- In recent days, ITT reported that its revenue has grown 9.7% annually over the past five years, outpacing its sector, while projecting 35% revenue growth over the next 12 months and lifting its free cash flow margin by 17.6 percentage points over the same five-year period.
- This combination of faster-than-sector revenue expansion and a sharply higher free cash flow margin signals that ITT’s offerings are resonating with customers while also giving the company more financial flexibility to invest or return capital.
- Now we’ll explore how ITT’s stronger free cash flow profile could influence its existing investment narrative and the outlook analysts have framed.
Find 62 companies with promising cash flow potential yet trading below their fair value.
ITT Investment Narrative Recap
To own ITT, you need to believe it can keep turning solid demand for its engineered products into growing, cash rich operations, despite project and competitive pressures. The latest update on 9.7% annual revenue growth and a sharply higher free cash flow margin reinforces that story, but does not remove the near term risk that large, project based backlogs could still face delays if customer spending plans shift.
Among recent announcements, the 2026 guidance for mid to high single digit revenue and EPS growth is most relevant, because it frames how management is thinking about translating this stronger free cash flow profile into future performance. That guidance sits alongside the VIDAR product rollout and ongoing buybacks, giving investors clear reference points for assessing whether ITT’s improved cash generation supports the catalysts they care most about.
But against this stronger cash flow picture, investors should still pay close attention to how exposed ITT remains to project timing risk and...
Read the full narrative on ITT (it's free!)
ITT's narrative projects $6.3 billion revenue and $858.0 million earnings by 2029. This requires 17.0% yearly revenue growth and a $369.9 million earnings increase from $488.1 million today.
Uncover how ITT's forecasts yield a $231.70 fair value, a 7% upside to its current price.
Exploring Other Perspectives
Some of the lowest analysts were assuming only about 7 percent annual revenue growth and US$719.4 million of earnings by 2029, so compared with the new 35 percent near term revenue outlook and the backlog linked risk you just read about, you can see how differently people can view ITT’s prospects and why it is worth weighing several opinions before you decide what makes sense for you.
Explore 3 other fair value estimates on ITT - why the stock might be worth as much as 7% more than the current price!
The Verdict Is Yours
Don't just follow the ticker - dig into the data and build a conviction that's truly your own.
- A great starting point for your ITT research is our analysis highlighting 2 key rewards that could impact your investment decision.
- Our free ITT research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate ITT's overall financial health at a glance.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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