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 (FTV) — concise 2020–2026 timeline and key drivers, treating the latest price as $54.90 (2026-03-25).

Major events

Fortive completed the spin-off of its Industrial Technologies segment (Vontier) in October 2020 as part of a portfolio simplification that materially reshaped the company's footprint.

In 2021, Fortive accelerated its move into recurring-revenue software with two significant acquisitions: ServiceChannel (~$1.2B, announced July and closed August 2021) and Provation (~$1.425B, announced and closed in December 2021). These deals materially expanded its IOS and AHS software portfolios.

In 2024, management announced plans to separate the Precision Technologies segment into a new public company (Ralliant), including a leadership succession plan. The Ralliant spin-off was completed via pro-rata distribution on June 28, 2025.

Investor narrative

Following the 2020 Vontier separation, investors increasingly framed Fortive as a higher-growth, software-tilted industrial platform rather than a conglomerate. The 2021 SaaS acquisitions reinforced this view.

From 2022 into 2023, the narrative shifted toward execution and resilience as management emphasized price realization, productivity, and recurring-revenue mix to counter supply-chain pressures, inflation, and softening in electronics and test segments.

After the Ralliant separation in 2025, the story evolved toward a leaner, higher-margin industrial-SaaS company with explicit capital-return programs—expanded buybacks and a special repurchase funded by Ralliant proceeds—alongside a formal CEO succession plan that reset investor expectations around cash returns and strategic focus.

Technical phases

From 2020 through early 2021, the stock experienced volatile re-rating around the Vontier spin-off, followed by an upward bias as investors rewarded the strategic simplification and early software M&A.

During 2022–2023, a multi-quarter consolidation phase unfolded with intermittent selloffs tied to macro concerns, supply-chain friction, inventory issues, and softer test and electronics demand that capped rallies until execution visibly improved.

In 2025, a discrete reset occurred around the Ralliant distribution. Regular-way trading began in late June, the separation produced a short-term negative price reaction, and then a new base took hold supported by buyback and dividend actions alongside clearer growth and return optics.

If a chart or precise price levels (support, resistance, or drawdown percentages) are wanted, provide the preferred timeframe and data source and a concise annotated chart can be produced.

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 industrial technology, test and measurement, safety, and enterprise software—territory shared with AMETEK, Roper, and Keysight. The competitive landscape splits between large diversified industrials on one side and specialized test-equipment and software vendors on the other. What distinguishes Fortive is its push toward recurring software revenue, which cushions the cyclicality inherent in hardware. The real pressures come from two directions: the cyclical swings in electronics and industrial demand, and the execution risk baked into a growth strategy built on acquisitions. Then there's the longer-term question of staying relevant against both entrenched industrial conglomerates and the newer breed of cloud-native software platforms.

  • Exposure to cyclical end markets in electronics and industrial sectors creates real vulnerability—sharp downturns in demand can compress both revenue and margins quickly [5][7].
  • Frequent acquisitions carry real integration risks that could compress margins and complicate capital allocation decisions.
  • Larger diversified industrials and specialist test-equipment and software vendors are creating genuine pricing pressure across the market.
  • Supply-chain fragility, geopolitical tensions, and exposure to China markets present real risks to manufacturing continuity, component availability, and regional revenue [5].

Competitive landscape

Fortive operates in precision instruments, industrial software, and field-service workflows, competing against larger diversified industrials like Danaher, Honeywell, and Rockwell, alongside specialists in test-and-measurement such as Keysight, AMETEK, and Roper [16]. The company faces cyclical industrial demand, pricing pressure from both larger competitors and focused specialists, and the execution challenge of transitioning toward software and recurring-revenue models while serving regulated safety and clinical markets [14][18].

CompanyTicker
Danaher CorporationDHR.NYSE
Rockwell Automation, Inc.ROK.NYSE
Honeywell International Inc.HON.NYSE
Keysight Technologies, Inc.KEYS.NYSE
AMETEK, Inc.AME.NYSE
Roper Technologies, Inc.ROP.NYSE

Private competitors

  • Rohde & Schwarz
  • Endress+Hauser

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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
58.92 / 53.48
52W High / Low
74.65 / 46.34
5Y High / Low
87.07 / 46.34
1M
-5.53%
3M
+0.24%
6M
+9.90%
1Y
+0.40%
3Y
+9.15%
5Y
+5.82%

Relative Performance vs Benchmarks

PeriodFortive Corp vs DAX vs S&P 500 (SPY)
1M -5.53% +0.44% -0.54%
3M +0.24% +5.64% +4.61%
6M +9.90% +14.87% +12.17%
1Y +0.40% -2.38% -16.86%
3Y +9.15% -39.08% -55.93%
5Y +5.82% -47.53% -68.00%

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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
Current30.53.42.716.3
1Y ago23.83.12.512.6
3Y ago24.03.12.514.5
5Y ago10.83.82.713.1

Frequently Asked Questions

From recommendation (March 9, 2026)

Is Fortive a good investment?

Fortive 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 do?

Fortive 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 4.16B USD, a profit margin of 13.93%, return on equity of 6.40%, a market capitalisation around 17.03B USD, valuation multiples of roughly 33.7x earnings, 4.1x sales, 2.6x book value. Analyst consensus currently expects earnings per share of around 3.19 USD with year‑over‑year growth of 7.42%. Fortive Corp has an ongoing dividend policy and pays around 0.28 USD per share (0.52% 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's stock price performed?

Fortive'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?

The key growth catalysts for Fortive 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 industrial technology, test and measurement, safety, and enterprise software—territory shared with AMETEK, Roper, and Keysight. The competitive landscape splits between large diversified industrials on one side and specialized test-equipment and software vendors on the other. What distinguishes Fortive is its push toward recurring software revenue, which cushions the cyclicality inherent in hardware. The real pressures come from two directions: the cyclical swings in electronics and industrial demand, and the execution risk baked into a growth strategy built on acquisitions. Then there's the longer-term question of staying relevant against both entrenched industrial conglomerates and the newer breed of cloud-native software platforms.
  • Exposure to cyclical end markets in electronics and industrial sectors creates real vulnerability—sharp downturns in demand can compress both revenue and margins quickly [web:5][web:7].
  • Frequent acquisitions carry real integration risks that could compress margins and complicate capital allocation decisions.
  • Larger diversified industrials and specialist test-equipment and software vendors are creating genuine pricing pressure across the market.
  • Supply-chain fragility, geopolitical tensions, and exposure to China markets present real risks to manufacturing continuity, component availability, and regional revenue [web:5].
Investors should consider these risk factors carefully before making an investment decision.

Who are the main competitors of Fortive?

Fortive competes with several listed peers in its sector. Fortive operates in precision instruments, industrial software, and field-service workflows, competing against larger diversified industrials like Danaher, Honeywell, and Rockwell, alongside specialists in test-and-measurement such as Keysight, AMETEK, and Roper [web:16]. The company faces cyclical industrial demand, pricing pressure from both larger competitors and focused specialists, and the execution challenge of transitioning toward software and recurring-revenue models while serving regulated safety and clinical markets [web:14][web:18].
  • Danaher Corporation (DHR.NYSE)
  • Rockwell Automation, Inc. (ROK.NYSE)
  • Honeywell International Inc. (HON.NYSE)
  • Keysight Technologies, Inc. (KEYS.NYSE)
  • AMETEK, Inc. (AME.NYSE)
  • Roper Technologies, Inc. (ROP.NYSE)
These competitors influence pricing power, growth opportunities and relative valuation.

When does Fortive report earnings?

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

What is Fortive's average dividend yield?

Across past payouts, Fortive's average dividend yield at payment date has been 0.11%.

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

77.5%
Beat estimate
10%
Miss estimate
+5.55%
Avg surprise when beat
-37.68%
Avg surprise when miss

Reports analyzed: 40

Upcoming earnings report

April 29, 2026
Next earnings date

Analyst estimates for upcoming periods

Next year
December 31, 2027
Consensus3.19
Range3.05 – 3.37
16 analysts
Est. growth vs prior: 7.42%
Revisions: 7d ↑1 ↓0 · 30d ↑2 ↓0
Next quarter
June 30, 2026
Consensus0.69
Range0.66 – 0.74
15 analysts
Est. growth vs prior: 19.02%
Revisions: 7d ↑0 ↓0 · 30d ↑1 ↓1

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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