APPLIED INDUSTRIAL TECH INC (AIT) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:AIT • US03820C1053
283.06 USD
+9.84 (+3.6%)
Last: Feb 4, 2026, 11:36 AM
Overall AIT gets a fundamental rating of 7 out of 10. We evaluated AIT against 50 industry peers in the Trading Companies & Distributors industry. Both the health and profitability get an excellent rating, making AIT a very profitable company, without any liquidiy or solvency issues. 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.
- Each year in the past 5 years AIT has been profitable.
- In the past 5 years AIT always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of AIT (12.78%) is better than 96.00% of its industry peers.
- AIT has a Return On Equity of 21.54%. This is in the better half of the industry: AIT outperforms 80.00% of its industry peers.
- AIT has a Return On Invested Capital of 15.01%. This is amongst the best in the industry. AIT outperforms 88.00% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for AIT is significantly above the industry average of 9.63%.
| Industry Rank | Sector 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%
1.3 Margins
- With a decent Profit Margin value of 8.49%, AIT is doing good in the industry, outperforming 74.00% of the companies in the same industry.
- AIT's Profit Margin has improved in the last couple of years.
- AIT has a Operating Margin of 10.87%. This is in the better half of the industry: AIT outperforms 72.00% of its industry peers.
- AIT's Operating Margin has improved in the last couple of years.
- AIT's Gross Margin of 30.39% is in line compared to the rest of the industry. AIT outperforms 54.00% of its industry peers.
- AIT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector 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%
2. Health
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.
- The number of shares outstanding for AIT has been reduced compared to 1 year ago.
- The number of shares outstanding for AIT has been reduced compared to 5 years ago.
- The debt/assets ratio for AIT has been reduced compared to a year ago.
2.2 Solvency
- AIT has an Altman-Z score of 8.50. This indicates that AIT is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of AIT (8.50) is better than 88.00% 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.
- AIT has a Debt to FCF ratio of 1.25. This is amongst the best in the industry. AIT outperforms 86.00% of its industry peers.
- A Debt/Equity ratio of 0.31 indicates that AIT is not too dependend on debt financing.
- With a decent Debt to Equity ratio value of 0.31, AIT is doing good in the industry, outperforming 64.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | 1.25 | ||
| Altman-Z | 8.5 |
ROIC/WACC1.53
WACC9.79%
2.3 Liquidity
- AIT has a Current Ratio of 3.68. This indicates that AIT is financially healthy and has no problem in meeting its short term obligations.
- AIT has a better Current ratio (3.68) than 84.00% of its industry peers.
- A Quick Ratio of 2.56 indicates that AIT has no problem at all paying its short term obligations.
- The Quick ratio of AIT (2.56) is better than 88.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.68 | ||
| Quick Ratio | 2.56 |
3. Growth
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
- AIT is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.09% yearly.
- AIT is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.64% yearly.
EPS Next Y6.49%
EPS Next 2Y7.56%
EPS Next 3Y8.09%
EPS Next 5YN/A
Revenue Next Year7.73%
Revenue Next 2Y6.61%
Revenue Next 3Y5.64%
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.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 26.93, the valuation of AIT can be described as expensive.
- The rest of the industry has a similar Price/Earnings ratio as AIT.
- The average S&P500 Price/Earnings ratio is at 28.18. AIT is around the same levels.
- With a Price/Forward Earnings ratio of 24.18, AIT is valued on the expensive side.
- The rest of the industry has a similar Price/Forward Earnings ratio as AIT.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.51, AIT is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.93 | ||
| Fwd PE | 24.18 |
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.
- 80.00% 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 | 23.29 | ||
| EV/EBITDA | 17.94 |
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)4.15
PEG (5Y)1.25
EPS Next 2Y7.56%
EPS Next 3Y8.09%
5. Dividend
5.1 Amount
- AIT has a yearly dividend return of 0.75%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.88, AIT pays a bit more dividend than its industry peers.
- With a Dividend Yield of 0.75, AIT pays less dividend than the S&P500 average, which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.75% |
5.2 History
- The dividend of AIT has a limited annual growth rate of 5.71%.
- AIT has been paying a dividend for at least 10 years, so it has 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
5.3 Sustainability
- 17.32% of the earnings are spent on dividend by AIT. This is a low number and sustainable payout ratio.
- AIT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP17.32%
EPS Next 2Y7.56%
EPS Next 3Y8.09%
NYSE:AIT (2/4/2026, 11:36:08 AM)
283.06
+9.84 (+3.6%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)01-27 2026-01-27/bmo
Earnings (Next)04-29 2026-04-29
Inst Owners95.71%
Inst Owner Change-2.41%
Ins Owners0.84%
Ins Owner Change-2.18%
Market Cap10.68B
Revenue(TTM)4.75B
Net Income(TTM)403.79M
Analysts81.54
Price Target302.36 (6.82%)
Short Float %2.74%
Short Ratio3.27
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.75% |
Yearly Dividend1.67
Dividend Growth(5Y)5.71%
DP17.32%
Div Incr Years15
Div Non Decr Years34
Ex-Date02-13 2026-02-13 (0.51)
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%
PT rev (3m)0.21%
EPS NQ rev (1m)-1.52%
EPS NQ rev (3m)-0.84%
EPS NY rev (1m)0%
EPS NY rev (3m)1.02%
Revenue NQ rev (1m)0.24%
Revenue NQ rev (3m)0.24%
Revenue NY rev (1m)0.04%
Revenue NY rev (3m)0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.93 | ||
| Fwd PE | 24.18 | ||
| P/S | 2.25 | ||
| P/FCF | 23.29 | ||
| P/OCF | 21.86 | ||
| P/B | 5.7 | ||
| P/tB | 12.65 | ||
| EV/EBITDA | 17.94 |
EPS(TTM)10.51
EY3.71%
EPS(NY)11.71
Fwd EY4.14%
FCF(TTM)12.15
FCFY4.29%
OCF(TTM)12.95
OCFY4.58%
SpS126.03
BVpS49.69
TBVpS22.38
PEG (NY)4.15
PEG (5Y)1.25
Graham Number108.4
Profitability
| Industry Rank | Sector 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 Rank | Sector 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 | 8.5 |
F-Score8
WACC9.79%
ROIC/WACC1.53
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 Year7.73%
Revenue Next 2Y6.61%
Revenue Next 3Y5.64%
Revenue Next 5YN/A
EBIT growth 1Y4.48%
EBIT growth 3Y11.68%
EBIT growth 5Y16.83%
EBIT Next Year21.52%
EBIT Next 3Y11.33%
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%.