Garrett’s Oil-Free Compressors Enter TONFY’s Battery Cooling Units Might Change The Case For Investing In GTX

• In late April 2026, TONFY announced a collaboration with Garrett Motion to integrate Garrett's oil-free high-speed centrifugal compressor technology into TONFY's 80 kW liquid cooling units for outdoor battery energy storage systems and other high-density infrastructure, targeting mass production in 2027.

• This move extends Garrett's compressor know-how beyond autos into liquid-cooled energy storage and infrastructure, aligning its technology with growing battery and data center cooling demand.

• Next, we'll examine how integrating Garrett's oil-free centrifugal compressors into TONFY's liquid cooling platform could reshape the company's investment narrative.

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Garrett Motion Investment Narrative Recap

To own Garrett Motion, you need to believe the company can steadily turn its turbocharger and high speed electric compressor know how into a broader energy and infrastructure cooling platform. The TONFY collaboration supports that shift, but the main near term swing factor remains how quickly Garrett can grow newer zero emission technologies relative to its still dominant internal combustion engine business, while managing margin pressure from product mix and macro volatility.

The recent alliance with Trane Technologies to co develop next generation oil free centrifugal compressors for HVAC ties directly into the same theme as the TONFY deal: exporting Garrett's compressor technology into non automotive markets such as commercial buildings and data centers. Together, these collaborations sit alongside the company's large turbo wins for data center backup power as a key proof point that catalysts today are increasingly coming from industrial and infrastructure applications rather than traditional auto programs.

Yet beneath this expansion into energy storage and cooling, investors still need to consider the risk that Garrett's heavy reliance on ICE turbochargers and a high debt load could...

Read the full narrative on Garrett Motion (it's free!)

Garrett Motion's narrative projects $4.0 billion revenue and $396.5 million earnings by 2029.

Uncover how Garrett Motion's forecasts yield a $22.17 fair value , a 8% upside to its current price.

Exploring Other Perspectives

Two fair value estimates from the Simply Wall St Community span roughly US$22 to US$34 per share, underlining how far apart individual views can be. Against that spread, Garrett's push into oil free compressors for energy storage and data center cooling highlights how different investors may weigh the potential of new applications versus the ongoing exposure to internal combustion demand, so it is worth comparing several viewpoints before forming your own view.