We do not cover this company at the moment.
Date Reviewed | N/A |
Company Name | AMETEK Inc |
Symbol | AME |
Sector | Industrials |
Industry | Specialty Industrial Machinery |
Beta | 1.173 |
PRO Rating | 4 |
Dividend Safety | 4 |
Business Model
AMETEK, Inc. is a global provider of industrial technology solutions serving a diverse set of niche markets. The Company’s segments include Electronic Instruments (EIG) and Electromechanical (EMG). The EIG segment manufactures advanced instruments for the process, power and industrial, and aerospace markets. It provides process and analytical instruments for the oil and gas, petrochemical, pharmaceutical, semiconductor, automation, and food and beverage industries. The EIG segment also provides instruments to the laboratory equipment, ultra-precision manufacturing, medical, and test and measurement markets. The EMG segment designs and manufactures engineered medical components and devices, automation solutions, thermal management systems, specialty metals and electrical interconnects. The Company’s EMG segment makes precision motion control products for data storage, medical devices, business equipment, automation, and other applications.
Current price | 171.1 |
ROE | 16.20 % |
ROIC | 12.55 % |
Shareholder Yield | 0.05 % |
5-Yr Total Return | 98.25 % |
1-Yr Total Return | 14.50 % |
Next Earnings Date | 10-29-24 |
Latest Quarter Information
What the CEO said:
Our operating performance in the second quarter was strong with outstanding core margin expansion, record operating income and EBITDA, and earnings growth ahead of our expectations. We also generated excellent cash flows, with free cash flow up 17% and free cash flow conversion of 107% in the quarter. These results reflect the strength and flexibility of our operating model as well as our team's ability to successfully manage through a slower growth environment. EIG delivered strong results this quarter with excellent operating performance leading to outstanding profit growth and robust margin expansion.
What we say:09-07-2024, Ametek reported sales growth of 5%, operating income growth of 7%, and free cash flow conversion of 107% in Q2 2024. Q2 adjusted earnings of $1.66/ diluted share included non-cash, after-tax, acquisition-related intangible amortization of $0.21/ diluted share. Segment sales - EIG: $1.15B (+2%) and EMG: $581.2M (+14%). For 2024, AME reduced its outlook and expects sales growth of 5%-7% Y/Y and adjusted DEPS of $6.70-$6.80, up 5%-7% YoY. 3Q'24 adjusted EPS estimate is a range of $1.60-$1.62 (down 1% - 2% Y/Y), and sales growth is expected to be in the mid single digits % Y/Y.
Investment Thesis
Dividend Triangle
5-Yr Rev. Growth | 6.35 % |
5-Yr EPS Growth | 11.15 % |
5-Yr Div Growth | 12.30 % |
Potential Risks
Debt/Equity | 0.40 |
Financial Debt to EBITDA (TTM) | 1.25 |
Current Ratio (Quarterly) | 1.00 |
Credit Score | 78 |
Dividend Growth Perspective
Dividend ($) | 1.12 |
Dividend Yield Fwd | 0.65 % |
Dividend Frequency | Quarterly |
Average 5-Yr Yield | 0.60 % |
Payout Ratio (%) | 17.55 |
Cash Payout Ratio (%) | 14.65 |
DGR 1-Yr | 12.00 |
DGR 3-Yr | 11.55 |
DGR 5-Yr | 12.30 |
DGR Streak | |
Chowder Score | 12.95 |
Next DVD PMT | 09-30-24 |
Valuation
(Data for `ddm_recent_annual_dividend` field are missing to build DDM tables)
Video Tutorial: How to Read the Stock Cards DDM ValuationMarket Cap | 40 B |
PE Ratio | 29.80 |
Fwd PE | 23.95 |
Price to Book Ratio | 4.30 |
DDM Valuation | N/A |
Average 5-Yr PE | 29.27 |
Value Score | 19 |
- All financial metrics are updated weekly.
- The DSR PRO rating and Dividend Safety Score are updated quarterly.
- The analysis (investment thesis, risk potential, dividend growth perspective and DDM calculation) is reviewed every 6 months.
- The PDF format includes only comments (no metrics) and is reviewed every 6 months.