AMETEK INC (AME) Stock Fundamental Analysis
USA - NYSE:AME - US0311001004 - Common Stock
188.525 USD
+2.28 (+1.22%)
Overall AME gets a fundamental rating of 7 out of 10. We evaluated AME against 92 industry peers in the Electrical Equipment industry. AME scores excellent points on both the profitability and health parts. This is a solid base for a good stock. AME is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year AME was profitable.
AME had a positive operating cash flow in the past year.
AME had positive earnings in each of the past 5 years.
Each year in the past 5 years AME had a positive operating cash flow.
1.2 Ratios
The Return On Assets of AME (9.42%) is better than 91.30% of its industry peers.
AME has a Return On Equity of 13.84%. This is amongst the best in the industry. AME outperforms 85.87% of its industry peers.
Looking at the Return On Invested Capital, with a value of 11.25%, AME belongs to the top of the industry, outperforming 85.87% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for AME is in line with the industry average of 9.86%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.42% | ||
| ROE | 13.84% | ||
| ROIC | 11.25% |
ROA(3y)9.16%
ROA(5y)8.84%
ROE(3y)14.93%
ROE(5y)14.77%
ROIC(3y)11.54%
ROIC(5y)10.91%
1.3 Margins
AME's Profit Margin of 20.60% is amongst the best of the industry. AME outperforms 98.91% of its industry peers.
In the last couple of years the Profit Margin of AME has grown nicely.
The Operating Margin of AME (26.24%) is better than 100.00% of its industry peers.
In the last couple of years the Operating Margin of AME has grown nicely.
AME has a better Gross Margin (36.12%) than 82.61% of its industry peers.
In the last couple of years the Gross Margin of AME has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.24% | ||
| PM (TTM) | 20.6% | ||
| GM | 36.12% |
OM growth 3Y2.81%
OM growth 5Y2.35%
PM growth 3Y3.56%
PM growth 5Y3.5%
GM growth 3Y1.14%
GM growth 5Y-1.15%
2. Health
2.1 Basic Checks
AME has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, AME has about the same amount of shares outstanding.
Compared to 5 years ago, AME has more shares outstanding
The debt/assets ratio for AME has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 7.30 indicates that AME is not in any danger for bankruptcy at the moment.
AME has a Altman-Z score of 7.30. This is amongst the best in the industry. AME outperforms 91.30% of its industry peers.
AME has a debt to FCF ratio of 1.15. This is a very positive value and a sign of high solvency as it would only need 1.15 years to pay back of all of its debts.
The Debt to FCF ratio of AME (1.15) is better than 92.39% of its industry peers.
AME has a Debt/Equity ratio of 0.15. This is a healthy value indicating a solid balance between debt and equity.
AME has a Debt to Equity ratio of 0.15. This is in the better half of the industry: AME outperforms 66.30% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 1.15 | ||
| Altman-Z | 7.3 |
ROIC/WACC1.34
WACC8.37%
2.3 Liquidity
AME has a Current Ratio of 1.63. This is a normal value and indicates that AME is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.63, AME perfoms like the industry average, outperforming 43.48% of the companies in the same industry.
A Quick Ratio of 1.04 indicates that AME should not have too much problems paying its short term obligations.
AME has a Quick ratio (1.04) which is comparable to the rest of the industry.
AME does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.63 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
AME shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.65%.
Measured over the past years, AME shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.27% on average per year.
AME shows a small growth in Revenue. In the last year, the Revenue has grown by 2.28%.
Measured over the past years, AME shows a small growth in Revenue. The Revenue has been growing by 6.12% on average per year.
EPS 1Y (TTM)6.65%
EPS 3Y12.09%
EPS 5Y10.27%
EPS Q2Q%7.23%
Revenue 1Y (TTM)2.28%
Revenue growth 3Y7.76%
Revenue growth 5Y6.12%
Sales Q2Q%2.49%
3.2 Future
AME is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.08% yearly.
AME is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.45% yearly.
EPS Next Y5.74%
EPS Next 2Y7.25%
EPS Next 3Y7.87%
EPS Next 5Y7.08%
Revenue Next Year3.47%
Revenue Next 2Y5.39%
Revenue Next 3Y5.79%
Revenue Next 5Y7.45%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 26.70, AME can be considered very expensive at the moment.
AME's Price/Earnings ratio is a bit cheaper when compared to the industry. AME is cheaper than 77.17% of the companies in the same industry.
When comparing the Price/Earnings ratio of AME to the average of the S&P500 Index (27.20), we can say AME is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 24.00, the valuation of AME can be described as rather expensive.
Based on the Price/Forward Earnings ratio, AME is valued a bit cheaper than the industry average as 78.26% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of AME to the average of the S&P500 Index (22.70), we can say AME is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.7 | ||
| Fwd PE | 24 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AME is valued a bit cheaper than 76.09% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, AME is valued cheaper than 81.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.86 | ||
| EV/EBITDA | 19.87 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates AME does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of AME may justify a higher PE ratio.
PEG (NY)4.65
PEG (5Y)2.6
EPS Next 2Y7.25%
EPS Next 3Y7.87%
5. Dividend
5.1 Amount
With a yearly dividend of 0.65%, AME is not a good candidate for dividend investing.
AME's Dividend Yield is rather good when compared to the industry average which is at 3.03. AME pays more dividend than 83.70% of the companies in the same industry.
With a Dividend Yield of 0.65, AME pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.65% |
5.2 History
On average, the dividend of AME grows each year by 14.93%, which is quite nice.
AME has paid a dividend for at least 10 years, which is a reliable track record.
AME has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)14.93%
Div Incr Years5
Div Non Decr Years27
5.3 Sustainability
AME pays out 18.94% of its income as dividend. This is a sustainable payout ratio.
The dividend of AME is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP18.94%
EPS Next 2Y7.25%
EPS Next 3Y7.87%
NYSE:AME (9/18/2025, 2:52:04 PM)
188.525
+2.28 (+1.22%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners88.6%
Inst Owner Change-4.48%
Ins Owners0.32%
Ins Owner Change-1.86%
Market Cap43.54B
Analysts74.55
Price Target210.64 (11.73%)
Short Float %1.13%
Short Ratio2.03
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.65% |
Yearly Dividend1.12
Dividend Growth(5Y)14.93%
DP18.94%
Div Incr Years5
Div Non Decr Years27
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.56%
Min EPS beat(2)2.63%
Max EPS beat(2)4.48%
EPS beat(4)3
Avg EPS beat(4)1.96%
Min EPS beat(4)-0.93%
Max EPS beat(4)4.48%
EPS beat(8)6
Avg EPS beat(8)1.85%
EPS beat(12)10
Avg EPS beat(12)2.43%
EPS beat(16)14
Avg EPS beat(16)3.02%
Revenue beat(2)1
Avg Revenue beat(2)-0.08%
Min Revenue beat(2)-1.65%
Max Revenue beat(2)1.49%
Revenue beat(4)1
Avg Revenue beat(4)-1.35%
Min Revenue beat(4)-4.16%
Max Revenue beat(4)1.49%
Revenue beat(8)1
Avg Revenue beat(8)-2.12%
Revenue beat(12)4
Avg Revenue beat(12)-0.99%
Revenue beat(16)7
Avg Revenue beat(16)-0.41%
PT rev (1m)0.93%
PT rev (3m)6.07%
EPS NQ rev (1m)0.35%
EPS NQ rev (3m)-0.55%
EPS NY rev (1m)1.2%
EPS NY rev (3m)1.19%
Revenue NQ rev (1m)0.93%
Revenue NQ rev (3m)3.31%
Revenue NY rev (1m)2.6%
Revenue NY rev (3m)2.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.7 | ||
| Fwd PE | 24 | ||
| P/S | 6.24 | ||
| P/FCF | 25.86 | ||
| P/OCF | 24 | ||
| P/B | 4.19 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.87 |
EPS(TTM)7.06
EY3.74%
EPS(NY)7.86
Fwd EY4.17%
FCF(TTM)7.29
FCFY3.87%
OCF(TTM)7.85
OCFY4.17%
SpS30.22
BVpS44.98
TBVpS-0.93
PEG (NY)4.65
PEG (5Y)2.6
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.42% | ||
| ROE | 13.84% | ||
| ROCE | 13.67% | ||
| ROIC | 11.25% | ||
| ROICexc | 11.79% | ||
| ROICexgc | 69.31% | ||
| OM | 26.24% | ||
| PM (TTM) | 20.6% | ||
| GM | 36.12% | ||
| FCFM | 24.12% |
ROA(3y)9.16%
ROA(5y)8.84%
ROE(3y)14.93%
ROE(5y)14.77%
ROIC(3y)11.54%
ROIC(5y)10.91%
ROICexc(3y)11.92%
ROICexc(5y)11.49%
ROICexgc(3y)93.58%
ROICexgc(5y)86.23%
ROCE(3y)14.02%
ROCE(5y)13.26%
ROICexcg growth 3Y3.6%
ROICexcg growth 5Y1.71%
ROICexc growth 3Y3.76%
ROICexc growth 5Y-0.05%
OM growth 3Y2.81%
OM growth 5Y2.35%
PM growth 3Y3.56%
PM growth 5Y3.5%
GM growth 3Y1.14%
GM growth 5Y-1.15%
F-Score8
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | 1.15 | ||
| Debt/EBITDA | 0.69 | ||
| Cap/Depr | 32.56% | ||
| Cap/Sales | 1.87% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 81.28% | ||
| Profit Quality | 117.1% | ||
| Current Ratio | 1.63 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z | 7.3 |
F-Score8
WACC8.37%
ROIC/WACC1.34
Cap/Depr(3y)39.02%
Cap/Depr(5y)36.8%
Cap/Sales(3y)2.05%
Cap/Sales(5y)1.96%
Profit Quality(3y)110.86%
Profit Quality(5y)115.39%
High Growth Momentum
Growth
EPS 1Y (TTM)6.65%
EPS 3Y12.09%
EPS 5Y10.27%
EPS Q2Q%7.23%
EPS Next Y5.74%
EPS Next 2Y7.25%
EPS Next 3Y7.87%
EPS Next 5Y7.08%
Revenue 1Y (TTM)2.28%
Revenue growth 3Y7.76%
Revenue growth 5Y6.12%
Sales Q2Q%2.49%
Revenue Next Year3.47%
Revenue Next 2Y5.39%
Revenue Next 3Y5.79%
Revenue Next 5Y7.45%
EBIT growth 1Y3.05%
EBIT growth 3Y10.79%
EBIT growth 5Y8.61%
EBIT Next Year26.12%
EBIT Next 3Y13.52%
EBIT Next 5Y11.23%
FCF growth 1Y29.53%
FCF growth 3Y17.47%
FCF growth 5Y10.95%
OCF growth 1Y26.49%
OCF growth 3Y16.37%
OCF growth 5Y10.41%