Fortive (FTV) AI Stock Analysis

• Market Cap: $17.86B
• Dividend Yield: 0.61%
• Average Volume (3M): 3.32M
• Price to Earnings (P/E): 23.1
• Beta (1Y): 0.98
• Revenue Growth: 0.85%
• EPS Growth: -10.01%
• Country: US
• Employees: 18,000
• Sector: Technology
• Sector Strength: 90
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 0.64
• Shares Outstanding: 338,970,830
• 10 Day Avg. Volume: 4,778,751
• 30 Day Avg. Volume: 3,316,545
• PEG Ratio: -5.93
• Price to Book (P/B): 1.74
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 12.71
• Enterprise Value/Market Cap: 1.16
• Enterprise Value/Revenue: 0.88
• Enterprise Value/Gross Profit: 5.57
• Enterprise Value/Ebitda: 3.19
• 1Y Price Target: $69.79
• Price Target Upside: 33.77% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 15

• Rating: 68 Neutral
• Price Target: $58.00 ▲(11.18%Upside)

Fortive's overall stock score reflects its robust financial health and strategic corporate actions. Strong operational execution and valuation metrics lend support, while technical indicators and macroeconomic challenges pose potential risks.

Positive Factors

Market Position

The presentation highlighted top market share across many business lines, emphasizing scale as a competitive advantage.

Valuation

Fortive's equity is considered discounted compared to peers with similar organic growth, hinting at a potential undervaluation.

Negative Factors

Earnings Guidance

A disappointing earnings update and a larger-than-expected $0.10 net tariff headwind have contributed to a more challenging earnings guidance.

Uncertainty

The dividend policy of Ralliant has not been determined yet, creating uncertainty for investors looking for income.

Fortive Business Overview & Revenue Model

Company Description

Fortive Corporation is a diversified industrial technology company that operates globally, providing essential technologies for connected workflow solutions across a range of sectors. It is primarily involved in three business segments: Intelligent Operating Solutions, Precision Technologies, and Advanced Healthcare Solutions. Fortive offers a wide array of products and services, including field instrumentation, transportation technologies, and software solutions, catering to various industries such as healthcare, transportation, and manufacturing.

How the Company Makes Money

Fortive Corporation generates revenue through the sale of its diverse portfolio of products and services across its three main business segments. In the Intelligent Operating Solutions segment, revenue is derived from sales of connected workflow solutions that enhance productivity and operational efficiency. The Precision Technologies segment contributes to revenue through high-precision instruments and software that serve industrial and scientific applications. The Advanced Healthcare Solutions segment earns income through healthcare technology solutions that improve patient care and operational efficiency in medical settings. Fortive's revenue model also benefits from recurring income through service contracts, software subscriptions, and aftermarket services. Strategic acquisitions and partnerships further bolster its market presence and financial performance, enabling Fortive to expand its offerings and customer base.

Fortive Financial Statement Overview

Summary

Fortive demonstrates strong financial health with consistent revenue growth and solid profitability. The company maintains efficient operational margins and a robust balance sheet, despite minor fluctuations in revenue and liabilities.

Income Statement

Fortive has demonstrated consistent revenue growth over the years with a strong gross profit margin of 59.98% TTM (Trailing-Twelve-Months). The net profit margin stands at 12.90% TTM, indicating solid profitability. However, there was a slight decline in revenue compared to the previous annual period, affecting the growth rate negatively. EBIT and EBITDA margins remain robust at 18.41% and 24.58% TTM, respectively, showcasing operational efficiency.

Balance Sheet

The company's debt-to-equity ratio of 0.38 TTM indicates a balanced capital structure with manageable debt levels. The return on equity (ROE) is healthy at 7.79% TTM, reflecting effective use of equity. The equity ratio is strong at 59.73% TTM, ensuring a stable financial position. Despite a slight increase in total liabilities, the company maintains a strong equity base.

Cash Flow

Fortive's operating cash flow to net income ratio of 1.90 TTM suggests efficient cash generation relative to its profit. The free cash flow to net income ratio is notable at 1.74 TTM, indicating strong free cash flow generation. Although there was a minor decline in free cash flow growth, the overall cash flow position remains robust, supporting future growth initiatives.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.18B	6.23B	6.07B	5.83B	5.25B	4.63B
Gross Profit	3.71B	3.73B	3.59B	3.36B	3.01B	2.61B
EBITDA	1.52B	1.67B	1.57B	1.47B	1.21B	947.80M
Net Income	797.40M	832.90M	865.80M	755.20M	608.40M	1.61B
Balance Sheet
Total Assets	17.14B	17.02B	16.91B	15.89B	16.47B	16.05B
Cash, Cash Equivalents and Short-Term Investments	892.10M	813.30M	1.89B	709.20M	819.30M	2.94B
Total Debt	3.86B	3.88B	3.81B	3.25B	4.14B	4.43B
Total Liabilities	6.89B	6.82B	6.59B	6.20B	6.95B	7.08B
Stockholders Equity	10.24B	10.19B	10.32B	9.68B	9.51B	8.96B
Cash Flow
Free Cash Flow	1.39B	1.41B	1.25B	1.21B	911.10M	1.36B
Operating Cash Flow	1.51B	1.53B	1.35B	1.30B	961.10M	1.44B
Investing Cash Flow	-84.80M	-1.80B	-195.40M	-102.50M	-2.62B	-148.40M
Financing Cash Flow	-1.24B	-792.70M	32.30M	-1.27B	652.00M	-696.10M

Fortive Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 52.17
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FTV, the sentiment is Negative. The current price of 52.17 is below the 20-day moving average (MA) of 52.91, below the 50-day MA of 53.21, and below the 200-day MA of 55.95, indicating a bearish trend. The MACD of -0.17 indicates Positive momentum. The RSI at 43.05 is Neutral, neither overbought nor oversold. The STOCH value of 36.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FTV.

Fortive Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TEL	78 Outperform	$52.52B	38.82	11.33%	1.60%	1.23%	-58.22%
KEYS	78 Outperform	$28.17B	38.36	14.30%	―	-1.16%	-7.04%
TDY	76 Outperform	$24.87B	30.68	8.61%	―	2.98%	-5.64%
TRMB	76 Outperform	$19.08B	13.06	31.00%	―	-6.93%	537.94%
COHR	73 Outperform	$14.50B	―	1.25%	―	21.68%	92.07%
FTV	68 Neutral	$17.86B	23.13	7.70%	0.61%	0.85%	-10.01%
Sector *	63 Neutral	$33.85B	5.90	-11.67%	1.83%	5.25%	-18.21%

Fortive Corporate Events

Fortive Completes Spin-Off of Precision Technologies

On June 28, 2025, Fortive completed the spin-off of its Precision Technologies segment, forming Ralliant Corporation, which now trades independently on the New York Stock Exchange under the symbol ‘RAL’. Concurrently, Olumide Soroye was appointed as President, CEO, and Director of Fortive, succeeding James Lico, who retired but will remain as a senior advisor until the end of the year. The separation aims to unlock significant shareholder value, with Fortive focusing on accelerating profitable growth and maintaining a strong financial track record despite facing market headwinds.

The most recent analyst rating on (FTV) stock is a Buy with a $85.00 price target. To see the full list of analyst forecasts on Fortive stock, see the FTV Stock Forecast page.

Fortive Shareholders Approve Key Proposals at Annual Meeting

At the Annual Meeting on June 3, 2025, Fortive‘s shareholders voted on five key proposals. All nine director nominees were elected for a one-year term, and the executive officer compensation and the amendment of the 2016 Stock Incentive Plan were approved. Ernst & Young LLP was ratified as the independent public accounting firm for 2025. However, a shareholder proposal to reduce the ownership requirement for calling a special meeting was rejected.

The most recent analyst rating on (FTV) stock is a Hold with a $83.00 price target. To see the full list of analyst forecasts on Fortive stock, see the FTV Stock Forecast page.

Fortive’s Ralliant Secures Major Credit Agreement

On May 15, 2025, Ralliant Corporation, a subsidiary of Fortive Corporation, entered into a credit agreement with a syndicate of banks, establishing significant credit facilities. This agreement includes a three-year, $700 million term loan, an eighteen-month, $600 million term loan, and a $750 million revolving credit facility. The credit facilities are contingent upon the separation of Ralliant from Fortive, with the proceeds intended to fund a cash distribution to Fortive and support Ralliant’s working capital needs post-separation. This strategic financial move is expected to enhance Ralliant’s operational independence and financial flexibility, potentially impacting its market positioning and stakeholder interests.

The most recent analyst rating on (FTV) stock is a Buy with a $85.00 price target. To see the full list of analyst forecasts on Fortive stock, see the FTV Stock Forecast page.