Ingersoll Rand Inc.

Diversified, wide-moat flow-creation and industrial franchise with strong margins and large recurring aftermarket revenue.

Strengths

• Top-quartile operating (79.9th), OCF (72nd), and net margins; durable moat from 90+ brands, switching costs, and 36.5% aftermarket revenue
• Strong liquidity, near-zero leverage, and positive organic growth (+5.7%)

Risks

• ROE only 5.8% (51.6th pct) — depressed by large acquisition-driven equity/goodwill base
• Net income fell ~31%, a real earnings deterioration

Notable findings

• Exec changeRecent 8-K item 5.02 8-K ↗
• Customer concentration~58% of revenue from one customer/distributor — For the year ended December 31, 2025, 58% of our revenues were from customers in countries outside of the United States
• Chronic dilutionShare count +18%/yr over 4y (dilution, book value/share -43%)
• Strong balance sheetStrong balance sheet — $1.2B cash & investments
• Revenue declineRevenue -11.7% YoY