olivLaw · US equity research
Fortive Corporation FTV
Industrial Instruments For Measurement, Display, and Control · SIC 3823 · Vertical: Industrial Instruments For Measurement, Display, and Control (SIC 3823)
Fortive Corporation develops essential technologies in professional instrumentation, software and healthcare solutions, with operations in approximately 50 countries and over 10,000 employees. Following the June 2025 separation of Ralliant, the company reported Q2 2026 revenue growth of 7.9% and raised its fiscal 2026 adjusted EPS guidance to 2.95-3.05 USD.
The AI analysis may be outdated: new filings came after its sources (see the «AI analysis» section).
At the close of 04 Nov 2026, Fortive Corporation (FTV) stock was 68.34 USD (+2.29% on the day), with market capitalisation 20.3 bn USD, P/E 32.5 on diluted EPS of 2.10 USD over the last 12 months, dividend yield 0.47%, beta 0.89, 52-week range 50.23–68.34 USD. Latest reported quarter (Q3 2026): revenue of 1.1 bn USD (+7.8% YoY), net income of 172.5 m USD (+213.6% YoY), diluted EPS 0.57 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
Loading chart…
Technical reading
- RSI (14)
- 82.6
- overbought (≥ 70)
- Bollinger (20, 2)
- 53.19 – 68.44
- in the upper half of the band · %B 0.99 · band width 25.1%
- SMA 50 / 200
- 58.23 / 58.89
- mixed trend
- MACD (12, 26, 9)
- 2.63 / 1.73
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | +19.1% | −1.1% | +20.2 pp | — |
| 3 months | +11.4% | −0.5% | +11.9 pp | — |
| 6 months | +13.1% | +4.4% | +8.8 pp | — |
| Year to date | +23.8% | +12.3% | +11.5 pp | — |
| 1 year | +35.8% | +13.5% | +22.2 pp | +24.7% |
| 3 years | +37.5% | +76.4% | −38.9 pp | +5.2% |
| 5 years | +15.2% | +63.7% | −48.5 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q3 2026 · 02 Oct 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 1.1 bn | 993.1 m | 1.0 bn | 1.0 bn | 1.1 bn | 1.1 bn | 1.1 bn | 1.1 bn |
| Cost of revenue | 377.3 m | 355.6 m | 370.9 m | 377.9 m | 413.6 m | 393.9 m | 401.5 m | 396.9 m |
| Gross profit | 695.5 m | 637.5 m | 645.5 m | 649.2 m | 708.9 m | 675.5 m | 695.3 m | 710.6 m |
| Research & development | 65.2 m | 64.0 m | 67.2 m | 62.0 m | 66.0 m | 66.5 m | 67.5 m | 68.2 m |
| SG&A | 418.1 m | 408.2 m | 408.5 m | 427.6 m | 417.4 m | 417.3 m | 417.9 m | 406.5 m |
| Operating income | 212.2 m | 165.3 m | 169.8 m | 159.6 m | 225.5 m | 191.7 m | 209.9 m | 235.9 m |
| Depreciation & amortisation | 108.1 m | 108.0 m | 109.2 m | 109.1 m | 111.3 m | 113.6 m | 113.5 m | 111.9 m |
| Interest expense | -33.0 m | -32.0 m | -32.1 m | -25.4 m | -31.0 m | -31.6 m | -35.4 m | -38.8 m |
| Pre-tax income | 180.2 m | 133.7 m | 139.6 m | 135.0 m | 193.9 m | 163.6 m | 179.5 m | 202.3 m |
| Income tax | -13.0 m | 21.1 m | 28.0 m | 18.0 m | 2.4 m | 27.2 m | 22.2 m | 29.8 m |
| Net income | 208.8 m | 171.9 m | 166.6 m | 55.0 m | 185.7 m | 136.4 m | 157.3 m | 172.5 m |
| Diluted EPS | 0.60 | 0.50 | 0.49 | 0.16 | 0.58 | 0.44 | 0.51 | 0.57 |
| Operating cash flow | 502.2 m | 241.7 m | 311.2 m ≈ | 164.4 m ≈ | 365.9 m | 234.8 m | 286.2 m ≈ | 313.2 m ≈ |
| Capex | 22.6 m | 21.1 m | 36.7 m | 28.6 m | 30.4 m | 26.6 m | 28.1 m ≈ | 29.5 m ≈ |
| Dividends paid | 27.3 m | 27.2 m | 27.0 m ≈ | 19.2 m ≈ | 18.8 m | 18.4 m | 0 ≈ | 38.9 m ≈ |
| Share repurchases | 466.6 m | 202.6 m | 135.0 m ≈ | 1.0 bn ≈ | 271.9 m | 500.2 m | 200.1 m ≈ | 300.1 m ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 93 percentile of its own 41-quarter history (min 5.1, median 23.1, max 37.1; quarters with earnings only).
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 6.5 bn | 4.6 bn | 4.6 bn | 5.3 bn | 5.8 bn | 3.9 bn | 4.1 bn | 4.2 bn |
| Revenue YoY | +12.1% | −29.3% | +1.5% | +13.4% | +10.9% | −32.8% | +4.3% | +1.9% |
| Net income | 2.9 bn | 738.9 m | 1.6 bn | 608.4 m | 755.2 m | 865.8 m | 832.9 m | 579.2 m |
| Net income YoY | +179.0% | −74.6% | +118.3% | −62.3% | +24.1% | +14.6% | −3.8% | −30.5% |
| Diluted EPS | 8.21 | 1.97 | 4.49 | 1.63 | 2.10 | 2.43 | 2.36 | 1.73 |
| Diluted EPS YoY | +177.4% | −76.0% | +127.9% | −63.7% | +28.8% | +15.7% | −2.9% | −26.7% |
| net % | 45.2% | 16.2% | 34.8% | 11.6% | 13.0% | 22.1% | 20.4% | 13.9% |
| Free cash flow | 1.3 bn | 1.2 bn | 1.4 bn | 911.1 m | 1.2 bn | 1.3 bn | 1.4 bn | 978.1 m |
Reported results vs expectations
Loading…
Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 375.5 m USD
- Financial debt
- 3.2 bn USD
- Net debt
- 2.8 bn USD
- Equity
- 6.5 bn USD
- Total assets
- 11.7 bn USD
- Debt / equity
- 0.50x
- Current ratio
- 0.71x
- ROE
- 7.0%
- ROA
- 4.0%
- FCF margin
- 23.5%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 4.6 bn | 5.3 bn | 5.8 bn | 3.9 bn | 4.1 bn | 4.2 bn | SEC (XBRL)· 25 Feb 2026verified |
| Cost of revenue | 2.0 bn | 2.2 bn | 2.5 bn | 1.4 bn | 1.5 bn | 1.5 bn | SEC (XBRL)· 25 Feb 2026verified |
| Gross profit | 2.6 bn | 3.0 bn | 3.4 bn | 2.5 bn | 2.6 bn | 2.6 bn | SEC (XBRL)· 25 Feb 2026verified |
| Research & development | 320.7 m | 354.8 m | 401.5 m | 237.0 m | 251.3 m | 259.2 m | SEC (XBRL)· 25 Feb 2026verified |
| SG&A | 1.7 bn | 1.8 bn | 2.0 bn | 1.7 bn | 1.7 bn | 1.7 bn | SEC (XBRL)· 25 Feb 2026verified |
| Operating income | 539.4 m | 812.8 m | 987.4 m | 574.0 m | 716.3 m | 720.2 m | SEC (XBRL)· 25 Feb 2026verified |
| Depreciation & amortisation | 384.0 m | 395.5 m | 465.6 m | 426.2 m | 430.9 m | 437.6 m | SEC (XBRL)· 25 Feb 2026verified |
| EBITDA | 923.4 m ≈ | 1.2 bn ≈ | 1.5 bn ≈ | 1.0 bn ≈ | 1.1 bn ≈ | 1.2 bn ≈ | SEC (XBRL)· 25 Feb 2026derived |
| Interest expense | 148.5 m | 103.2 m | -98.3 m | -123.5 m | -152.8 m | -120.5 m | SEC (XBRL)· 25 Feb 2026verified |
| Pre-tax income | 1.5 bn | 677.5 m | 873.5 m | 433.1 m | 506.3 m | 602.2 m | SEC (XBRL)· 25 Feb 2026verified |
| Income tax | 55.5 m | 63.3 m | 118.3 m | 24.7 m | 23.8 m | 69.5 m | SEC (XBRL)· 25 Feb 2026verified |
| Net income | 1.6 bn | 608.4 m | 755.2 m | 865.8 m | 832.9 m | 579.2 m | SEC (XBRL)· 25 Feb 2026verified |
| Diluted EPS | 4.49 | 1.63 | 2.10 | 2.43 | 2.36 | 1.73 | SEC (XBRL)· 25 Feb 2026verified |
| Weighted average diluted shares | 359.0 m | 352.3 m | 360.8 m | 355.6 m | 352.8 m | 334.6 m | SEC (XBRL)· 25 Feb 2026verified |
| Dividend per share | 0.28 | 0.28 | 0.28 | 0.29 | — | — | SEC (XBRL)· 27 Feb 2024verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 1.8 bn | 819.3 m | 709.2 m | 1.9 bn | 813.3 m | 375.5 m | SEC (XBRL)· 25 Feb 2026verified |
| Receivables | 810.3 m | 930.2 m | 958.5 m | 960.8 m | 661.3 m | 683.6 m | SEC (XBRL)· 25 Feb 2026verified |
| Inventories | 455.5 m | 512.7 m | 536.7 m | 536.9 m | 269.8 m | 291.8 m | SEC (XBRL)· 25 Feb 2026verified |
| Current assets | 4.4 bn | 2.5 bn | 2.5 bn | 3.7 bn | 2.6 bn | 1.6 bn | SEC (XBRL)· 25 Feb 2026verified |
| Property, plant & equipment, net | 422.0 m | 395.5 m | 421.9 m | 439.8 m | 232.9 m | 269.8 m | SEC (XBRL)· 25 Feb 2026verified |
| Goodwill | 7.4 bn | 9.2 bn | 9.0 bn | 7.3 bn | 7.2 bn | 7.3 bn | SEC (XBRL)· 25 Feb 2026verified |
| Intangibles (excl. goodwill) | 3.3 bn | 3.9 bn | 3.5 bn | 3.2 bn | 2.5 bn | 2.2 bn | SEC (XBRL)· 25 Feb 2026verified |
| Total assets | 16.1 bn | 16.5 bn | 15.9 bn | 16.9 bn | 17.0 bn | 11.7 bn | SEC (XBRL)· 25 Feb 2026verified |
| Short-term debt | 1.4 bn | 2.2 bn | 999.7 m | 0 | 376.2 m | 899.5 m | SEC (XBRL)· 25 Feb 2026verified |
| Long-term debt | 2.8 bn | 1.8 bn | 2.3 bn | 3.6 bn | 3.3 bn | 2.3 bn | SEC (XBRL)· 25 Feb 2026verified |
| Current liabilities | 2.9 bn | 3.7 bn | 2.7 bn | 1.8 bn | 2.2 bn | 2.2 bn | SEC (XBRL)· 25 Feb 2026verified |
| Equity | 9.0 bn | 9.5 bn | 9.7 bn | 10.3 bn | 10.2 bn | 6.5 bn | SEC (XBRL)· 25 Feb 2026verified |
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 1.4 bn | 961.1 m | 1.3 bn | 1.4 bn | 1.5 bn | 1.1 bn | SEC (XBRL)· 25 Feb 2026verified |
| Capex | 75.7 m | 50.0 m | 95.8 m | 78.6 m | 86.1 m | 105.1 m | SEC (XBRL)· 25 Feb 2026verified |
| Free cash flow | 1.4 bn ≈ | 911.1 m ≈ | 1.2 bn ≈ | 1.3 bn ≈ | 1.4 bn ≈ | 978.1 m ≈ | SEC (XBRL)· 25 Feb 2026derived |
| Investing cash flow | -148.4 m | -2.6 bn | -102.5 m | -195.4 m | -1.8 bn | -135.4 m | SEC (XBRL)· 25 Feb 2026verified |
| Financing cash flow | -696.1 m | 652.0 m | -1.3 bn | 32.3 m | -792.7 m | -1.4 bn | SEC (XBRL)· 25 Feb 2026verified |
| Dividends paid | 94.4 m | 97.7 m | 99.5 m | 102.0 m | 111.2 m | 92.2 m | SEC (XBRL)· 25 Feb 2026verified |
| Share repurchases | 0 | 0 | 442.9 m | 272.9 m | 889.6 m | 1.6 bn | SEC (XBRL)· 25 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
Score: 50 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 20.3 bn USD
Key indicators
Coverage and freshness
Score by group
- Valuation41
- Returns97
- Quality74
- Balance sheet52
- Growth0
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 3.81 – 81.48 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)35.42 – 61.84 (Mid 45.47)WACC 8.7% · starting FCFF 1.2 bn USD · terminal value share of EV 74%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: starting growth implied by the price (fading linearly to terminal growth, everything else fixed): 9.8%
- Peers: EV/EBITDA54.24 – 74.37 (Mid 64.76)4 companies used · median multiple 17.1x · quartiles 14.7x – 19.2xAME, MKSI, ROP, ST
- Peers: P/E53.08 – 81.48 (Mid 70.22)7 companies used · median multiple 33.4x · quartiles 25.3x – 38.8xAME, CGNX, DHR, KEYS, MKSI, ROP, ST
- Dividend discount (DDM)3.81 – 5.13 (Mid 4.37)
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 50/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 8.3% | 64 (vs peers) | 10% |
| Net margin · Quality | 14.8% | 67 (vs peers) | 6% |
| FCF conversion · Quality | 166.5% | 100 (on a fixed band) | 6% |
| Revenue CAGR 3Y · Growth | -10.6% | 0 (on a fixed band) | 8% |
| EPS CAGR 3Y · Growth | -6.3% | 0 (on a fixed band) | 8% |
| Net debt / EBITDA · Balance sheet | 2.4x | 46 (on a fixed band) | 10% |
| Interest coverage · Balance sheet | 6.3x | 74 (on a fixed band) | 6% |
| Current ratio · Balance sheet | 1.2x | 35 (on a fixed band) | 4% |
| P/E (TTM) · Valuation | 32.5x | 63 (vs peers) | 10% |
| EV/EBITDA · Valuation | 17.9x | 0 (on a fixed band) | 10% |
| FCF yield · Valuation | 5.3% | 67 (on a fixed band) | 8% |
| Shareholder yield (distributions) · Returns | 6.6% | 95 (on a fixed band) | 6% |
| Payout ratio (FCF) · Returns | 7.0% | 100 (on a fixed band) | 4% |
Score groups
- Balance sheet52/100 · 3/3 factors with a value
- Growth0/100 · 2/2 factors with a value
- Quality74/100 · 3/3 factors with a value
- Returns97/100 · 2/2 factors with a value
- Valuation41/100 · 3/3 factors with a value
Memo
Fortive Corporation (FTV). Latest full fiscal year: 2025; data up to 2026-10-02.
Figures computed from the financial statements: revenue 4.2 bn USD in 2025; YoY growth 1.9%; net margin 14.8%; ROE 10.5%; net debt/EBITDA 2.4x.
The estimated value range is 44.25–68.10 USD per share (median of 4 methods, agreement: medium); assumptions are illustrative. Against the central value of 55.11 USD, the price of 68.34 USD leaves a potential of -19.4% (value / price − 1) and a margin of safety of -24.0% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 50/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- FCF conversion: 166.5%
- Interest coverage: 6.3x
- Shareholder yield (distributions): 6.6%
- Payout ratio (FCF): 7.0%
What contradicts it
- Revenue CAGR 3Y: -10.6%
- EPS CAGR 3Y: -6.3%
- EV/EBITDA: 17.9x
- The price is above the estimated value range
Versus the vertical median
Industrial Instruments For Measurement, Display, and Control (SIC 3823) · same industry (4-digit SIC) · compared with 15 companies
The size band was not applied: too few companies would have remained; the vertical includes much smaller or larger companies.
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| DHRDanaher Corporation | 165.3 bn | 38.4 | 8.3% | 16.9% | +2.9% | +4% / +5% |
| AMEAMETEK, Inc. | 54.4 bn | 33.4 | 14.7% | 19.9% | +6.6% | +20% / +53% |
| ROPRoper Technologies, Inc. | 48.7 bn | 19.4 | 13.2% | 30.7% | +12.3% | +10% / −9% |
| KEYSKeysight Technologies, Inc. | 48.7 bn | 39.2 | 20.6% | 19.1% | +8.0% | +44% / +110% |
| FTVFortive Corporation | 20.3 bn | 32.5 | 10.5% | 14.8% | +1.9% | +36% / +38% |
| MKSIMks Inc. | 13.2 bn | 31.1 | 15.9% | 10.1% | +9.6% | +25% / +136% |
| CGNXCognex Corp | 8.9 bn | 51.3 | 11.1% | 16.1% | +8.7% | +39% / +41% |
| RALRalliant Corporation | 7.9 bn | — | -51.8% | -52.1% | −4.0% | +45% / unavailable |
| STSensata Technologies Holding PLC | 6.0 bn | 16.5 | 12.7% | 9.5% | −5.8% | +28% / +26% |
| MLABMesa Laboratories Inc | 706.1 m | 148.1 | 2.7% | 1.9% | +3.4% | +57% / +48% |
| SENSSenseonics Holdings, Inc. | 476.9 m | — | -118.2% | -225.3% | +56.9% | +46% / −24% |
| HURCHurco Companies, Inc. | 137.6 m | — | -3.3% | -3.6% | −4.3% | +31% / +1% |
| SYPRSypris Solutions, Inc. | 29.2 m | — | -69.9% | -9.2% | −14.5% | −42% / −33% |
| CLIRClearsign Technologies Corporation | 16.5 m | — | -51.7% | -96.1% | +45.6% | −67% / −80% |
| FCUVFocus Universal Inc. | 2.2 m | — | -106.0% | -637.2% | −35.9% | −98% / −99% |
| POASPhaos Technology Holdings (Cayman) Limited | — | — | -363.8% | -4,662.3% | −19.3% | −98% / unavailable |
1- and 3-year price returns: for FTV from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 38.11 Total return -44% · Per year -44% | 67.71 Total return -1% · Per year -1% | 102.46 Total return 50% · Per year 50% |
| 3 years | 30.26 Total return -56% · Per year -24% | 61.11 Total return -11% · Per year -4% | 102.46 Total return 50% · Per year 14% |
| 5 years | 24.03 Total return -65% · Per year -19% | 55.15 Total return -19% · Per year -4% | 102.46 Total return 50% · Per year 8% |
- Exit P/E± 15.28
- Net margin± 10.69
- Annual revenue growth± 9.66
- Annual dilution± 0.90
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 29 Jul 2026; since then the company filed 8-K (28 Oct 2026 · results), 10-Q (28 Oct 2026).
In brief
Fortive Corporation develops essential technologies in professional instrumentation, software and healthcare solutions, with operations in approximately 50 countries and over 10,000 employees. Following the June 2025 separation of Ralliant, the company reported Q2 2026 revenue growth of 7.9% and raised its fiscal 2026 adjusted EPS guidance to 2.95-3.05 USD 123.
SWOT
Strengths
- A portfolio of established brands and leading positions in several niche markets gives a solid base for pricing and innovation 1.
- The Fortive Business System supports productivity and margins, and operating cash flow over the trailing twelve months is substantial 13.
- Disciplined capital allocation, including share repurchases, shows an ability to return value to shareholders 3.
Weaknesses
- Organic growth was modest in fiscal 2025 and volumes declined slightly, suggesting reliance on pricing to support revenue 1.
- The healthcare segment recorded weaker margins and lower demand for some products, highlighting exposure to policy changes 1.
- Leadership transitions following the separation and dependence on key employees could create execution risks 1.
Opportunities
- Growth in asset management software, recurring services and artificial intelligence solutions could expand value per customer 13.
- Recovery of invalidated tariffs could provide a financial benefit if refund mechanisms materialize 2.
- If demand in Europe and healthcare recovers, organic growth could accelerate 13.
Threats
- Tariffs, trade policy and geopolitical tensions could raise costs and reduce demand across several markets 12.
- Competition from low-cost regions and market consolidation could pressure prices and market share 1.
- Cybersecurity breaches and disruptions to information systems could affect operations and reputation 1.
Risks
- Exposure to cyclical marketsmedium
Demand for instruments and equipment depends on customers' capital budgets, which may decline during economic slowdowns 1.
- Costs and supply chainmedium
Fluctuating component prices and supply chain disruptions could reduce margins if they cannot be passed on to customers 1.
- Trade policy and tariffshigh
Rapid changes in tariffs and trade agreements could affect operating costs and the company's outlook 12.
- Medical device regulationmedium
Products in the healthcare segment are subject to FDA and foreign regulators, and changes in regulation or policy could affect demand and costs 1.
- Leadership transition and talent retentionlow
Leadership changes during the separation could affect strategy execution if not managed effectively 1.
Investment thesis
What would need to be true (bull case)
- If organic growth accelerates, particularly in IOS, earnings per share could exceed current guidance, supported by pricing and productivity 3.
- The share repurchase program, combined with solid operating cash flow, could support shareholder value 3.
- A portfolio of brands and leading niche positions could allow margins to be maintained even when demand is under pressure 1.
What would break the thesis
- If volumes continue to decline, growth could depend too heavily on pricing, which may not be sustainable over the long term 1.
- The healthcare segment could remain under pressure if policy changes keep reducing demand for sterilization equipment 1.
- Volatile tariff policy and possible trade tensions could compress margins and slow growth investment 12.
What to watch
- Development of core revenue growth and volumes in the IOS segmentQ3 2026
- Pace of share repurchases and the level of free cash flowQ3 2026
- Fiscal 2026 adjusted EPS guidance and any subsequent adjustmentsnext 10-K
- Impact of tariff refunds and trade policy on costs2027
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
Possibly outdated: the newest document it read is from 29 Jul 2026; since then the company filed 8-K (28 Oct 2026 · results), 10-Q (28 Oct 2026).
The business
Fortive designs, develops, manufactures and markets products, software and services built on established brands in instrumentation and safety. Its headquarters are in Everett, Washington; it was separated from Danaher in 2016 and is listed on the New York Stock Exchange 1. The Fortive Accelerated strategy rests on profitable organic growth, disciplined capital allocation and building investor trust 13.
In 2025 the company completed the separation of its Precision Technologies segment, which became Ralliant Corporation, and continuing results exclude it. Total revenue growth in fiscal 2025 was 1.9% on a GAAP basis 1.
Fortive operates the Fortive Business System (FBS), which supports continuous improvement and integrates artificial intelligence tools. The company aims to accelerate profitable growth while sustaining high operating margins, with an operating profit margin of 17.3% in fiscal 2025 1.
Segments
Advanced Healthcare Solutions
The AHS segment supplies instrument sterilization, instrument tracking, biomedical test tools, radiation detection and clinical software under brands such as ASP, CENSIS, FLUKE BIOMEDICAL, LANDAUER and PROVATION. Sales were 1,302.8 million USD in fiscal 2025, and its operating margin eased to 10.6% as demand for sterilization equipment weakened after healthcare policy changes 1.
Market context
The markets Fortive serves are fragmented and highly competitive, spanning manufacturing, utilities, energy, healthcare and electronics, and the company says it holds leading positions in most of them 1. Europe showed modest declines in fiscal 2025 while North America grew moderately, and sales from outside the US were about 44% of the total 1.
Demand depends on customers' capital spending, which can be cyclical and sensitive to economic conditions and trade policy. Tariffs, trade uncertainty and possible refunds of invalidated tariffs could influence costs and pricing in coming periods 12.
Trends
- Tariffs and trade policymixed
Tariffs that were later invalidated could affect acquisition costs, and the company is offsetting them through pricing and productivity measures. Refunds of tariffs already paid could provide a benefit if they are obtained 12.
- Pricing and productivitytailwind
Favorable pricing and FBS initiatives supported margins in fiscal 2025 and the first half of 2026, suggesting an ability to pass costs on to customers if demand remains stable 13.
- Healthcare demandheadwind
Lower demand for sterilization equipment and biomedical test products, linked to healthcare policy changes, weighed on the AHS segment. Growth in clinical software and dosimetry services partly offset this decline 1.
- Capital deploymentmixed
Share repurchases and a lower share count could support earnings per share if the current pace is sustained, although their continuation is not assured 3.
Competitive position
Fortive acknowledges operating in highly competitive markets against larger companies or divisions of larger groups, as well as well-established regional competitors more specialized in particular markets. Competition from low-cost manufacturing locations and consolidation in certain markets could put pressure on prices 1.
Key competitive factors include price, quality, performance, delivery speed, applications expertise, channel access, service, technology and brand recognition. The company does not provide an aggregate view of its competitive position, because competitors do not offer the same product lines or serve the same markets 1.
- Specialized regional competitors
Regional companies specialized in particular markets are referenced in the source without named identification, and the company regards them as more focused than it is in those niches 1.
- Large instrumentation companies and divisions
Larger competitors, or divisions of larger groups, have substantial resources for sales, marketing and research, according to the company's description 1.
- Low-cost manufacturing entrants
Entry of competitors based in low-cost manufacturing locations is flagged as rising pressure across several served markets 1.
- Asset management software and compliance providers
Competition in asset management software and compliance solutions is mentioned in the context of the IOS portfolio, without specific names in the sources 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
Loading the links…
News & filings
In the press
- Is Fortive Stock Underperforming the Nasdaq?Yahoo Finance — News · 15 Sept 2026 · EN
The latest news item in our archive is from 15 Sept 2026; the newest SEC filing is from 28 Oct 2026. The press archive comes from the RSS feeds we follow and does not necessarily cover the latest event — the filings alongside do.
SEC filings
- Quarterly report28 Oct 2026
- Current report28 Oct 2026Results of operations · Financial statements and exhibits
- Current report10 Sept 2026Departure or appointment of officers
- Quarterly report29 Jul 2026
- Current report29 Jul 2026Results of operations · Financial statements and exhibits
- Current report11 Jun 2026Shareholder vote
- Current report14 May 2026Material agreement · Creation of a direct financial obligation · Other events · Financial statements and exhibits
- Quarterly report30 Apr 2026
- Current report30 Apr 2026Results of operations · Financial statements and exhibits
- Proxy statement29 Apr 2026
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Fortive Corporation · 25 Feb 2026
- [2] Form 10-Q, quarter ended 2026-07-03 · SEC / Fortive Corporation · 29 Jul 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Fortive Corporation · 29 Jul 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.