APPLIED INDUSTRIAL TECH INC (AIT) Fundamental Analysis & Valuation

NYSE:AIT • US03820C1053

275.547 USD
-4.36 (-1.56%)
Last: Mar 5, 2026, 01:41 PM
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This AIT fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

7

We assign a fundamental rating of 7 out of 10 to AIT. AIT was compared to 47 industry peers in the Trading Companies & Distributors industry. AIT scores excellent points on both the profitability and health parts. This is a solid base for a good stock. AIT is quite expensive at the moment. It does show a decent growth rate.


Dividend Valuation Growth Profitability Health

8

1. AIT Profitability Analysis

1.1 Basic Checks

  • AIT had positive earnings in the past year.
  • AIT had a positive operating cash flow in the past year.
  • AIT had positive earnings in each of the past 5 years.
  • In the past 5 years AIT always reported a positive cash flow from operatings.
AIT Yearly Net Income VS EBIT VS OCF VS FCFAIT Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M 400M

1.2 Ratios

  • AIT has a better Return On Assets (12.78%) than 95.74% of its industry peers.
  • Looking at the Return On Equity, with a value of 21.54%, AIT belongs to the top of the industry, outperforming 85.11% of the companies in the same industry.
  • AIT has a better Return On Invested Capital (15.01%) than 91.49% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for AIT is significantly above the industry average of 9.21%.
Industry RankSector Rank
ROA 12.78%
ROE 21.54%
ROIC 15.01%
ROA(3y)12.69%
ROA(5y)10.99%
ROE(3y)22.64%
ROE(5y)21.17%
ROIC(3y)15.73%
ROIC(5y)14.51%
AIT Yearly ROA, ROE, ROICAIT Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20

1.3 Margins

  • AIT's Profit Margin of 8.49% is fine compared to the rest of the industry. AIT outperforms 78.72% of its industry peers.
  • In the last couple of years the Profit Margin of AIT has grown nicely.
  • AIT has a better Operating Margin (10.87%) than 76.60% of its industry peers.
  • In the last couple of years the Operating Margin of AIT has grown nicely.
  • AIT's Gross Margin of 30.39% is in line compared to the rest of the industry. AIT outperforms 55.32% of its industry peers.
  • In the last couple of years the Gross Margin of AIT has remained more or less at the same level.
Industry RankSector Rank
OM 10.87%
PM (TTM) 8.49%
GM 30.39%
OM growth 3Y5.17%
OM growth 5Y9.14%
PM growth 3Y8.43%
PM growth 5Y63.39%
GM growth 3Y1.43%
GM growth 5Y0.88%
AIT Yearly Profit, Operating, Gross MarginsAIT Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

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ROAROEROICOperating and Profit MarginShow most profitable peers

9

2. AIT Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so AIT is still creating some value.
  • Compared to 1 year ago, AIT has less shares outstanding
  • Compared to 5 years ago, AIT has less shares outstanding
  • AIT has a better debt/assets ratio than last year.
AIT Yearly Shares OutstandingAIT Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10M 20M 30M
AIT Yearly Total Debt VS Total AssetsAIT Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

2.2 Solvency

  • AIT has an Altman-Z score of 8.57. This indicates that AIT is financially healthy and has little risk of bankruptcy at the moment.
  • AIT's Altman-Z score of 8.57 is amongst the best of the industry. AIT outperforms 93.62% of its industry peers.
  • AIT has a debt to FCF ratio of 1.25. This is a very positive value and a sign of high solvency as it would only need 1.25 years to pay back of all of its debts.
  • The Debt to FCF ratio of AIT (1.25) is better than 87.23% of its industry peers.
  • A Debt/Equity ratio of 0.31 indicates that AIT is not too dependend on debt financing.
  • AIT has a Debt to Equity ratio of 0.31. This is in the better half of the industry: AIT outperforms 63.83% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.31
Debt/FCF 1.25
Altman-Z 8.57
ROIC/WACC1.58
WACC9.47%
AIT Yearly LT Debt VS Equity VS FCFAIT Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B

2.3 Liquidity

  • A Current Ratio of 3.68 indicates that AIT has no problem at all paying its short term obligations.
  • The Current ratio of AIT (3.68) is better than 89.36% of its industry peers.
  • AIT has a Quick Ratio of 2.56. This indicates that AIT is financially healthy and has no problem in meeting its short term obligations.
  • The Quick ratio of AIT (2.56) is better than 89.36% of its industry peers.
Industry RankSector Rank
Current Ratio 3.68
Quick Ratio 2.56
AIT Yearly Current Assets VS Current LiabilitesAIT Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

4

3. AIT Growth Analysis

3.1 Past

  • AIT shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.48%.
  • AIT shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 21.58% yearly.
  • The Revenue has been growing slightly by 6.14% in the past year.
  • Measured over the past years, AIT shows a small growth in Revenue. The Revenue has been growing by 7.05% on average per year.
EPS 1Y (TTM)6.48%
EPS 3Y14.97%
EPS 5Y21.58%
EPS Q2Q%5.02%
Revenue 1Y (TTM)6.14%
Revenue growth 3Y6.19%
Revenue growth 5Y7.05%
Sales Q2Q%8.39%

3.2 Future

  • The Earnings Per Share is expected to grow by 8.09% on average over the next years. This is quite good.
  • The Revenue is expected to grow by 5.83% on average over the next years.
EPS Next Y6.49%
EPS Next 2Y7.56%
EPS Next 3Y8.09%
EPS Next 5YN/A
Revenue Next Year7.82%
Revenue Next 2Y6.56%
Revenue Next 3Y5.83%
Revenue Next 5YN/A

3.3 Evolution

  • The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
  • The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
AIT Yearly Revenue VS EstimatesAIT Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1B 2B 3B 4B 5B
AIT Yearly EPS VS EstimatesAIT Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2 4 6 8 10

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3

4. AIT Valuation Analysis

4.1 Price/Earnings Ratio

  • AIT is valuated quite expensively with a Price/Earnings ratio of 26.22.
  • Compared to the rest of the industry, the Price/Earnings ratio of AIT is on the same level as its industry peers.
  • Compared to an average S&P500 Price/Earnings ratio of 27.03, AIT is valued at the same level.
  • A Price/Forward Earnings ratio of 23.54 indicates a rather expensive valuation of AIT.
  • The rest of the industry has a similar Price/Forward Earnings ratio as AIT.
  • AIT's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 25.11.
Industry RankSector Rank
PE 26.22
Fwd PE 23.54
AIT Price Earnings VS Forward Price EarningsAIT Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AIT is on the same level as its industry peers.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of AIT indicates a somewhat cheap valuation: AIT is cheaper than 74.47% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 22.42
EV/EBITDA 18.18
AIT Per share dataAIT EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80 100

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • The excellent profitability rating of AIT may justify a higher PE ratio.
PEG (NY)4.04
PEG (5Y)1.22
EPS Next 2Y7.56%
EPS Next 3Y8.09%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. AIT Dividend Analysis

5.1 Amount

  • AIT has a yearly dividend return of 0.72%, which is pretty low.
  • AIT's Dividend Yield is a higher than the industry average which is at 0.80.
  • With a Dividend Yield of 0.72, AIT pays less dividend than the S&P500 average, which is at 1.82.
Industry RankSector Rank
Dividend Yield 0.72%

5.2 History

  • The dividend of AIT has a limited annual growth rate of 5.71%.
  • AIT has paid a dividend for at least 10 years, which is a reliable track record.
  • AIT has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)5.71%
Div Incr Years15
Div Non Decr Years34
AIT Yearly Dividends per shareAIT Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.5 1 1.5

5.3 Sustainability

  • AIT pays out 17.32% of its income as dividend. This is a sustainable payout ratio.
  • The dividend of AIT is growing, but earnings are growing more, so the dividend growth is sustainable.
DP17.32%
EPS Next 2Y7.56%
EPS Next 3Y8.09%
AIT Yearly Income VS Free CF VS DividendAIT Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M 400M
AIT Dividend Payout.AIT Dividend Payout, showing the Payout Ratio.AIT Dividend Payout.PayoutRetained Earnings

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AIT Fundamentals: All Metrics, Ratios and Statistics

APPLIED INDUSTRIAL TECH INC

NYSE:AIT (3/5/2026, 1:41:51 PM)

275.547

-4.36 (-1.56%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)01-27
Earnings (Next)04-29
Inst Owners95.71%
Inst Owner Change0.82%
Ins Owners0.84%
Ins Owner Change-3.63%
Market Cap10.28B
Revenue(TTM)4.75B
Net Income(TTM)403.79M
Analysts81.54
Price Target302.36 (9.73%)
Short Float %2.85%
Short Ratio3.11
Dividend
Industry RankSector Rank
Dividend Yield 0.72%
Yearly Dividend1.67
Dividend Growth(5Y)5.71%
DP17.32%
Div Incr Years15
Div Non Decr Years34
Ex-Date02-13
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.48%
Min EPS beat(2)0.06%
Max EPS beat(2)4.89%
EPS beat(4)4
Avg EPS beat(4)4.04%
Min EPS beat(4)0.06%
Max EPS beat(4)5.61%
EPS beat(8)8
Avg EPS beat(8)4.16%
EPS beat(12)12
Avg EPS beat(12)6.35%
EPS beat(16)16
Avg EPS beat(16)9.5%
Revenue beat(2)0
Avg Revenue beat(2)-0.78%
Min Revenue beat(2)-1.52%
Max Revenue beat(2)-0.04%
Revenue beat(4)1
Avg Revenue beat(4)-0.13%
Min Revenue beat(4)-1.52%
Max Revenue beat(4)2.49%
Revenue beat(8)2
Avg Revenue beat(8)-0.59%
Revenue beat(12)5
Avg Revenue beat(12)-0.2%
Revenue beat(16)9
Avg Revenue beat(16)1.36%
PT rev (1m)0.01%
PT rev (3m)0.01%
EPS NQ rev (1m)-1.39%
EPS NQ rev (3m)-2.89%
EPS NY rev (1m)-0.02%
EPS NY rev (3m)-0.02%
Revenue NQ rev (1m)-0.08%
Revenue NQ rev (3m)0.16%
Revenue NY rev (1m)0.29%
Revenue NY rev (3m)0.35%
Valuation
Industry RankSector Rank
PE 26.22
Fwd PE 23.54
P/S 2.16
P/FCF 22.42
P/OCF 21.04
P/B 5.48
P/tB 12.17
EV/EBITDA 18.18
EPS(TTM)10.51
EY3.81%
EPS(NY)11.71
Fwd EY4.25%
FCF(TTM)12.29
FCFY4.46%
OCF(TTM)13.1
OCFY4.75%
SpS127.45
BVpS50.25
TBVpS22.63
PEG (NY)4.04
PEG (5Y)1.22
Graham Number109.01
Profitability
Industry RankSector Rank
ROA 12.78%
ROE 21.54%
ROCE 19.25%
ROIC 15.01%
ROICexc 17.68%
ROICexgc 32.28%
OM 10.87%
PM (TTM) 8.49%
GM 30.39%
FCFM 9.64%
ROA(3y)12.69%
ROA(5y)10.99%
ROE(3y)22.64%
ROE(5y)21.17%
ROIC(3y)15.73%
ROIC(5y)14.51%
ROICexc(3y)18.81%
ROICexc(5y)17.03%
ROICexgc(3y)33.89%
ROICexgc(5y)31.67%
ROCE(3y)20.18%
ROCE(5y)18.62%
ROICexgc growth 3Y3.11%
ROICexgc growth 5Y4.82%
ROICexc growth 3Y2.9%
ROICexc growth 5Y8.88%
OM growth 3Y5.17%
OM growth 5Y9.14%
PM growth 3Y8.43%
PM growth 5Y63.39%
GM growth 3Y1.43%
GM growth 5Y0.88%
F-Score8
Asset Turnover1.5
Health
Industry RankSector Rank
Debt/Equity 0.31
Debt/FCF 1.25
Debt/EBITDA 0.98
Cap/Depr 44.89%
Cap/Sales 0.63%
Interest Coverage 250
Cash Conversion 83.7%
Profit Quality 113.54%
Current Ratio 3.68
Quick Ratio 2.56
Altman-Z 8.57
F-Score8
WACC9.47%
ROIC/WACC1.58
Cap/Depr(3y)47.45%
Cap/Depr(5y)40.98%
Cap/Sales(3y)0.58%
Cap/Sales(5y)0.54%
Profit Quality(3y)99.93%
Profit Quality(5y)104.31%
High Growth Momentum
Growth
EPS 1Y (TTM)6.48%
EPS 3Y14.97%
EPS 5Y21.58%
EPS Q2Q%5.02%
EPS Next Y6.49%
EPS Next 2Y7.56%
EPS Next 3Y8.09%
EPS Next 5YN/A
Revenue 1Y (TTM)6.14%
Revenue growth 3Y6.19%
Revenue growth 5Y7.05%
Sales Q2Q%8.39%
Revenue Next Year7.82%
Revenue Next 2Y6.56%
Revenue Next 3Y5.83%
Revenue Next 5YN/A
EBIT growth 1Y4.48%
EBIT growth 3Y11.68%
EBIT growth 5Y16.83%
EBIT Next Year21.29%
EBIT Next 3Y11.32%
EBIT Next 5YN/A
FCF growth 1Y14.73%
FCF growth 3Y40.01%
FCF growth 5Y10.96%
OCF growth 1Y15.43%
OCF growth 3Y37.94%
OCF growth 5Y10.66%

APPLIED INDUSTRIAL TECH INC / AIT FAQ

Can you provide the ChartMill fundamental rating for APPLIED INDUSTRIAL TECH INC?

ChartMill assigns a fundamental rating of 7 / 10 to AIT.


Can you provide the valuation status for APPLIED INDUSTRIAL TECH INC?

ChartMill assigns a valuation rating of 3 / 10 to APPLIED INDUSTRIAL TECH INC (AIT). This can be considered as Overvalued.


How profitable is APPLIED INDUSTRIAL TECH INC (AIT) stock?

APPLIED INDUSTRIAL TECH INC (AIT) has a profitability rating of 8 / 10.


Can you provide the financial health for AIT stock?

The financial health rating of APPLIED INDUSTRIAL TECH INC (AIT) is 9 / 10.


How sustainable is the dividend of APPLIED INDUSTRIAL TECH INC (AIT) stock?

The dividend rating of APPLIED INDUSTRIAL TECH INC (AIT) is 6 / 10 and the dividend payout ratio is 17.32%.