- ITT came up short on revenue in Q4 due to supply chain disruptions, but operating income beat with impressive margin leverage.
- Supply chain issues are hampering ITT's ability to meet demand, but underlying demand is strong and improving across the non-auto businesses.
- Auto production should improve as the year goes on, and ITT continues to win EV project awards.
- On the basis of 4% long-term revenue growth, 8% FCF growth, and near-term operating margins in the 17%'s, ITT looks undervalued below $100.
For further details see:
ITT Managing Fierce Headwinds Well, And Underlying Demand Is Strong