UBS’ Top Tech Based Disruptive Stocks For 2030: Top 29 Stocks

15. Trane Technologies plc (NYSE:TT)

Number of Hedge Fund Holders In Q2 2024: 57

Trane Technologies plc (NYSE:TT) is an American building products firm that is based in Ireland. It sells industrial scale items such as heating and ventilation systems, transportation heating and ventilation systems, and other items. This provides it with wide exposure to the construction and industrial industries. Since the firm’s products are key in building heat management, Trane Technologies plc (NYSE:TT) can prove to be a key player in the clean energy and green technology industry. Subsequently, despite the fact that its target industries are among those most sensitive to interest rates, Trane Technologies plc (NYSE:TT)’s shares are up 63% year to date. Additionally, the ongoing AI boom which has spurred the demand for data centers provides the firm with a key growing market. Its industrial nature also provides insight into Trane Technologies plc (NYSE:TT)’s future through bookings. On this front, the firm ended Q2 with $5 billion in bookings, which not only marked a 5% annual growth but marked a new record. These came at a time when broader construction spending was constrained, and as a result, it was a testament to Trane Technologies plc (NYSE:TT)’s strong management.

Trane Technologies plc (NYSE:TT)’s management commented on its data center exposure during the Q2 2024 investor call. Here is what they said:

“I would say that we should maybe challenge ourselves as to what’s normal, okay. We’re a lot bigger business than we were four years ago, obviously. Lead times, that’s not — I would say that’s — I would say lead times are back to what I would call a normal rate. For data centers, for sure. We have data center customers that are providing us visibility to their needs well in advance than, say, maybe some of the other verticals. So that’s a part of it. But look, we’re seeing tremendous strength, really, in almost all verticals. As we looked in the Americas in our commercial HVAC business in the quarter, I think we spoke before, we tracked 14 different verticals. It was hard for us to find a vertical that was down. So we just have broad-based strength. We certainly are seeing a lot of demand in the high growth verticals like data centers, but we’re also seeing nice demand in other verticals as well.”