ITT Inc. (ITT) Recommendation:

Buy, $90 12-month price target (26% upside) — Recommended on 5.6.22 at ~$71

Company Background: ITT is a diversified manufacturer of highly engineered critical components and customized technology solutions for the transportation, industrial, and energy markets. The company operates globally with 38% of 2021 revenue from North America, 37% from Europe, 18% from Asia Pacific, and 4% from Middle East and 3% from South America. ITT’s financial results are reported across three business segments.

1. Motion Technologies (MT): Manufactures brake pads, shims, shock absorbers, energy absorption components, and sealing technologies primarily for the transportation industry, including passenger cars and trucks, light and heavy-duty commercial and military vehicles, buses, and trains.
2. Industrial Process (IP): OEM and an aftermarket parts and service provider of industrial pumps, valves, plant optimization, and remote monitoring systems and services.
3. Connect & Control Technologies (CCT): Designs and manufactures a range of highly engineered connectors and specialized products for critical applications supporting various end markets including aerospace and defense, industrials, transportation (including EVs), medical, and energy.