Recommended as Stock of the Week on March 9, 2026

Fortive: The silent precision maker that hardly anyone knows - but many need

TickerFTV.NYSE
Recommended Price55.66 USD
Current Price 55.66 USD
Fortive Corp – stock chart

Scores at time of recommendation (March 9, 2026)

Leeway Score
60/100
Excellent
Business Rating
72/100
Excellent
Market-Fit Rating
58/100
Fair
Cycle Rating
52/100
Fair

More about our scores in Help

5-year stock timeline

Fortive completed the spin-off of Vontier (transportation/franchises) on October 9, 2020, distributing shares to shareholders as part of a portfolio simplification strategy.

In September 2024, Fortive announced a tax-free spin-off of its Precision Technologies segment, later named Ralliant, which was completed on June 28, 2025. Following the separation, the company executed a $550 million special-purpose share repurchase program, deploying $345 million in the first half of 2025.

From 2022 through 2024, Fortive reported record adjusted margins and strong organic performance, introducing multi-year growth guidance emphasizing operating leverage and recurring revenue expansion. Management raised full-year 2025 guidance after a strong third quarter and exceeded the high end of its adjusted EPS guidance in Q4 2025. The company prioritized free-cash-flow conversion and used proceeds from the Ralliant separation to accelerate share repurchases and strengthen balance-sheet flexibility.

After the October 2020 Vontier spin, Fortive's story shifted toward a narrower industrial growth company with higher-quality recurring revenue and service/software exposure. Through 2022–2024, the narrative evolved into an operational compounder as margin expansion and earnings growth reframed investor expectations from cyclical industrial to higher-quality, productivity-driven growth. Following the mid-2025 Ralliant separation, the market narrative moved toward a simpler two-segment company focused on Intelligent Operating Solutions and Advanced Healthcare Solutions, with disciplined capital allocation and buybacks as primary shareholder return levers.

The stock experienced a deep technical low in March 2020 during the broader market selloff, marking the start of a multi-year recovery. That recovery became a sustained uptrend through 2020–2021 into 2022, with materially higher levels reached during 2021–2024 as earnings and margins improved. From 2024–2025, the stock exhibited event-driven volatility and consolidation around the Ralliant spin announcement and execution, followed by renewed buyback-supported stability into 2026 as the company reset as a more focused entity.

Key Points

From recommendation (March 9, 2026)

  • Q4 2025: Sales +4.6% to 1.12 billion USD, expectations exceeded by 2.7%
  • Adjusted EPS growth ~13% in the quarter, annual EPS guidance exceeded
  • Adjusted EBITDA growth ~8% in the quarter - solid operational execution
  • P/E ratio 31.6x at PEG of 0.98 - growth is not overpriced in the price
  • EPS estimates: USD 2.97 (2025e) → USD 3.18 (2026e) - moderate, steady growth
  • Gates Capital holds FTV as top 5 position with ~134.8m. USD exposure
  • Equity ratio solid at 55%, no balance sheet stress recognizable

Investment Thesis

From recommendation (March 9, 2026)

Fortive is not a glamor title - and that's exactly the point. The Group builds measurement technology, precision instruments and industrial software for customers who simply cannot afford to make mistakes. This creates high switching costs, stable margins and pricing power that is rare in the industry. Following the spin-off from Ralliant, Fortive is now more focused with two clear segments: Intelligent Operating Solutions and Advanced Healthcare Solutions. Q4 was further proof that the new structure is working. No hype, no moonshot - but a business model that delivers in difficult markets.

Key risks and downside factors

Fortive operates across three core areas—Intelligent Operating Solutions, Precision Technologies, and Advanced Healthcare Solutions—delivering products, software, and services as a diversified industrial-technology company. The competitive landscape is layered: large instrumentation and industrial peers compete on hardware, while enterprise software and CMMS providers press on recurring-revenue workflows. The company carries real exposure to cyclical end markets, the execution risk inherent in software integrations and M&A, and regulatory and clinical complexities within healthcare.

  • Cyclical swings in industrial, semiconductor, and services demand could pressure both revenue and margins.
  • Larger diversified industrials and specialized instrumentation competitors are likely to pressure both pricing and product differentiation, which could weigh on shares.
  • M&A integration and the shift toward software-enabled recurring-revenue models carry real execution risk that could slow growth and compress operating leverage.
  • Advanced Healthcare Solutions carries meaningful legal and reputational risk through its regulatory, clinical compliance, and product-liability exposure—each touching reimbursement pathways in ways that compound the problem.

Competitive landscape

Fortive operates across three distinct domains: test and measurement, intelligent operating solutions, and healthcare equipment and services. The competitive landscape includes capable peers like Roper Technologies, Keysight Technologies, and AMETEK, each with particular strength in different segments. The company's earnings move with industrial cycles. Margin pressure comes from persistent low-cost competition and ongoing consolidation in its markets. In healthcare and nuclear-related operations, regulatory and compliance requirements add operational weight that can move the needle on profitability.

CompanyTicker
Roper TechnologiesROP.NYSE
Keysight TechnologiesKEYS.NYSE
AMETEKAME.NYSE

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Catalysts

From recommendation (March 9, 2026)

  • 17. March: CFO appearance on J.P. Morgan Industrials Conference - Guidance and capital allocation signals
  • Next quarterly results: Confirmation of margin path after Group reorganization
  • M&A-Updates: Fortive has recently completed acquisitions - further portfolio measures possible
  • Macro: Stabilization in the industrial environment would support demand for measurement technology and automation solutions

Analysis

From recommendation (March 9, 2026)

Fortive's strength lies in the nature of its products: They are business-critical but account for only a small proportion of customers' total costs - a combination that facilitates price increases and structurally limits customers' bargaining power. Large industrial customers and institutions have aligned their processes with Fortive solutions, which makes a change complex and expensive. This advantage is reflected in an operating margin of around 20% - even if the EBIT margin has come under slight pressure from 18.7% (2023) to 16.4% (2025), which should be kept in mind. The net margins show a similar trend: from 14.3% (2023) to 11.3% (2025) - not an alarm signal, but an indication that the cost structure has not yet been fully optimized following the restructuring. The analysts' consensus vote is currently Hold, which signals a balanced risk/reward profile - no euphoria, but also no skepticism about the business model. Anyone looking for defensive industrial exposure with real pricing power and a PEG below 1 will find a solidly positioned stock here - without the expectation of a short-term revaluation upwards.

Performance Figures of Fortive Corp

in USD

1M High / Low
62.65 / 57.45
52W High / Low
73.75 / 46.34
5Y High / Low
87.07 / 46.34
1M
-3.01%
3M
+1.31%
6M
+12.15%
1Y
+11.83%
3Y
+18.77%
5Y
+12.02%

Relative Performance vs Benchmarks

PeriodFortive Corp vs DAX vs S&P 500 (SPY)
1M -3.01% -7.72% -8.46%
3M +1.31% +1.85% -8.39%
6M +12.15% +6.65% +1.71%
1Y +11.83% +7.21% -17.32%
3Y +18.77% -38.87% -66.90%
5Y +12.02% -50.02% -79.28%

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Historical valuation trends

How the company’s key valuation ratios (P/E, P/S, P/B and P/CF) have evolved over time compared to today.

PeriodP/E RatioP/S RatioP/B RatioP/CF Ratio
Current34.54.03.117.4
1Y ago23.13.02.412.2
3Y ago23.93.12.514.4
5Y ago11.13.92.713.4

Frequently Asked Questions

From recommendation (March 9, 2026)

Is Fortive Corp a good investment?

Fortive Corp has a Leeway Score of 60.5/100, which is rated as Excellent. The Leeway Score combines business quality, fundamental evaluation, and valuation cycle into a comprehensive assessment. A higher score indicates stronger investment quality based on AI-powered fundamental analysis.

What does Fortive Corp do?

Fortive Corp is a company characterized by the following investment thesis: Fortive Corporation designs, develops, manufactures, and markets products, software, and services in the United States, China, and internationally. It operates through Intelligent Operating Solutions and Advanced Healthcare Solutions segments. The Intelligent Operating Solutions segment provides advanced instrumentation, software, and services, including maintenance, repair, measurement and condition monitoring, facility and asset lifecycle software applications, and connected worker safety and compliance solutions for manufacturing, process industries, healthcare, utilities and power, communications and electronics, and other industries. This segment markets its products and services under the ACCRUENT, FLUKE, GORDIAN, INDUSTRIAL SCIENTIFIC, INTELEX, and SERVICECHANNEL brand names. The Advanced Healthcare Solutions segment provides critical workflow solutions comprising instrument sterilization, instrument tracking, biomedical test tools, radiation detection and safety monitoring, and end-to-end clinical productivity software and solutions under the ASP, CENSIS, FLUKE BIOMEDICAL, LANDAUER, and PROVATION brand names. Fortive Corporation was incorporated in 2015 and is headquartered in Everett, Washington. Fortive Corp operates in the Technology / Scientific & Technical Instruments industry is based in USA employs around 10,000 people. Fortive Corp recently reported revenue of about 4.24B USD, a profit margin of 12.84%, return on equity of 6.81%, a market capitalisation around 18.25B USD, valuation multiples of roughly 35.2x earnings, 4.3x sales, 3x book value. Analyst consensus currently expects earnings per share of around 3.22 USD with year‑over‑year growth of 7.40%. Fortive Corp has an ongoing dividend policy and pays around 0.20 USD per share (0.33% yield).

What are the key metrics for FTV.NYSE?

Key metrics for FTV.NYSE include valuation (P/E 31.6, P/S 3.6, P/B 2.8), profitability (profit margin 13.93%, ROE 6.40%), and growth (revenue 4.60%, earnings -2.60%). Market capitalization is 18.53B USD. These metrics give an overview of the company's financial performance and valuation.

How has Fortive Corp's stock price performed?

Fortive Corp's stock has returned — over 1 year, — over 3 years, and — over 5 years. Performance can vary depending on market conditions and company developments.

How is FTV.NYSE valued?

FTV.NYSE has the following valuation metrics: P/E Ratio: 31.6, P/S Ratio: 3.6, P/B Ratio: 2.8. These metrics help assess whether the stock is fairly valued compared to its fundamentals.

What are the growth catalysts for Fortive Corp?

The key growth catalysts for Fortive Corp are:
  • 17. March: CFO appearance on J.P. Morgan Industrials Conference - Guidance and capital allocation signals
  • Next quarterly results: Confirmation of margin path after Group reorganization
  • M&A-Updates: Fortive has recently completed acquisitions - further portfolio measures possible
  • Macro: Stabilization in the industrial environment would support demand for measurement technology and automation solutions
These factors can positively influence the company's future growth and performance.

What are the key risks when investing in FTV.NYSE?

Key risks for FTV.NYSE include: Fortive operates across three core areas—Intelligent Operating Solutions, Precision Technologies, and Advanced Healthcare Solutions—delivering products, software, and services as a diversified industrial-technology company. The competitive landscape is layered: large instrumentation and industrial peers compete on hardware, while enterprise software and CMMS providers press on recurring-revenue workflows. The company carries real exposure to cyclical end markets, the execution risk inherent in software integrations and M&A, and regulatory and clinical complexities within healthcare.
  • Cyclical swings in industrial, semiconductor, and services demand could pressure both revenue and margins.
  • Larger diversified industrials and specialized instrumentation competitors are likely to pressure both pricing and product differentiation, which could weigh on shares.
  • M&A integration and the shift toward software-enabled recurring-revenue models carry real execution risk that could slow growth and compress operating leverage.
  • Advanced Healthcare Solutions carries meaningful legal and reputational risk through its regulatory, clinical compliance, and product-liability exposure—each touching reimbursement pathways in ways that compound the problem.
Investors should consider these risk factors carefully before making an investment decision.

Who are the main competitors of Fortive Corp?

Fortive Corp competes with several listed peers in its sector. Fortive operates across three distinct domains: test and measurement, intelligent operating solutions, and healthcare equipment and services. The competitive landscape includes capable peers like Roper Technologies, Keysight Technologies, and AMETEK, each with particular strength in different segments. The company's earnings move with industrial cycles. Margin pressure comes from persistent low-cost competition and ongoing consolidation in its markets. In healthcare and nuclear-related operations, regulatory and compliance requirements add operational weight that can move the needle on profitability.
  • Roper Technologies (ROP.NYSE)
  • Keysight Technologies (KEYS.NYSE)
  • AMETEK (AME.NYSE)
These competitors influence pricing power, growth opportunities and relative valuation.

When does Fortive Corp report earnings?

Fortive Corp's next earnings report date is July 29, 2026.

Key Metrics

From recommendation (March 9, 2026)

Market Capitalization
18.53B USD
P/E Ratio
31.65
Analyst Target Price
62.19 USD

Valuation Metrics

P/S Ratio
3.56
P/B Ratio
2.84

Profitability Metrics

Profit Margin
13.93%
Operating Margin
20.13%
Return on Equity
6.40%
Return on Assets
3.13%

Growth Metrics

Revenue Growth
4.60%
Earnings Growth
-2.60%

Dividend history

Long-term record of paid dividends (amount per share and dividend yield at the time of payment).

YearDividendYield at paymentAvg. yield
20260.06 USD0.11%0.11%
20250.06 USD0.11%
20250.06 USD0.12%
20250.05 USD0.10%
20250.06 USD0.11%
20250.06 USD0.10%
20240.06 USD0.10%
20240.06 USD0.11%
20240.06 USD0.11%
20240.06 USD0.09%
20230.06 USD0.12%
20230.05 USD0.09%
20230.05 USD0.11%
20230.05 USD0.11%
20220.05 USD0.11%

Earnings history & estimates

Historical earnings performance shows how consistently the company meets or exceeds analyst expectations. Forward estimates provide insight into expected profitability and growth trajectory.

Historical earnings performance

82.5%
Beat estimate
5%
Miss estimate
+6.15%
Avg surprise when beat
-1.63%
Avg surprise when miss

Reports analyzed: 40

Upcoming earnings report

July 29, 2026
Next earnings date · USD

Analyst estimates for upcoming periods

Next year
December 31, 2027
Consensus3.22
Range3.05 – 3.31
17 analysts
Est. growth vs prior: 7.4%
Revisions: 7d ↑0 ↓0 · 30d ↑10 ↓2
Next quarter
September 30, 2026
Consensus0.71
Range0.69 – 0.72
15 analysts
Est. growth vs prior: 3.86%
Revisions: 7d ↑1 ↓0 · 30d ↑2 ↓8

Key financial figures

All figures in USD

Selected income statement, balance sheet and cash flow figures. Annual and quarterly, based on reported IFRS/GAAP financials.

20252024202320222021
Revenue5.14B6.23B6.07B5.83B5.25B
Operating income (EBIT)908.90M1.12B1.13B971.80M831.50M
Net income579.20M832.90M865.80M755.20M608.40M
Free cash flow978.10M1.41B1.25B1.21B911.10M
Total assets11.74B17.02B16.91B15.89B16.47B
Equity6.45B10.19B10.32B9.68B9.51B
Net debt2.83B3.06B1.92B2.71B3.32B

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