LGN vs HON vs CARR vs JCI vs TT

For growth investors, Legence Corp.

Class A Common stock (LGN) is the stronger pick with 29. 9% revenue growth year-over-year, versus -3. 3% for Carrier Global Corporation (CARR). Honeywell International Inc. (HON) offers the better valuation at 29. 7x trailing P/E (20. 8x forward), making it the more compelling value choice. Analysts rate Legence Corp. Class A Common stock (LGN) a "Buy" — based on 9 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Honeywell International Inc.

(HON) is the cheapest at 29. 7x versus Legence Corp. Class A Common stock at 1022. 6x. On forward P/E, Honeywell International Inc. is actually cheaper at 20. 8x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Trane Technologies plc wins at 1. 05x versus Honeywell International Inc. 's 11. 31x — a reasonable growth-adjusted valuation.

Over the past 5 years, Legence Corp.

Class A Common stock (LGN) delivered a total return of +220. 2%, compared to +8. 5% for Honeywell International Inc. (HON). Over 10 years, the gap is even starker: TT returned +860. 7% versus HON's +135. 3%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Honeywell International Inc.

(HON) is the lower-risk stock at 0. 74β versus Legence Corp. Class A Common stock's 2. 52β — meaning LGN is approximately 240% more volatile than HON relative to the S&P 500. On balance sheet safety, Trane Technologies plc (TT) carries a lower debt/equity ratio of 54% versus 2% for Honeywell International Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Legence Corp.

Class A Common stock (LGN) is pulling ahead at 29. 9% versus -3. 3% for Carrier Global Corporation (CARR). On earnings-per-share growth, the picture is similar: Legence Corp. Class A Common stock grew EPS 121. 2% year-over-year, compared to -72. 4% for Carrier Global Corporation. Over a 3-year CAGR, TT leads at 10. 1% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Johnson Controls International plc (JCI) is the more profitable company, earning 13.

9% net margin versus 0. 5% for Legence Corp. Class A Common stock — meaning it keeps 13. 9% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: TT leads at 18. 6% versus 2. 8% for LGN. At the gross margin level — before operating expenses — HON leads at 36. 9%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Trane Technologies plc (TT) is the more undervalued stock at a PEG of 1. 05x versus Honeywell International Inc. 's 11. 31x. A PEG below 1. 5 suggests fair-to-attractive pricing relative to expected growth. On forward earnings alone, Honeywell International Inc. (HON) trades at 20. 8x forward P/E versus 97. 9x for Legence Corp. Class A Common stock — 77. 2x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for TT: 11. 8% to $522. 73.

All stocks in this comparison pay dividends.

Legence Corp. Class A Common stock (LGN) offers the highest yield at 3. 0%, versus 0. 8% for Trane Technologies plc (TT).

For long-horizon retirement investors, Trane Technologies plc (TT) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

98), 0. 8% yield, +860. 7% 10Y return). Legence Corp. Class A Common stock (LGN) carries a higher beta of 2. 52 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (TT: +860. 7%, LGN: +220. 2%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Industrials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: LGN is a small-cap high-growth stock; HON is a mid-cap quality compounder stock; CARR is a mid-cap quality compounder stock; JCI is a mid-cap quality compounder stock; TT is a mid-cap quality compounder stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.