APPLIED INDUSTRIAL TECH INC (AIT) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AIT - US03820C1053 - Common Stock
284 USD
+6.56 (+2.36%)
287.9 USD
+3.9 (+1.37%)
Taking everything into account, AIT scores 7 out of 10 in our fundamental rating. AIT was compared to 50 industry peers in the Trading Companies & Distributors industry. AIT has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. AIT is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- AIT had positive earnings in the past year.
- In the past year AIT had a positive cash flow from operations.
- In the past 5 years AIT has always been profitable.
- In the past 5 years AIT always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 12.61%, AIT belongs to the top of the industry, outperforming 96.00% of the companies in the same industry.
- AIT has a better Return On Equity (21.33%) than 80.00% of its industry peers.
- AIT has a Return On Invested Capital of 14.92%. This is amongst the best in the industry. AIT outperforms 88.00% of its industry peers.
- AIT had an Average Return On Invested Capital over the past 3 years of 15.73%. This is significantly above the industry average of 9.63%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.61% | ||
| ROE | 21.33% | ||
| ROIC | 14.92% |
ROA(3y)12.69%
ROA(5y)10.99%
ROE(3y)22.64%
ROE(5y)21.17%
ROIC(3y)15.73%
ROIC(5y)14.51%
1.3 Margins
- AIT has a Profit Margin of 8.61%. This is in the better half of the industry: AIT outperforms 74.00% of its industry peers.
- In the last couple of years the Profit Margin of AIT has grown nicely.
- With a decent Operating Margin value of 11.03%, AIT is doing good in the industry, outperforming 72.00% of the companies in the same industry.
- In the last couple of years the Operating Margin of AIT has grown nicely.
- The Gross Margin of AIT (30.44%) is comparable to the rest of the industry.
- AIT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.03% | ||
| PM (TTM) | 8.61% | ||
| GM | 30.44% |
OM growth 3Y5.17%
OM growth 5Y9.14%
PM growth 3Y8.43%
PM growth 5Y63.39%
GM growth 3Y1.43%
GM growth 5Y0.88%
2. Health
2.1 Basic Checks
- AIT has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- AIT has less shares outstanding than it did 1 year ago.
- AIT has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, AIT has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 8.42 indicates that AIT is not in any danger for bankruptcy at the moment.
- AIT has a better Altman-Z score (8.42) than 88.00% of its industry peers.
- The Debt to FCF ratio of AIT is 1.26, which is an excellent value as it means it would take AIT, only 1.26 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of AIT (1.26) is better than 86.00% of its industry peers.
- AIT has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
- With a decent Debt to Equity ratio value of 0.30, AIT is doing good in the industry, outperforming 64.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 1.26 | ||
| Altman-Z | 8.42 |
ROIC/WACC1.54
WACC9.71%
2.3 Liquidity
- A Current Ratio of 3.55 indicates that AIT has no problem at all paying its short term obligations.
- AIT's Current ratio of 3.55 is fine compared to the rest of the industry. AIT outperforms 80.00% of its industry peers.
- A Quick Ratio of 2.50 indicates that AIT has no problem at all paying its short term obligations.
- AIT's Quick ratio of 2.50 is amongst the best of the industry. AIT outperforms 88.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.55 | ||
| Quick Ratio | 2.5 |
3. Growth
3.1 Past
- AIT shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.02%.
- 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 4.03% in the past year.
- AIT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.05% yearly.
EPS 1Y (TTM)6.02%
EPS 3Y14.97%
EPS 5Y21.58%
EPS Q2Q%11.44%
Revenue 1Y (TTM)4.03%
Revenue growth 3Y6.19%
Revenue growth 5Y7.05%
Sales Q2Q%9.15%
3.2 Future
- The Earnings Per Share is expected to grow by 8.12% on average over the next years. This is quite good.
- AIT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.57% yearly.
EPS Next Y6.51%
EPS Next 2Y7.55%
EPS Next 3Y8.12%
EPS Next 5YN/A
Revenue Next Year7.49%
Revenue Next 2Y6.39%
Revenue Next 3Y5.57%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 27.33, AIT can be considered very expensive at the moment.
- The rest of the industry has a similar Price/Earnings ratio as AIT.
- Compared to an average S&P500 Price/Earnings ratio of 27.32, AIT is valued at the same level.
- The Price/Forward Earnings ratio is 24.26, which indicates a rather expensive current valuation of AIT.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of AIT is on the same level as its industry peers.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.30, AIT is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.33 | ||
| Fwd PE | 24.26 |
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.
- 76.00% of the companies in the same industry are more expensive than AIT, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.54 | ||
| EV/EBITDA | 18.37 |
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)4.2
PEG (5Y)1.27
EPS Next 2Y7.55%
EPS Next 3Y8.12%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.65%, AIT is not a good candidate for dividend investing.
- AIT's Dividend Yield is comparable with the industry average which is at 1.48.
- With a Dividend Yield of 0.65, AIT pays less dividend than the S&P500 average, which is at 1.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.65% |
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 its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)5.71%
Div Incr Years15
Div Non Decr Years34
5.3 Sustainability
- AIT pays out 16.64% of its income as dividend. This is a sustainable payout ratio.
- AIT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP16.64%
EPS Next 2Y7.55%
EPS Next 3Y8.12%
284
+6.56 (+2.36%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)10-28 2025-10-28/bmo
Earnings (Next)01-27 2026-01-27
Inst Owners95.71%
Inst Owner Change-0.12%
Ins Owners0.84%
Ins Owner Change-2.79%
Market Cap10.71B
Revenue(TTM)4.66B
Net Income(TTM)401.73M
Analysts81.54
Price Target302.35 (6.46%)
Short Float %2.68%
Short Ratio3.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.65% |
Yearly Dividend1.67
Dividend Growth(5Y)5.71%
DP16.64%
Div Incr Years15
Div Non Decr Years34
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.25%
Min EPS beat(2)4.89%
Max EPS beat(2)5.61%
EPS beat(4)4
Avg EPS beat(4)5.74%
Min EPS beat(4)4.89%
Max EPS beat(4)6.89%
EPS beat(8)8
Avg EPS beat(8)5.29%
EPS beat(12)12
Avg EPS beat(12)8.16%
EPS beat(16)16
Avg EPS beat(16)11.63%
Revenue beat(2)1
Avg Revenue beat(2)1.22%
Min Revenue beat(2)-0.04%
Max Revenue beat(2)2.49%
Revenue beat(4)1
Avg Revenue beat(4)-0.07%
Min Revenue beat(4)-1.46%
Max Revenue beat(4)2.49%
Revenue beat(8)3
Avg Revenue beat(8)-0.32%
Revenue beat(12)6
Avg Revenue beat(12)0.38%
Revenue beat(16)10
Avg Revenue beat(16)1.58%
PT rev (1m)0%
PT rev (3m)1%
EPS NQ rev (1m)-0.23%
EPS NQ rev (3m)-3.03%
EPS NY rev (1m)0%
EPS NY rev (3m)1.03%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.08%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.33 | ||
| Fwd PE | 24.26 | ||
| P/S | 2.3 | ||
| P/FCF | 23.54 | ||
| P/OCF | 22.14 | ||
| P/B | 5.69 | ||
| P/tB | 12.68 | ||
| EV/EBITDA | 18.37 |
EPS(TTM)10.39
EY3.66%
EPS(NY)11.71
Fwd EY4.12%
FCF(TTM)12.06
FCFY4.25%
OCF(TTM)12.83
OCFY4.52%
SpS123.65
BVpS49.94
TBVpS22.4
PEG (NY)4.2
PEG (5Y)1.27
Graham Number108.05
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.61% | ||
| ROE | 21.33% | ||
| ROCE | 19.14% | ||
| ROIC | 14.92% | ||
| ROICexc | 17.67% | ||
| ROICexgc | 32.59% | ||
| OM | 11.03% | ||
| PM (TTM) | 8.61% | ||
| GM | 30.44% | ||
| FCFM | 9.76% |
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-Score6
Asset Turnover1.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 1.26 | ||
| Debt/EBITDA | 0.99 | ||
| Cap/Depr | 45.47% | ||
| Cap/Sales | 0.62% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 83.72% | ||
| Profit Quality | 113.26% | ||
| Current Ratio | 3.55 | ||
| Quick Ratio | 2.5 | ||
| Altman-Z | 8.42 |
F-Score6
WACC9.71%
ROIC/WACC1.54
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)6.02%
EPS 3Y14.97%
EPS 5Y21.58%
EPS Q2Q%11.44%
EPS Next Y6.51%
EPS Next 2Y7.55%
EPS Next 3Y8.12%
EPS Next 5YN/A
Revenue 1Y (TTM)4.03%
Revenue growth 3Y6.19%
Revenue growth 5Y7.05%
Sales Q2Q%9.15%
Revenue Next Year7.49%
Revenue Next 2Y6.39%
Revenue Next 3Y5.57%
Revenue Next 5YN/A
EBIT growth 1Y5.34%
EBIT growth 3Y11.68%
EBIT growth 5Y16.83%
EBIT Next Year21.54%
EBIT Next 3Y11.32%
EBIT Next 5YN/A
FCF growth 1Y26.71%
FCF growth 3Y40.01%
FCF growth 5Y10.96%
OCF growth 1Y25.93%
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 5 / 10 and the dividend payout ratio is 16.64%.