Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

IR is trading at a discount to its industry on this measurement.


Higher. A sales growth rate that exceeds the industry implies that a company is gaining market share.

IR has a sales growth rate that significantly exceeds its peers.



Latest Stock Upgrades/Downgrades