(AIT) Applied Industrial - NYSE
Sector: Industrials | Industry: Industrial Distribution | Exchange: NYSE (USA) | Market Cap: 12.491m USD | Total Return: 46.7% in 12m
Avg Turnover: 75.7M
EPS Trend: 98.2%
Qual. Beats: 0
Rev. Trend: 88.4%
Qual. Beats: 1
Warnings
Extended 3d
Tailwinds
Supp Ema20, Confidence
Applied Industrial Technologies (NYSE: AIT) is a Cleveland, Ohio-based industrial distributor operating in the U.S., Canada, Mexico, Australia, New Zealand, Singapore, and Costa Rica. The company runs through two segments: Service Center, which supplies bearings, power transmission, fluid power, and general maintenance products along with conveyor and hose services, and Engineered Solutions, which designs, integrates, and repairs hydraulic, pneumatic, flow control, and advanced automation technologies. Originally founded in 1923 as Bearings, Inc., the company adopted its current name in 1997 and has been publicly traded since 1984.
As a member of the Industrials sector within the Trading Companies & Distributors sub-industry, AIT operates a hybrid distribution model, serving both MRO (maintenance, repair, and operations) customers through its Service Center network and OEMs/machine builders through its Engineered Solutions segment. This dual-channel approach is characteristic of large-scale industrial distributors that combine catalog-based MRO supply with higher-value technical and engineering services.
- US manufacturing PMI drives Service Center segment revenue and pricing
- Engineered Solutions margin lifts on fluid power and automation mix shift
- Bolt-on acquisitions and dividend growth sustain capital return story
| Net Income: 403.8m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.15 > 0.02 and ΔFCF/TA 0.55 > 1.0 |
| NWC/Revenue: 21.59% < 20% (prev 27.05%; Δ -5.46% < -1%) |
| CFO/TA 0.16 > 3% & CFO 464.5m > Net Income 403.8m |
| Net Debt (193.7m) to EBITDA (600.5m): 0.32 < 3 |
| Current Ratio: 2.95 > 1.5 & < 3 |
| Outstanding Shares: last quarter (38.0m) vs 12m ago -2.18% < -2% |
| Gross Margin: 30.04% > 18% (prev 30.33%; Δ -0.29% > 0.5%) |
| Asset Turnover: 158.5% > 50% (prev 144.4%; Δ 14.12% > 0%) |
| Interest Coverage Ratio: 42.94 > 6 (EBIT TTM 550.1m / Interest Expense TTM 12.8m) |
| A: 0.35 (Total Current Assets 1.58b - Total Current Liabilities 536.6m) / Total Assets 2.99b |
| B: 0.91 (Retained Earnings 2.71b / Total Assets 2.99b) |
| C: 0.18 (EBIT TTM 550.1m / Avg Total Assets 3.05b) |
| D: 1.65 (Book Value of Equity 1.86b / Total Liabilities 1.13b) |
| Altman-Z'' = 8.19 = AAA |
| DSRI: 0.98 (Receivables 792.8m/754.6m, Revenue 4.84b/4.50b) |
| GMI: 1.01 (GM 30.33% / 30.04%) |
| AQI: 1.03 (AQ_t 0.37 / AQ_t-1 0.36) |
| SGI: 1.08 (Revenue 4.84b / 4.50b) |
| TATA: -0.02 (NI 403.8m - CFO 464.5m) / TA 2.99b) |
| Beneish M = -2.96 (Cap -4..+1) = A |
As of June 22, 2026, the stock is trading at USD 337.96 with a total of 485,746 shares traded.
Over the past week, the price has changed by +5.98%,
over one month by +10.57%,
over three months by +29.09% and
over the past year by +46.72%.
Applied Industrial has received a consensus analysts rating of 4.63. Therefore, it is recommended to buy AIT.
- StrongBuy: 6
- Buy: 1
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 341.7 | 1.1% |
P/E Trailing = 31.9735
P/E Forward = 28.9017
P/S = 2.5814
P/B = 6.7154
P/EG = 2.8885
Revenue TTM = 4.84b USD
EBIT TTM = 550.1m USD
EBITDA TTM = 600.5m USD
Long Term Debt = 347.3m USD (from longTermDebt, last quarter)
Short Term Debt = 18.0m USD (from shortTermDebt, last quarter)
Debt = 365.3m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 193.7m USD (calculated: Debt 365.3m - CCE 171.6m)
Enterprise Value = 12.7b USD (12.5b + Debt 365.3m - CCE 171.6m)
Interest Coverage Ratio = 42.94 (Ebit TTM 550.1m / Interest Expense TTM 12.8m)
EV/FCF = 29.01x (Enterprise Value 12.7b / FCF TTM 437.3m)
FCF Yield = 3.45% (FCF TTM 437.3m / Enterprise Value 12.7b)
FCF Margin = 9.04% (FCF TTM 437.3m / Revenue TTM 4.84b)
Net Margin = 8.34% (Net Income TTM 403.8m / Revenue TTM 4.84b)
Gross Margin = 30.04% ((Revenue TTM 4.84b - Cost of Revenue TTM 3.39b) / Revenue TTM)
Gross Margin QoQ = 30.43% (prev 28.94%)
Tobins Q-Ratio = 4.24 (Enterprise Value 12.7b / Total Assets 2.99b)
Interest Expense / Debt = 3.51% (Interest Expense 12.8m / Debt 365.3m)
Taxrate = 22.58% (117.8m / 521.5m)
NOPAT = 425.9m (EBIT 550.1m * (1 - 22.58%))
Current Ratio = 2.95 (Total Current Assets 1.58b / Total Current Liabilities 536.6m)
Debt / Equity = 0.20 (Debt 365.3m / totalStockholderEquity, last quarter 1.86b)
Debt / EBITDA = 0.32 (Net Debt 193.7m / EBITDA 600.5m)
Debt / FCF = 0.44 (Net Debt 193.7m / FCF TTM 437.3m)
Total Stockholder Equity = 1.87b (last 4 quarters mean from totalStockholderEquity)
RoA = 13.23% (Net Income 403.8m / Total Assets 2.99b)
RoE = 21.64% (Net Income TTM 403.8m / Total Stockholder Equity 1.87b)
RoCE = 24.86% (EBIT 550.1m / Capital Employed (Equity 1.87b + L.T.Debt 347.3m))
RoIC = 18.53% (NOPAT 425.9m / Invested Capital 2.30b)
WACC = 10.14% (E(12.5b)/V(12.9b) * Re(10.36%) + D(365.3m)/V(12.9b) * Rd(3.51%) * (1-Tc(0.23)))
Discount Rate = 10.36% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -95.56 | Cagr: -1.48%
[DCF] Terminal Value 69.36% ; FCFF base≈437.9m ; Y1≈438.5m ; Y5≈462.0m
[DCF] Fair Price = 143.8 (EV 5.51b - Net Debt 193.7m = Equity 5.32b / Shares 37.0m; r=10.14% [WACC]; 5y FCF grow -0.33% → 2.50% )
EPS Correlation: 98.18 | EPS CAGR: 6.47% | SUE: 0.0 | # QB: 0
Revenue Correlation: 88.38 | Revenue CAGR: 2.89% | SUE: 1.27 | # QB: 1
EPS next Quarter (2026-09-30): EPS=2.84 | Chg30d=+0.44% | Revisions=+43% | Analysts=5
EPS current Year (2026-06-30): EPS=10.71 | Chg30d=+0.06% | Revisions=+45% | GrowthEPS=+5.8% | GrowthRev=+7.5%
EPS next Year (2027-06-30): EPS=11.78 | Chg30d=-0.04% | Revisions=+60% | GrowthEPS=+10.1% | GrowthRev=+5.7%
[Analyst] Revisions Ratio: +60%